APICS Certified Supply Chain Professional (CSCP) Sample Questions
The APICS Certified Supply Chain Professional (CSCP) is in charge of developing and maintaining a standard and comprehensive body of knowledge for supply chain professionals. This is a world-renowned course attended by over 25,000 professionals from 100 countries.
Candidates who take this course will learn how to manage global supply chain activities that involve suppliers, plants, distributors, and customers all over the world. You will be able to do the following after earning your CSCP:
- Assist your company in achieving its ideal supply chain state.
- Data can be used to connect production, distribution, purchasing, and service.
- Reduce supply chain waste.
- Identify and categorize supply chain risks, and create risk response plans.
- Increase communication across the supply chain.
Advanced Sample Questions
A company has decided to implement a just-in-time (JIT) inventory system in order to reduce costs and improve efficiency. What are some of the risks associated with this type of system?
- A. The risks associated with a JIT system include stockouts, increased lead times, and reduced flexibility.
- B. The risks associated with a JIT system include increased inventory levels, decreased lead times, and improved flexibility.
- C. The risks associated with a JIT system include increased inventory levels, increased lead times, and reduced flexibility.
- D. The risks associated with a JIT system include stockouts, decreased lead times, and improved flexibility.
Correct Answer: A
Explanation: A just-in-time (JIT) inventory system is designed to minimize inventory levels and reduce costs by ensuring that products are delivered just as they are needed. However, this type of system also carries risks, such as the possibility of stockouts (running out of inventory), longer lead times (the time it takes to receive a product after an order is placed), and reduced flexibility (difficulty in quickly adjusting to changes in demand).
A company is looking to improve its supply chain sustainability. What are some steps it could take to achieve this goal?
- A. The company could implement a green supply chain program, reduce packaging waste, and use more environmentally friendly materials.
- B. The company could reduce packaging waste, increase the use of environmentally friendly materials, and improve supply chain visibility.
- C. The company could increase the use of environmentally friendly materials, reduce packaging waste, and improve supply chain efficiency.
- D. The company could improve supply chain visibility, reduce packaging waste, and implement a green supply chain program.
Correct Answer: A
Explanation: A company can improve its supply chain sustainability by implementing a green supply chain program, which focuses on reducing the environmental impact of the supply chain. Other steps the company could take include reducing packaging waste, using more environmentally friendly materials, and improving supply chain visibility.
A company is trying to reduce its supply chain costs. What are some ways it could achieve this goal?
- A. The company could negotiate better terms with suppliers, streamline its logistics processes, and improve supply chain visibility.
- B. The company could negotiate better terms with suppliers, implement a just-in-time inventory system, and improve supply chain efficiency.
- C. The company could implement a just-in-time inventory system, streamline its logistics processes, and negotiate better terms with suppliers.
- D. The company could improve supply chain visibility, streamline its logistics processes, and negotiate better terms with suppliers.
Correct Answer: C
Explanation: A company can reduce its supply chain costs by implementing a just-in-time (JIT) inventory system, which minimizes inventory levels and reduces costs by ensuring that products are delivered just as they are needed. The company could also streamline its logistics processes and negotiate better terms with suppliers.
A company is trying to improve its supply chain responsiveness. What are some ways it could achieve this goal?
- A. The company could improve supply chain visibility, implement a just-in-time inventory system, and negotiate better terms with suppliers.
- B. The company could improve supply chain efficiency, streamline its logistics processes, and implement a just-in-time inventory system.
- C. The company could improve supply chain visibility, streamline its logistics processes, and implement a flexible manufacturing system.
- D. The company could improve supply chain efficiency, stream
Correct Answer: C
Explanation: A company can improve its supply chain responsiveness by improving supply chain visibility, streamlining its logistics processes, and implementing a flexible manufacturing system. This allows the company to quickly adjust to changes in demand and improve its ability to respond to customer needs.
A company is trying to improve its supply chain efficiency. What are some ways it could achieve this goal?
- A. The company could negotiate better terms with suppliers, implement a just-in-time inventory system, and improve supply chain visibility.
- B. The company could streamline its logistics processes, implement a just-in-time inventory system, and improve supply chain visibility.
- C. The company could improve supply chain visibility, streamline its logistics processes, and implement a flexible manufacturing system.
- D. The company could negotiate better terms with suppliers, streamline its logistics processes, and implement a flexible manufacturing system.
Correct Answer: B
Explanation: A company can improve its supply chain efficiency by streamlining its logistics processes, implementing a just-in-time (JIT) inventory system, and improving supply chain visibility. By streamlining its logistics processes, the company can reduce waste and improve the flow of goods, leading to greater efficiency in the supply chain. Implementing a JIT system and improving supply chain visibility can also help the company to make more informed decisions and better respond to changes in demand.
A company is considering outsourcing some of its supply chain activities. What are some of the benefits of outsourcing?
- A. The benefits of outsourcing include reduced costs, improved efficiency, and increased focus on core competencies.
