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QUESTION 61

- (Topic 3)
Which of the following actions is most appropriate when implementing a strategy to create customer-affordable value?

  1. A. Use a more rapid transportation mode.
  2. B. Increase safety stock.
  3. C. Extend product warranty.
  4. D. Employ lean principles.

Correct Answer: D

QUESTION 62

- (Topic 3)
An organization is partnering with a supplier. The most appropriate tool to ensure that the supplier has the necessary capabilities is:

  1. A. a supplier-input-process-output-customer diagram.
  2. B. supplier certification.
  3. C. supplier relationship management.
  4. D. supplier performance evaluation.

Correct Answer: B

QUESTION 63

- (Topic 2)
The process used to determine the impact of promotions, price discounts, and rebates on demand forecasts commonly is referred to as demand:

  1. A. planning.
  2. B. forecasting.
  3. C. aggregating.
  4. D. shaping.

Correct Answer: D

QUESTION 64

- (Topic 2)
Potential customers of a company's new product have tight tolerance requirements. The
company plans to purchase a critical component. To meet customer requirements, the company should first:

  1. A. implement statistical process control for the component.
  2. B. bring manufacturing of the critical component in-house.
  3. C. develop an alternate source of supply.
  4. D. certify the supplier of the component.

Correct Answer: D

QUESTION 65

- (Topic 3)
The benefit most likely to result from a collaborative forecasting process is:

  1. A. improvement in forecast accuracy.
  2. B. improvement in forecast responsiveness.
  3. C. reduction of the coefficient of variation.
  4. D. reduction of forecasting effort.

Correct Answer: A

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