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APICS Certified Supply Chain Professional Questions 609–617 (page: 66)

Updated On: 1-Feb-2026

To maximize total supply chain profitability, supply chain participants typically must balance:

  1. production lead times and shipment frequency.
  2. production lot sizes and supply chain inventory levels.
  3. total supply chain assets and profit margins.
  4. end-user sales levels and cash flows.

Answer(s): B



The primary advantage of a centralized system with few locations compared to a decentralized system with many locations is that:

  1. lead time to customers is shorter.
  2. on-time shipment delivery is higher.
  3. total inventory levels are lower.
  4. cost of transportation from producers is lower.

Answer(s): C



A company considers moving a portion of its production to a distant country to support a major customer.
Which of the following actions is most effective in mitigating the risk of financial loss in the event of a global economic downturn?

  1. Expanding the customer base globally
  2. Reducing the global work force
  3. Reducing prices of all products
  4. Adding features for all products

Answer(s): A



Which of the following effects is most likely to occur for a supply chain within a trading bloc?

  1. Increased loss of intellectual property
  2. Increased growth due to consolidation
  3. Loss of business due to more imports
  4. Shorter lead times due to decreased border crossing scrutiny

Answer(s): B



Which of the following operational metrics is used to determine the time required to adjust an entire supply chain to current market conditions?

  1. Supply chain resiliency
  2. Cash flow cycle time
  3. Total lead time
  4. Response time

Answer(s): C



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