CIPS Exam L4M7 Topic 9 Question 35 Discussion

Actual exam question for CIPS's L4M7 exam

Question #: 35
Topic #: 9

[All L4M7 Questions]

Long-term forecasting of demand using a subjective method is based on a ...

Apredicted cash flow forecast levels used by the organization

Bquantitative, explicit, statistical, or formal method

Cqualitative, informal, clinical, experienced-based or intuitive method

Dmethod of calculating the price in detail within the supply chain

Show Suggested Answer

Suggested Answer: D

A 'U' flow occurs when the goods receipt and dispatch functions are located at the same end of a warehouse building.

Products flow in at receiving, move in to storage in the back of the warehouse, and then to shipping, which is located at the adjacent to receiving on the same side of the building.

Items with higher throughput level are located closer to the loading bays. An example of a 'U' flow design can be seen in the diagram below.

Advantages of 'U' Flow

- Excellent utilization of dock resources because the receiving and shipping processes can share dock doors

- Facilitating cross-docking because the receiving and shipping docks are adjacent to one another and may be co-mingled

- Excellent lift truck utilization because put away and retrieval trips are easily combined and be-cause the storage locations closest to the receiving and shipping docks are natural locations to house fast moving items

- Yields excellent security because there is a single side of the building used for entry and exit

LO 1, AC 1.1

by Clay at May 18, 2024, 09:10 AM

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Chaya

2 months ago

Option B is tempting, but I think the question is specifically asking about subjective forecasting methods, not quantitative ones. C is the way to go.

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Ashleigh

18 days ago

Yeah, option C aligns more with the idea of subjective forecasting rather than quantitative methods.

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Aimee

1 months ago

I think option C makes sense because it involves qualitative and experienced-based approaches.

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Carla

1 months ago

I agree, option C seems to be the best fit for subjective forecasting methods.

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Rebecka

2 months ago

Haha, I bet the folks in the supply chain would love a 'method of calculating the price in detail'. Sounds like a lot of work!

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Franchesca

6 days ago

Haha, I bet the folks in the supply chain would love a 'method of calculating the price in detail'. Sounds like a lot of work!

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Corinne

25 days ago

C) qualitative, informal, clinical, experienced-based or intuitive method

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Thaddeus

1 months ago

B) quantitative, explicit, statistical, or formal method

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Chantay

1 months ago

A) predicted cash flow forecast levels used by the organization

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Rosita

2 months ago

I agree, subjective methods like qualitative analysis can be useful for long-term forecasting.

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Dudley

2 months ago

I agree with Devorah. Subjective methods like experienced-based forecasting are commonly used for long-term demand planning when data is limited.

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Katina

2 months ago

Yes, experienced-based forecasting can be useful when there is limited data available.

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Pura

2 months ago

I think subjective methods are more flexible for long-term forecasting.

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Ailene

2 months ago

I believe it's about using a subjective method like qualitative or intuitive approach.

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Devorah

2 months ago

Option C seems like the right answer here. Long-term forecasting is often based on qualitative factors and expert intuition rather than pure statistics.

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