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Question 343 - CSCP discussion

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Unresolved conflicts from the sales and operations planning (S&OP) process will result in which of the following outcomes?

A.
Supply and demand will come to a consensus
Answers
A.
Supply and demand will come to a consensus
B.
Demand will take precedence
Answers
B.
Demand will take precedence
C.
Supply will take precedence
Answers
C.
Supply will take precedence
D.
Senior management resolution
Answers
D.
Senior management resolution
Suggested answer: D

Explanation:

Unresolved conflicts from the sales and operations planning (S&OP) process typically require senior management resolution. This outcome is necessary to ensure that strategic decisions align with the overall business goals and objectives. Key aspects include:

Strategic Alignment: Senior management ensures that the resolution aligns with the company's strategic objectives and priorities.

Authority and Accountability: Senior leaders have the authority to make final decisions and are accountable for the outcomes, providing clear direction.

Resource Allocation: They can allocate resources and make trade-offs between conflicting demands to balance supply and demand effectively.

Cross-functional Coordination: Senior management can facilitate cross-functional coordination and communication, ensuring that all departments work towards a common goal.

Wallace, T. F., & Stahl, R. A. (2008). Sales & Operations Planning: The How-To Handbook. T. F. Wallace & Co.

Grimson, J. A., & Pyke, D. F. (2007). Sales and operations planning: an exploratory study and framework. The International Journal of Logistics Management.

asked 16/09/2024
Jason Potter
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