Supply Chain Strategy Flashcards
7 cards from real CPIM practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Supply Chain Strategy flashcards as text
Which of the following is the BEST example of a 'push' supply chain strategy?
Answer: Manufacturing products based on long-range demand forecasts
Push strategies produce goods in advance of actual demand using forecasts, pushing inventory downstream through the supply chain.
A company reduces its supplier base from 200 to 20 key partners. This strategy is known as:
Answer: Supplier rationalization
Supplier rationalization reduces the supply base to a smaller set of strategic partners, enabling deeper relationships and better leverage.
In a global supply chain strategy, which factor most commonly drives companies to nearshore manufacturing?
Answer: Reduced lead times and improved responsiveness
Nearshoring moves production closer to the end market, shortening lead times and improving the ability to respond quickly to demand changes.
The SCOR model Level 1 metrics include all of the following EXCEPT:
Answer: Innovation (New Product Introduction Rate)
SCOR Level 1 metrics cover Reliability, Responsiveness, Agility, Costs, and Asset Management Efficiency—Innovation is not a SCOR metric.
A company decides to share real-time point-of-sale data with its suppliers. This practice most directly helps reduce:
Answer: The bullwhip effect and associated demand distortion
Sharing POS data gives suppliers visibility into true end-consumer demand, reducing the order distortions that cause the bullwhip effect.
Which of the following BEST describes a 'lean' supply chain?
Answer: A supply chain focused on eliminating waste and non-value-added activities
Lean supply chains apply lean principles to eliminate waste—overproduction, waiting, excess inventory—across the entire supply network.
When a supply chain strategy must simultaneously serve both stable commodity demand and volatile specialty demand, the recommended approach is:
Answer: Use a hybrid supply chain combining efficient and responsive elements
A hybrid supply chain applies efficient processes to stable, predictable segments and responsive processes to volatile segments, optimizing both.