APICS Exam CSCP Topic 3 Question 86 Discussion

Actual exam question for APICS's CSCP exam

Question #: 86
Topic #: 3

[All CSCP Questions]

Which of the following methods is used to minimize the bullwhip effect?

AOutsourcing noncore business activities

BReducing the number of stock keeping units (SKUs)

CReducing lead time

DIncreasing factory inventory

Show Suggested Answer

Suggested Answer: C

According to the APICS CSCP - Supply Chain Management Certification, outsourcing is the process of transferring some or all of the activities or functions of a firm to an external provider or supplier. Outsourcing can have many benefits, such as reducing capital investment, achieving economies of scale, increasing flexibility, and accessing specialized skills or technologies. However, outsourcing also involves some risks, such as conflicting objectives between the buyer and the supplier, loss of control over quality or delivery, loss of core competencies or competitive advantage, increased dependency or vulnerability, or ethical or social issues.

by Yolando at May 02, 2024, 09:15 AM

Limited Time Offer

25%

Off

Get Premium CSCP Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Dorian

1 months ago

Outsourcing noncore business activities? That's about as useful as a chocolate teapot when it comes to the bullwhip effect. Where do they come up with these answer choices?

upvoted 0 times

...

Franchesca

1 months ago

Hmm, I'm torn between reducing lead time and reducing the number of SKUs. I guess it depends on the specific situation, but both seem like solid strategies to me.

upvoted 0 times

Glendora

16 hours ago

I agree, but reducing the number of SKUs could also be effective in certain cases.

upvoted 0 times

...

Elouise

2 days ago

Reducing lead time can definitely help minimize the bullwhip effect.

upvoted 0 times

...

Arminda

1 months ago

Increasing factory inventory? That's just throwing more resources at the problem. I think the key is improving communication and visibility across the supply chain.

upvoted 0 times

Cassie

20 days ago

A) Outsourcing noncore business activities

upvoted 0 times

...

Linn

2 months ago

I'm not sure about that. Reducing the number of SKUs seems like it would be a more effective way to minimize the bullwhip effect. Less variety means less potential for distortion.

upvoted 0 times

Ligia

14 hours ago

Outsourcing noncore business activities could also help in reducing the bullwhip effect.

upvoted 0 times

...

Vallie

4 days ago

I think reducing the number of SKUs is a good way to minimize the bullwhip effect.

upvoted 0 times

...

Domingo

2 months ago

Reducing lead time is definitely the way to go. The faster I can get my products, the less time there is for the bullwhip effect to kick in.

upvoted 0 times

Doretha

27 days ago

Yes, reducing lead time is key to minimizing the bullwhip effect. It helps to keep inventory levels stable and reduces the risk of fluctuations.

upvoted 0 times

...

Oretha

1 months ago

Reducing lead time is definitely the way to go. The faster I can get my products, the less time there is for the bullwhip effect to kick in.

upvoted 0 times

...

Bernardine

2 months ago

I believe C) Reducing lead time can also help minimize the bullwhip effect by improving responsiveness in the supply chain.

upvoted 0 times

...

Ollie

2 months ago

I agree with Bernardo. Having fewer SKUs can help reduce the bullwhip effect by simplifying the supply chain.

upvoted 0 times

...

Bernardo

2 months ago

I think the answer is B) Reducing the number of stock keeping units (SKUs).

upvoted 0 times

...