Question 1

Which of the following strategies would a logistics manager most likely choose in order to reduce transportation cost?

Accepted Answer

A)  Outsourcing 
B)  Consolidating shipments 
C)  Engaging in a third-party logistics (3PL) partnership 
D)  Relying on multiple shipments 
A)  Outsourcing 
B)  Consolidating shipments 
C)  Engaging in a third-party logistics (3PL) partnership 
D)  Relying on multiple shipments

Question 2

An organization concentrating its efforts on meeting the internal performance standards related to availability, operational performance, and reliability has focused on which of the following aspects of the customer relationship?

Accepted Answer

A)  Customer service 
B)  Customer satisfaction 
C)  Customer loyalty 
D)  Customer success 
A)  Customer service 
B)  Customer satisfaction 
C)  Customer loyalty 
D)  Customer success

Question 3

A company that distributes spare parts for the automobile industry must consider duty rates when deciding where to sell its products. Duty rates are heavily influenced by:

Accepted Answer

A)  the country of destination to which goods are exported. 
B)  the country of origin from which goods are imported. 
C)  the invoice value of imported goods. 
D)  the invoice value of exported goods. 
A)  the country of destination to which goods are exported. 
B)  the country of origin from which goods are imported. 
C)  the invoice value of imported goods. 
D)  the invoice value of exported goods.

Question 4

A logistics service provider has an average on-time delivery of 30%, and average correct documentation of 30%. Which of the following values represents the probability that the next delivery would be on-time, damage free, and with correct documentation?

Accepted Answer

A)  0% 
B)  3% 
C)  30% 
D)  90% 
A)  0% 
B)  3% 
C)  30% 
D)  90%

Question 5

A company currently has a significantly long lead time in determining the disposition of returned products. Which of the following non-procedural areas should the company look into as it performs a root cause analysis?

Accepted Answer

A)  Financial department to see if the sales personnel are reluctant to charge the returns to sales 
B)  Quality department to see if the process for determining disposition is inefficient 
C)  Customer service department to see if they are taking a long time to address customer concerns 
D)  Material handling department to see if it is taking excessive time to handle defective product 
A)  Financial department to see if the sales personnel are reluctant to charge the returns to sales 
B)  Quality department to see if the process for determining disposition is inefficient 
C)  Customer service department to see if they are taking a long time to address customer concerns 
D)  Material handling department to see if it is taking excessive time to handle defective product

Question 6

A planning process specifically designed to balance demand and supply within an organization and arrive at a consensus forecast is known as:

Accepted Answer

A)  advanced planning and scheduling (APS). 
B)  collaborative planning, forecasting, and replenishment (CPFR). 
C)  sales and operations planning (S&OP). 
D)  distribution requirements planning (DRP). 
A)  advanced planning and scheduling (APS). 
B)  collaborative planning, forecasting, and replenishment (CPFR). 
C)  sales and operations planning (S&OP). 
D)  distribution requirements planning (DRP).

Question 7

A vessel operating under the threat of piracy or hostile military action is protected by the:

Accepted Answer

A)  United Nations (UN) military forces. 
B)  country closest to the vessel at the time of attack. 
C)  shipping company registry. 
D)  naval forces of the flag of registry. 
A)  United Nations (UN) military forces. 
B)  country closest to the vessel at the time of attack. 
C)  shipping company registry. 
D)  naval forces of the flag of registry.

Question 8

When looking at on organization's logistics system, which of the following expenses is the single largest variable cost?

Accepted Answer

A)  Inventory carrying costs 
B)  transportation costs 
C)  Warehouse operations costs 
D)  Supply management costs 
A)  Inventory carrying costs 
B)  transportation costs 
C)  Warehouse operations costs 
D)  Supply management costs

Question 9

A warehouse manager is performing an ABC segmentation of the products in the warehouse. Based on the three items shown below, what is the correct warehouse segmentation for these items from the warehouse manager's perspective?

Accepted Answer

A)  A = Product X, B = Product Z, C = Product Y 
B)  A = Product Y, B = Product Z, C = Product X 
C)  A = Product Z, B = Product Y, C = Product X 
D)  A = Product Z, B = Product X, C = Product Y 
A)  A = Product X, B = Product Z, C = Product Y 
B)  A = Product Y, B = Product Z, C = Product X 
C)  A = Product Z, B = Product Y, C = Product X 
D)  A = Product Z, B = Product X, C = Product Y

Question 10

Which of the following types benchmarking would a company utilize in order to determine why a significant gap exists in its order fill rates?