- B. The benefits of outsourcing include increased costs, reduced efficiency, and decreased focus on core competencies.
- C. The benefits of outsourcing include increased costs, improved efficiency, and increased focus on core competencies.
- D. The benefits of outsourcing include reduced costs, reduced efficiency, and decreased focus on core competencies.
Correct Answer: A
Explanation: Outsourcing can provide a number of benefits for a company, including reduced costs by leveraging the expertise and economies of scale of an external provider, improved efficiency through the transfer of processes to an expert provider, and increased focus on core competencies as the company is able to offload non-core activities to the external provider.
A company is looking to improve its supply chain resilience. What are some steps it could take to achieve this goal?
- A. The company could improve supply chain visibility, implement a just-in-time inventory system, and negotiate better terms with suppliers.
- B. The company could improve supply chain visibility, diversify its supplier base, and implement risk management strategies.
- C. The company could negotiate better terms with suppliers, diversify its supplier base, and improve supply chain efficiency.
- D. The company could implement a just-in-time inventory system, diversify its supplier base, and implement risk management strategies.
Correct Answer: B
Explanation: A company can improve its supply chain resilience by improving supply chain visibility, diversifying its supplier base, and implementing risk management strategies. By improving supply chain visibility, the company can better anticipate and respond to potential disruptions. Diversifying its supplier base can help the company to reduce its dependence on any single supplier, and implementing risk management strategies can help the company to identify and mitigate potential risks to its supply chain.
A company is trying to reduce its supply chain complexity. What are some ways it could achieve this goal?
- A. The company could negotiate better terms with suppliers, implement a just-in-time inventory system, and improve supply chain visibility.
- B. The company could simplify its product portfolio, streamline its logistics processes, and improve supply chain visibility.
- C. The company could improve supply chain visibility, streamline its logistics processes, and negotiate better terms with suppliers.
- D. The company could simplify its product portfolio, negotiate better terms with suppliers, and streamline its logistics processes.
Correct Answer: B
Explanation: A company can reduce its supply chain complexity by simplifying its product portfolio, streamlining its logistics processes, and improving supply chain visibility. By simplifying its product portfolio, the company can reduce the number of different products it needs to manage, making its supply chain more manageable. Streamlining its logistics processes can help the company to reduce waste and improve the flow of goods, leading to greater efficiency in the supply chain. Improving supply chain visibility can help the company to make more informed decisions and better respond to changes in demand.
A company is looking to improve its supply chain agility. What are some steps it could take to achieve this goal?
- A. The company could improve supply chain visibility, streamline its logistics processes, and negotiate better terms with suppliers.
- B. The company could improve supply chain visibility, implement a flexible manufacturing system, and negotiate better terms with suppliers.
- C. The company could streamline its logistics processes, implement a flexible manufacturing system, and diversify its supplier base.
- D. The company could negotiate better terms with suppliers, implement a flexible manufacturing system, and diversify its supplier base.
Correct Answer: C
Explanation: A company can improve its supply chain agility by streamlining its logistics processes, implementing a flexible manufacturing system, and diversifying its supplier base. By streamlining its logistics processes, the company can reduce waste and improve the flow of goods, leading to greater efficiency in the supply chain. Implementing a flexible manufacturing system allows the company to quickly adjust to changes in demand and improve its ability to respond to customer needs. Diversifying its supplier base can help the company to reduce its dependence on any single supplier, making its supply chain more resilient to disruptions.
A company is trying to improve its sustainability in its supply chain. What are some ways it could achieve this goal?
- A. The company could negotiate better terms with suppliers, streamline its logistics processes, and implement a just-in-time inventory system.
- B. The company could improve supply chain visibility, implement a green supply chain management program, and reduce waste in its operations.
- C. The company could negotiate better terms with suppliers, improve supply chain visibility, and implement a green manufacturing program.
- D. The company could streamline its logistics processes, reduce waste in its operations, and implement a green supply chain management program.
Correct Answer: D
Explanation: A company can improve its sustainability in its supply chain by streamlining its logistics processes, reducing waste in its operations, and implementing a green supply chain management program. By streamlining its logistics processes, the company can reduce waste and improve the flow of goods, leading to greater efficiency in the supply chain. Reducing waste in its operations helps the company to minimize its environmental impact and improve its sustainability. Implementing a green supply chain management program allows the company to identify and address sustainability issues throughout its entire supply chain, from raw material procurement to end-of-life disposal.
Basic Sample Questions
Question 1
The emphasis on the following distinguishes collaborative supply chain management from a transactional approach:
- A. delivery of goods to the following link in the chain
- B. the flow of product information up the chain to the next level.
- C. the movement of demand information and cash up the supply chain.
- D. the flow of supplies into a business.
Correct Answer – C
Question 2
Which of the following scenarios is an appropriate use of the Supply-Chain Operations Reference model (SCOR)?
- A. SCOR is used by sales and marketing to improve demand generation.
- B. Production and engineering design a new “make” process flow based on SCOR best practices.
