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Exam CSCP topic 1 question 213 discussion

Actual exam question from APICS's CSCP
Question #: 213
Topic #: 1
[All CSCP Questions]

The most cost-effective way to increase the velocity of goods in a supply chain is to:

  • A. improve the way the supply chain handles goods that are not in motion.
  • B. switch to a faster mode of transportation.
  • C. establish warehouses near major retail outlets.
  • D. subcontract with multiple third-party logistics (3PL) providers who are located at strategic locations.
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Suggested Answer: D 🗳️
Explanation -
The third-party logistics provider is better positioned to adapt to different technologies used by the company's clients. This potentially expands the company's customer base at a reduced cost.

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Daesma
Highly Voted 1 year, 4 months ago
A is the correct answer. This option focuses on optimizing internal processes and eliminating bottlenecks and unnecessary waiting times, rather than incurring additional costs by switching to a faster mode of transport (Option B) or establishing warehouses near major retail outlets (Option C). The latter could increase the speed of goods, but often at a significantly higher cost.
upvoted 5 times
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GA301
Most Recent 9 months, 2 weeks ago
Selected Answer: A
Reducing the time in which inventory is not moving (idle, queue, wait time, etc.) such as by using Just-in-Time delivery and lean manufacturing (The less time inventory spends at rest, the less likely it is to suffer damage or spoilage. Increased velocity reduces the expenses involved in warehousing inventory.)
upvoted 1 times
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Rajiv8047
10 months ago
Selected Answer: A
Improving the way the supply chain handles goods that are not in motion, such as reducing processing time, optimizing storage and handling methods, and streamlining administrative tasks, can help increase the velocity of goods without incurring additional transportation costs or establishing new facilities. This approach focuses on eliminating bottlenecks, reducing idle time, and enhancing overall efficiency within the supply chain, resulting in faster movement and reduced lead times.
upvoted 1 times
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Justiniboy
1 year, 12 months ago
Should be B. CSCP 5.0 page 8-32 stated.. "Relying on more rapid modes of transportation"
upvoted 2 times
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A (35%)
C (25%)
B (20%)
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