QUESTION: 45

Which of the following actions best supports a company's strategic focus on delivery speed to improve competitive advantage?

Maintaining high-capacity utilization
Developing flexible operations
Cross-training workers
Implementing rapid process improvements

Answer(s): B

Explanation:

Developing flexible operations best supports a company's strategic focus on delivery speed to improve competitive advantage. Delivery speed is the time it takes for a company to deliver its products or services to the customers after receiving an order. Delivery speed is a key factor in customer satisfaction, retention, and loyalty, as well as a source of differentiation and value creation in the market. Developing flexible operations means having the ability to adapt to changes in demand, supply, technology, and environment, and to respond quickly and efficiently to customer needs and expectations. Flexible operations can improve delivery speed by reducing lead times, increasing responsiveness, enhancing quality, and minimizing costs.

Reference:

1 The Shipper's Competitive Advantage of Delivery Speed to Market 4 2 Operations Strategy, 4th ed., 2015, Slack, N., Lewis, M., ISBN: 978-0273776208 3 CPIM Exam Reference - Association for Supply Chain Management 1

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QUESTION: 46

One way to mitigate liability risk in the supply chain is to:

negotiate lower component cost.
require traceability for components.
push inventory to supplier locations.
use less-than-truckload (LTL) shipments more frequently.

Answer(s): B

Explanation:

One way to mitigate liability risk in the supply chain is to require traceability for components. Liability risk is the risk that a party may be held responsible for certain types of losses caused by its actions or products to third parties. Traceability is the ability to track the origin, history, location, and movement of a product or a component through the supply chain. Requiring traceability for components can help to mitigate liability risk in the supply chain by enabling the identification and verification of the quality, safety, and compliance of the components, as well as the detection and prevention of counterfeit, defective, or hazardous components. Traceability can also facilitate the recall, repair, or replacement of faulty components, and the allocation of responsibility and accountability among the supply chain partners in case of a liability claim.

Reference:

1 What is a Liability Risk? - Definition from Insuranceopedia 5 2 Traceability - Wikipedia 6 3 Supply Chain Liability in the Corporate Sustainability Due Diligence ... 7 4 CPIM Exam Reference - Association for Supply Chain Management 8

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QUESTION: 47

According to quality function deployment (QFD), customer needs are gathered through:

employee suggestions.
technical specifications.
surveys.
historical data.

Answer(s): C

Explanation:

According to quality function deployment (QFD), customer needs are gathered through surveys. QFD is a methodology for translating customer requirements into product or service specifications by listening to the voice of the customer (VOC). Surveys are one of the methods for collecting VOC data, which can include customer preferences, expectations, problems, and feedback. Surveys can be conducted through various channels, such as interviews, questionnaires, focus groups, or online platforms. Surveys help to identify and prioritize the customer needs and wants, and to measure the customer satisfaction and loyalty.

Reference:

1 What is Quality Function Deployment (QFD)? | ASQ 3 2 CPIM Exam Reference - Association for Supply Chain Management 1

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QUESTION: 48

Fishbone diagrams would help a service organization determine:

the proper level of service for a customer segment.
the source of a quality-of-service issue.
differences in the performance of employees.
the decomposition of customer return rates with seasonality.

Answer(s): B

Explanation:

Fishbone diagrams would help a service organization determine the source of a quality-of-service issue. A fishbone diagram, also known as a cause-and-effect diagram or an Ishikawa diagram, is a tool for identifying and analyzing the root causes of a problem or an effect. It uses a fish-shaped diagram to display the potential causes of a problem in different categories, such as people, processes, equipment, environment, etc. A fishbone diagram can help a service organization to determine the source of a quality-of-service issue by allowing the organization to brainstorm and organize the possible factors that may affect the quality of the service delivered to the customers, such as staff training, customer feedback, service standards, equipment maintenance, etc. A fishbone diagram can also help the organization to prioritize and test the most likely causes, and to develop and implement solutions to improve the quality of service.

Reference:

1 What is a Fishbone Diagram? Ishikawa Cause & Effect Diagram | ASQ 3 2 CPIM Exam Reference - Association for Supply Chain Management 1

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