100% PASS L6M9 FREE PRACTICE - SUPPLY NETWORK DESIGN UNPARALLELED FREE BRAIN DUMPS

100% Pass L6M9 Free Practice - Supply Network Design Unparalleled Free Brain Dumps

100% Pass L6M9 Free Practice - Supply Network Design Unparalleled Free Brain Dumps

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Tags: Free L6M9 Practice, L6M9 Free Brain Dumps, New L6M9 Exam Bootcamp, L6M9 Exam Collection, Pdf L6M9 Pass Leader

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CIPS Supply Network Design Sample Questions (Q72-Q77):

NEW QUESTION # 72
Risks are always present within organisational strategies, and it is important that they are assessed. Which of the following arestrategies for dealing with risk?

  • A. Escape, eliminate, evade, end
  • B. Avoid, eliminate, reduce, transfer
  • C. Terminate, escape, eliminate, destroy
  • D. Track, control, mitigate, reduce

Answer: B

Explanation:
Thefour risk management strategiesare often remembered asTEAR:
* Transfer: Shift the risk to another party (e.g., insurance, outsourcing).
* Eliminate: Remove the risk entirely where possible.
* Avoid: Choose not to engage in activities that introduce the risk.
* Reduce: Take measures to minimize the impact or likelihood of the risk occurring.
(See p.200)


NEW QUESTION # 73
Maxi Ltd is a medium-sized manufacturing organisation in the automotive industry that creates engines for cars. It has traditionally worked well with its suppliers, with strong relationships and regular meetings. There are currently around 15 suppliers who provide parts to Maxi Ltd.
Due to changing customer demands, Maxi Ltd will, from next month, modify the manufacturing of some of its products. Product X is being made more environmentally friendly, with output of CO2 being reduced by 32%. The product will take longer to produce, but there will be no additional cost to customers for this.
Maxi ltd are considering outsourcing the manufacturing of Product Y as it is not a product which is routinely ordered by customers. This will allow Maxi Ltd to focus on other products which generate higher revenues for the company. The concern within the Board of Directorsis that if demand increases for this product, an outsourced company may not be able to cope with higher numbers of orders.
Product Z is an extremely popular item and oftentimes Maxi Ltd does not have the capacity to fulfil all orders. Consideration has been given to increasing the size of the factory, but this has been discarded as risky as demand is not guaranteed. The product has been available on the marketplace for a short amount of time and sales are continuing to increase, but the company believes this will soon plateau. To deal with current demand, the marketing team is working on campaigns to invite customers to make orders for this product at certain times of the year when product X is not being created in the factory.
This means resources can be reallocated to the creation of product Z.
What is themain concernregarding the option to outsource the manufacturing of product Y?

  • A. Cost
  • B. Competence
  • C. Finance
  • D. Scalability

Answer: D

Explanation:
The main concern with outsourcingproduct Yis whether theoutsourced companycanhandle a potential increase in demand. This issue is related toscalability, as an external supplier may struggle to ramp up production if demand rises. (LO 1.2)


NEW QUESTION # 74
According toFoster's Model of Operational Balance, how shouldbusiness strategybe developed?

  • A. Use both formal and informal groups across the organisation
  • B. Designed by senior leaders and updated once a year based on feedback from other members of the organisation
  • C. By senior leaders and filtered down through the company hierarchy
  • D. Select one member from each department to join a working group and represent the interests of that department

Answer: A

Explanation:
Foster'sland management-based approachsuggests thatbusiness strategy should not be dictated from the top down. Instead, it should involveboth formal and informal groupsthroughout the organisation. This helps preventartificial decision-making and misalignmentbetween leaders and employees.
(LO 2.1, See p.77)


NEW QUESTION # 75
What is the purpose ofsupplier development?

  • A. To reduce the number of suppliers upon which a business would become dependent
  • B. To lower prices, which will increase the profit margin
  • C. To add value to the supply chain
  • D. To ensure that there are no logistics or delivery issues within the supply chain

Answer: C

Explanation:
The primary goal ofsupplier developmentis toadd valueto the supply chain, not just to reduce costs.
* Option A is incorrectbecause supplier development is not solely about cost reduction-it also focuses onquality and efficiency.
* Option B is incorrectbecause reducing suppliers is not always the goal; sometimes businesses want a widersupplier base.
* Option D is incorrectbecause no system caneliminatelogistics risks entirely-there will always be uncertainties.
(See LO 1.1, p.2)


NEW QUESTION # 76
Maxi Ltd is a medium-sized manufacturing organisation in the automotive industry that creates engines for cars. It has traditionally worked well with its suppliers, with strong relationships and regular meetings. There are currently around 15 suppliers who provide parts to Maxi Ltd.
Due to changing customer demands, Maxi Ltd will, from next month, modify the manufacturing of some of its products. Product X is being made more environmentally friendly, with output of CO2 being reduced by 32%. The product will take longer to produce, but there will be no additional cost to customers for this.
Maxi ltd are considering outsourcing the manufacturing of Product Y as it is not a product which is routinely ordered by customers. This will allow Maxi Ltd to focus on other products which generate higher revenues for the company. The concern within the Board of Directors is that if demand increases for this product, an outsourced company may not be able to cope with higher numbers of orders.
Product Z is an extremely popular item and oftentimes Maxi Ltd does not have the capacity to fulfil all orders. Consideration has been given to increasing the size of the factory, but this has been discarded as risky as demand is not guaranteed. The product has been available on the marketplace for a short amount of time and sales are continuing to increase, but the company believes this will soon plateau. To deal with current demand, the marketing team is working on campaigns to invite customers to make orders for this product at certain times of the year when product X is not being created in the factory.
This means resources can be reallocated to the creation of product Z.
Whatcapacity strategyis being used for product Z?

  • A. Incremental
  • B. Lag
  • C. Lead
  • D. Demand smoothing

Answer: D

Explanation:
The marketing team isencouraging customersto make orders at specific times of the year, whenproduct X is not being produced, tobetter allocate resources. This is a classic example ofdemand smoothing, where businesses adjust demand patterns to match available capacity. (LO 1.3)


NEW QUESTION # 77
......

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