Accepted Answer

A)  Performance benchmarking 
B)  Process benchmarking 
C)  Product benchmarking 
D)  Strategic benchmarking 
A)  Performance benchmarking 
B)  Process benchmarking 
C)  Product benchmarking 
D)  Strategic benchmarking

Question 11

Which of the following supply chain risk management maturity model attributes provides visibility to impending disruptions and enables the establishment of effective, preventive, and mitigation plans?

Accepted Answer

A)  Visibility 
B)  Predictability 
C)  resiliency 
D)  Sustainability 
A)  Visibility 
B)  Predictability 
C)  resiliency 
D)  Sustainability

Question 12

Compared to a centralized distribution network strategy, an organization using a decentralized distribution network strategy can usually expect:

Accepted Answer

A)  lower cost of lost sales and higher inventory cost 
B)  higher cost of lost sales and higher inventory cost. 
C)  lower cost of transportation and lower warehousing cost. 
D)  higher cost of transportation and lower warehousing cost. 
A)  lower cost of lost sales and higher inventory cost 
B)  higher cost of lost sales and higher inventory cost. 
C)  lower cost of transportation and lower warehousing cost. 
D)  higher cost of transportation and lower warehousing cost.

Question 13

Which of the following port-related issues constitutes the greatest challenge when considering the use of post-panamax container ships?

Accepted Answer

A)  Number of ships available 
B)  Available workforce 
C)  Railway connections 
D)  Bridge clearance 
A)  Number of ships available 
B)  Available workforce 
C)  Railway connections 
D)  Bridge clearance

Question 14

Which of the following costs are the most intangible and subjective of all the carrying cost elements?

Accepted Answer

A)  Risk cost 
B)  Storage cost 
C)  Service cost 
D)  Capital cost 
A)  Risk cost 
B)  Storage cost 
C)  Service cost 
D)  Capital cost

Question 15

Which of the following methods is used for facility location selection based on the location of markets, the volume of goods shipped, and shipping costs?

Accepted Answer

A)  Factor rating 
B)  Center-of-gravity 
C)  Break-even analysis 
D)  Least cost 
A)  Factor rating 
B)  Center-of-gravity 
C)  Break-even analysis 
D)  Least cost

Question 16

A transportation manager is interested in selecting the optimal mode of transportation based on 3 key criteria: speed, availability, and dependability. Which of the following modes best meets the criteria?

Accepted Answer

A)  Truck and rail 
B)  truck and air 
C)  Air and rail 
D)  Air and ocean 
A)  Truck and rail 
B)  truck and air 
C)  Air and rail 
D)  Air and ocean

Question 17

Which of the following outcomes of warehouse operations is the most critical in designing a warehouse?

Accepted Answer

A)  Optimizing product flow 
B)  Minimizing warehousing cost 
C)  Increasing inventory counting 
D)  Maximizing automation 
A)  Optimizing product flow 
B)  Minimizing warehousing cost 
C)  Increasing inventory counting 
D)  Maximizing automation

Question 18

A pharmaceutical company makes drugs that control the spread of the influenza virus after outbreaks occur. Deployment to outbreak areas requires a transportation mode that is fast and provides door-to-door connectivity. Which of the following modes of transportation should the company choose?

Accepted Answer

A)  Intermodal 
B)  Truck 
C)  Drone 
D)  Air 
A)  Intermodal 
B)  Truck 
C)  Drone 
D)  Air

Question 19

A company desires to improve its cash flow situation by postponing its customs duties payment until the last possible point in the supply chain. The company should consider using which type of warehouse?

Accepted Answer

A)  Bonded 
B)  Contract 
C)  Third-party 
D)  Government 
A)  Bonded 
B)  Contract 
C)  Third-party 
D)  Government

Question 20

What facility location method has the advantage of analyzing both quantitative data and hard-to-evaluate criteria?

Accepted Answer

A)  Center-of-gravity 
B)  Factor rating 
C)  Location and break-even analysis 
D)  Least-cost-per-lane 
A)  Center-of-gravity 
B)  Factor rating 
C)  Location and break-even analysis 
D)  Least-cost-per-lane

Which of the following strategies would a logistics manager most likely choose in order to reduce transportation cost?

An organization concentrating its efforts on meeting the internal performance standards related to availability, operational performance, and reliability has focused on which of the following aspects of the customer relationship?

A company that distributes spare parts for the automobile industry must consider duty rates when deciding where to sell its products. Duty rates are heavily influenced by:

A logistics service provider has an average on-time delivery of 30%, and average correct documentation of 30%. Which of the following values represents the probability that the next delivery would be on-time, damage free, and with correct documentation?

