CIPS Exam L6M10 Topic 1 Question 11 Discussion

Actual exam question for CIPS's L6M10 exam

Question #: 11
Topic #: 1

A company is looking to improve cost efficiency while remaining responsive to customer demands in its supply chain operations. Which practice involves outsourcing core logistics capabilities to specialist providers like DHL and FedEx?

ATotal external asset management

BThird-party logistics (3PL)

CFourth-party logistics (4PL)

DStock and inventory management

Show Suggested Answer

Suggested Answer: B

Third-party logistics (3PL) involves outsourcing logistics functions to specialized providers such as DHL and FedEx to improve efficiency and responsiveness. [P-38]

by Magdalene at Jun 14, 2025, 08:48 PM

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Eden

2 days ago

B) Third-party logistics (3PL) seems like the obvious choice here. Outsourcing logistics to the experts like DHL and FedEx is a no-brainer for cost efficiency.

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