- C. Suppliers are chosen from the SCOR reference list by distribution and logistics.
- D. For new product design, marketing and development incorporate SCOR Level I metrics.
Correct Answer – B
Question 3
The primary goal of supply chain management is to:
- A. reducing transportation expenses.
- B. lowering inventory levels
- C. utilizing a systems-based approach
- D. putting advanced technologies to use
Correct Answer – C
Question 4
Which of the following levels represents the most upstream external activity in a supply chain network?
- A. Contractor to supplier
- B. Supplier manufacturing
- C. Distribution to customers
- D. Contractor to customer
Correct Answer – A
Question 5
Which of the following marketing strategies focuses on providing services at a lower cost than competitors with comparable features?
- A. Price leadership
- B. Service distinction
- C. Customer orientation
- D. Market receptivity
Correct Answer – A
Question 6
The primary reason for supply chain evolution is:
- A. fewer rejected products due to poor quality.
- B. improved delivery timeliness.
- C. greater cost savings
- D. improved communication
Correct Answer – D
Question 7
Which of the following factors is the most common barrier to implementing collaborative commerce?
- A. Technological impediments
- B. Safety
- C. Company culture
- D. ROI (return on investment) (ROI)
Correct Answer – C
Question 8
A multicountry strategy, as opposed to a global strategy, would be distinguished by:
- A. cross-national strategy coordination
- B. preferred suppliers in the host countries
- C. major strategic decisions are centrally coordinated.
- D. products tailored to local requirements.
Correct Answer – D
Question 9
Which of the following corporate strategies best fits a flexible supply chain strategy?
- A. Being the low-cost leader
- B. Providing the best service possible
- C. Offering mature products with consistent sales
- D. Emphasizing the product’s quality
Correct Answer – A
Question 10
Which of the following is an important supply chain design consideration?
- A. Product development
- B. Choosing support information systems
- C. Determining labor-force requirements
- D. Locating training programs
Correct Answer – B
Question 11
When creating a supply chain for strategic advantage, a company should first consider:
- A. the impact of Just-in-Time manufacturing on customers.
- B. Suppliers’ financial stability.
- C. matching the supply chain to the type of product.
- D. Choosing between custom and standard parts.
Correct Answer – C
Question 12
Supply chains that deliver products or services are best positioned to respond quickly to changing market demands when:
- A. the products have been standardized
- B. products are modular in nature.
- C. manufacturing processes have been standardized
- D. manufacturing processes have been streamlined.
Correct Answer – B
Question 13
Based on which of the following assumptions, risk pooling allows for a lower total inventory level without affecting service levels?
- A. The inventory turnover ratio can be decreased.
- B. Disaggregate demand is less accurate than aggregate demand.
- C. The planning time limit can be changed as needed.
- D. The supplier bears some of the risk associated with inventory holding.
Correct Answer – B
Question 14
The goal of continuous supply chain improvement is to:
- A. Get to the bottom of the problem.
- B. enhance inter-organizational communication
- C. Improve written procedures.
- D. lower product costs.
Correct Answer – A
Question 15
Which actions should trading partners take after identifying the potential causes of delays in communicating demand information up the supply chain?
- A. Establish a faster data communications network.
- B. Modify procedures to increase the frequency with which data is communicated.
- C. Determine the root causes of the delays.
- D. Create a value stream map and analyze it.
Correct Answer – C
Question 16
Which of the following is an example of a postponement?
- A. Shipments are separated into smaller groups for reshipment.
- B. Shipments are immediately consolidated for reshipment.
- C. Production begins upon receipt of a customer order.
- D. Partially assembled goods are later assembled.
Correct Answer – D
Question 17
Which of the following scenarios illustrates the use of inventory to balance supply and demand?
- A. To maintain a consistent production schedule, a manufacturer keeps key components in stock.
- B. A seasonal product manufacturer builds finished goods inventory before the peak selling season.
- C. At a central distribution center, a distributor keeps a safety stock of slow-moving items.
- D. To avoid losing sales, a retailer stocks a variety of sizes and colors of a popular item.
Correct Answer – B
Question 18
The annual cost of goods sold for a company is $350 million, and the inventory carrying cost is 18 percent. The company has four inventory turns on average. The cost savings from increasing inventory turns from four to six would be as follows:
- A. $29,000,000.
- B. $15,750,000.
- C. $10,500,000.
- D. $ 5,250,000.
Correct Answer – D
Question 19
Continuous improvement is best defined as follows:
- A never-ending effort to identify and eliminate the underlying causes of problems.
- B. a never-ending management team effort to reduce cycle time.
- C. identifying and implementing large-scale process improvements
- D. a procedure in which a supplier agrees to replenish inventory based on demand but does not receive replenishment orders.
Correct Answer – A
Question 20
Costs, proprietary knowledge, and other factors to consider in the make-or-buy decision include:
- A. brief history of design.
- B. available space.
- C. inventory balance.
- D. warehouse address
Correct Answer – B
