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Guide for L6M9: CIPS Supply Network Design

Quiz L6M9: CIPS Supply Network Design

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/ 10

Quiz

1/10
A cupcake manufacturing organisation uses a 'management by exception' technique when it comes
to planning and control. What does this mean?
Select the answer
1 correct answer
A.
Audits and other control activities are completed by an outsourced company to ensure there is no bias in the investigations
B.
Reporting only takes place when non-compliance occurs
C.
Plans and control activities are created based on historical performance
D.
Exceptional performance is rewarded, for example through staff bonus schemes

Quiz

2/10
The Improvement Gap Analysis can be utilised to manage trade-offs in operational strategy. Which of
the following is measured by the IGA? Select ALL that apply.
Select the answer
1 correct answer
A.
Churn rate
B.
Customer return rate
C.
Customer dissatisfaction levels
D.
Return on investment
E.
Profit margin

Quiz

3/10
Rayan is the new CFO of an international banking organisation operating in London. He has been
invited to a meeting of the top executives regarding corporate strategies and strategic resource
planning. He believes that the organisation must be led by the strategy first, with resources then
created to meet the requirement. Is this always the case?
Select the answer
1 correct answer
A.
Yes - corporate strategy dictates operational strategy and thus resource allocation
B.
Yes - resources can only be assembled once objectives have been set
C.
No - corporate strategies will not assist in resource planning
D.
No - strategies can be created to fit an organisation's resource capabilities

Quiz

4/10
Keisi is the new Operations Manager at Warehousing Logistics Corporation. She is reviewing several
products sold by the organisation and deciding on the best warehousing options available. Keisi is
looking at item 56283. This item is low cost, not sold in high volumes, but important to customers.
Which of the following stocking policies should be used for this item?
Select the answer
1 correct answer
A.
Never be out of stock
B.
Maintain an average of 3 days stock
C.
Stock reviewed monthly
D.
No stock held locally

Quiz

5/10
Strategic stocking decisions are likely to change under what circumstances? Select ALL that apply.
Select the answer
2 correct answers
A.
Changes in competitor activity
B.
Raw materials are vulnerable
C.
There is a short lead time for the product
D.
Customer demand is low

Quiz

6/10
Which of the following are examples of investment appraisal techniques? Select ALL that apply.
Select the answer
3 correct answers
A.
Liquidity
B.
Gearing
C.
Return on investment
D.
Cash flow impact
E.
Payback period

Quiz

7/10
XYZ Ltd is a perfume manufacturer based in France. They have created a new perfume and research
has shown that demand for the perfume will outstrip supply. The Chief Operating Officer (COO) and
the Chief Financial Officer (CFO) are meeting to discuss this. The COO believes that the organisation
needs to reallocate resources in order to meet demand. Are there any exceptions to when this may
be the case?
Select the answer
1 correct answer
A.
No - organisations should always aim to meet customer demand or resources will be underutilised
B.
No - this would negatively affect the profit the organisation could make
C.
Yes - there are occasions when an organisation would choose not to fulfil customer demand
D.
Yes - there are exceptions, but these are always outside of the organisation's control

Quiz

8/10
Which of the following principles considers the volume of work undertaken by a given resource
within an organisation?
Select the answer
1 correct answer
A.
Process Control
B.
Prioritisation
C.
Sequencing
D.
Loading

Quiz

9/10
Zelda is the Head Consultant at Pirate Architects Ltd, which provides services to clients in the
construction industry. She has a team of 20 consultants and is considering how many projects each
team member should handle. In terms of capacity loading, which factors should Zelda consider when
assigning projects? Select ALL that apply.
Select the answer
4 correct answers
A.
Staff member's experience
B.
Staff member's efficiency
C.
Staff member's salary
D.
Staff member's time availability
E.
Staff member's effectiveness

Quiz

10/10
LTL Ltd is a manufacturing organisation producing made-to-order equipment for the construction
industry, such as bespoke windows and doors. The Head of Operations has received four large orders
and is considering the sequencing of production. Which of the following should the company do?
Select the answer
1 correct answer
A.
Use a First Come, First Serve system to prioritise the orders that were made first, ensuring customer satisfaction
B.
Sequence the orders in the way that will be the cheapest to produce, creating the highest profit margin
C.
Create the orders in the most logical, economic, and fastest pattern. This may mean that the first order received is the last to be produced
D.
Start manufacturing the order that has the longest completion time first so all orders are ready at the same time
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Info quiz:

  • Quiz name:L6M9: CIPS Supply Network Design
  • Total number of questions:84
  • Number of questions for the test:50
  • Pass score:80%

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