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Oracle Exam 1Z0-1163-1 Topic 8 Question 3 Discussion
Topic #: 8
Which feature in Oracle Fusion Cloud SCM ensures optimal inventory levels by tracking stock movement?
Inventory Management (D) in Oracle Fusion Cloud SCM ensures optimal inventory levels by tracking stock movement---receipts, transfers, and consumption---and maintaining availability data across warehouses. For example, if stock drops below a reorder point (e.g., 100 units), it triggers replenishment to avoid stockouts while preventing overstocking (e.g., holding 1,000 units when demand is 200). Option A (Supplier Qualification) evaluates suppliers, not inventory levels. Option B (Manufacturing Execution) tracks production, not overall stock. Option C (Cost Accounting) analyzes costs, not physical stock movement. Inventory Management balances service levels with cost efficiency, using real-time data to adjust stock dynamically, critical for operational success and customer satisfaction.
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