A company currently has a significantly long lead time in determining the disposition of returned products. Which of the following non-procedural areas should the company look into as it performs a root cause analysis?

A planning process specifically designed to balance demand and supply within an organization and arrive at a consensus forecast is known as:

A vessel operating under the threat of piracy or hostile military action is protected by the:

When looking at on organization's logistics system, which of the following expenses is the single largest variable cost?

A warehouse manager is performing an ABC segmentation of the products in the warehouse. Based on the three items shown below, what is the correct warehouse segmentation for these items from the warehouse manager's perspective?

Which of the following types benchmarking would a company utilize in order to determine why a significant gap exists in its order fill rates?

Which of the following supply chain risk management maturity model attributes provides visibility to impending disruptions and enables the establishment of effective, preventive, and mitigation plans?

Compared to a centralized distribution network strategy, an organization using a decentralized distribution network strategy can usually expect:

Which of the following port-related issues constitutes the greatest challenge when considering the use of post-panamax container ships?

Which of the following costs are the most intangible and subjective of all the carrying cost elements?

Which of the following methods is used for facility location selection based on the location of markets, the volume of goods shipped, and shipping costs?

A transportation manager is interested in selecting the optimal mode of transportation based on 3 key criteria: speed, availability, and dependability. Which of the following modes best meets the criteria?

Which of the following outcomes of warehouse operations is the most critical in designing a warehouse?

A pharmaceutical company makes drugs that control the spread of the influenza virus after outbreaks occur. Deployment to outbreak areas requires a transportation mode that is fast and provides door-to-door connectivity. Which of the following modes of transportation should the company choose?

A company desires to improve its cash flow situation by postponing its customs duties payment until the last possible point in the supply chain. The company should consider using which type of warehouse?

What facility location method has the advantage of analyzing both quantitative data and hard-to-evaluate criteria?

CPIM - Basics of Supply Chain Management

APICS Certified Supply Chain Professional

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Exam 1: Certification in Logistics, Transportation and Distribution

Which of the following strategies would a logistics manager most likely choose in order to reduce transportation cost?

An organization concentrating its efforts on meeting the internal performance standards related to availability, operational performance, and reliability has focused on which of the following aspects of the customer relationship?

A company that distributes spare parts for the automobile industry must consider duty rates when deciding where to sell its products. Duty rates are heavily influenced by:

A logistics service provider has an average on-time delivery of 30%, and average correct documentation of 30%. Which of the following values represents the probability that the next delivery would be on-time, damage free, and with correct documentation?

A company currently has a significantly long lead time in determining the disposition of returned products. Which of the following non-procedural areas should the company look into as it performs a root cause analysis?

A planning process specifically designed to balance demand and supply within an organization and arrive at a consensus forecast is known as:

A vessel operating under the threat of piracy or hostile military action is protected by the:

When looking at on organization's logistics system, which of the following expenses is the single largest variable cost?

A warehouse manager is performing an ABC segmentation of the products in the warehouse. Based on the three items shown below, what is the correct warehouse segmentation for these items from the warehouse manager's perspective?

Which of the following types benchmarking would a company utilize in order to determine why a significant gap exists in its order fill rates?

Which of the following supply chain risk management maturity model attributes provides visibility to impending disruptions and enables the establishment of effective, preventive, and mitigation plans?

Compared to a centralized distribution network strategy, an organization using a decentralized distribution network strategy can usually expect:

Which of the following port-related issues constitutes the greatest challenge when considering the use of post-panamax container ships?

Which of the following costs are the most intangible and subjective of all the carrying cost elements?

Which of the following methods is used for facility location selection based on the location of markets, the volume of goods shipped, and shipping costs?

A transportation manager is interested in selecting the optimal mode of transportation based on 3 key criteria: speed, availability, and dependability. Which of the following modes best meets the criteria?

Which of the following outcomes of warehouse operations is the most critical in designing a warehouse?

A pharmaceutical company makes drugs that control the spread of the influenza virus after outbreaks occur. Deployment to outbreak areas requires a transportation mode that is fast and provides door-to-door connectivity. Which of the following modes of transportation should the company choose?

A company desires to improve its cash flow situation by postponing its customs duties payment until the last possible point in the supply chain. The company should consider using which type of warehouse?

What facility location method has the advantage of analyzing both quantitative data and hard-to-evaluate criteria?

CPIM - Basics of Supply Chain Management

APICS Certified Supply Chain Professional

Filters