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A company finds that one of its warehouses is out of capacity to store products. Expanding the physical size of the warehouse is not an option. The most appropriate solution would be to increase the:
The purpose of price differentiation is to:
In a make-or-buy decision, if the product is modular and the company is dependent on knowledge and capacity, outsourcing most likely will be:
A company's annual cost of goods sold is $350 million, and inventory carrying cost is 18%. The company averages four inventory turns. The cost savings resulting from increasing inventory turns from four to six would be:
Throughout most of the supply chain, safety stock will be de-emphasized as a result of improved:
The practice of supply chain members acting in close collaboration while retaining independent ownership is known as:
A company considers moving a portion of its production to a distant country to support a major customer. Which of the following actions is most effective in mitigating the risk of financial loss in the event of a global economic downturn?
Which of the following types of risk typically would be most difficult to plan for and mitigate?
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Which of the following elements typically is considered to be an output of demand planning?

Question 259 - CSCP discussion

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A pattern of increased shipments from manufacturing plants to a central warehouse at month-end and quarter-end typically would cause which of the following situations in a central warehouse?

A.
Fluctuation in required labor resources
Answers
A.
Fluctuation in required labor resources
B.
Decreased use of storage capacity
Answers
B.
Decreased use of storage capacity
C.
Decreased transportation costs
Answers
C.
Decreased transportation costs
D.
Increased outbound shipments
Answers
D.
Increased outbound shipments
Suggested answer: A

Explanation:

A pattern of increased shipments at the end of the month or quarter can lead to significant fluctuations in labor requirements at a central warehouse. During these peak periods, more labor is needed to handle the increased volume of incoming shipments, process them, and prepare them for distribution. This can result in inefficient use of labor resources, higher labor costs, and potential disruptions in warehouse operations.

Bowersox, D.J., Closs, D.J., & Cooper, M.B. (2012). Supply Chain Logistics Management. McGraw-Hill Education.

Richards, G. (2017). Warehouse Management: A Complete Guide to Improving Efficiency and Minimizing Costs in the Modern Warehouse. Kogan Page Publishers.

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asked 16/09/2024
Dave Stacey
31 questions
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