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APICS CPIM-Part-2 Exam - Topic 2 Question 21 Discussion

Actual exam question for APICS's CPIM-Part-2 exam
Question #: 21
Topic #: 2
[All CPIM-Part-2 Questions]

The trade-off of increasing safety stock to improve customer fill rate would be a decrease in:

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Suggested Answer: A

Measurements are quantitative or qualitative data that indicate the magnitude, frequency, or impact of the problem. Measurements help to define the problem clearly, objectively, and specifically, as well as to establish a baseline for improvement. Therefore, what should be added to the problem statement to make it more useful is measurements that help describe the problem. For example, a more useful problem statement could be ''We have observed that the inventory system causes 15% of plastic parts to be damaged or misplaced every month, resulting in $10,000 of additional costs and 5% of customer complaints.''


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Isaac
3 months ago
Yeah, C is spot on. Higher safety stock usually slows down inventory turnover.
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Mike
3 months ago
Transportation costs won't decrease just from more stock.
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Hyun
3 months ago
Wait, are we sure it's not A? That seems off.
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Miles
4 months ago
I agree, C makes the most sense here!
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Solange
4 months ago
Definitely inventory turns. More stock means slower turns.
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Scarlet
4 months ago
I thought increasing safety stock would help with fill rates, but I guess it could also mean we have more inventory sitting around, which affects turns.
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Catherin
4 months ago
I feel like the answer could be C, inventory turns, since more stock usually means less turnover, but I might be overthinking it.
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Mel
4 months ago
I remember practicing a question about safety stock and its impact on costs, but I can't recall if it was specifically about inventory turns or something else.
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Selma
5 months ago
I think increasing safety stock might actually lead to lower inventory turns, but I'm not completely sure.
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Lashawn
5 months ago
I think the key here is understanding that increasing safety stock means higher inventory levels, which will lead to a decrease in inventory turns. That's the trade-off.
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Naomi
5 months ago
I'm a bit confused on this one. Is the decrease in transportation costs or something else? I'll have to review my notes to be sure.
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Sheridan
5 months ago
I've got this! The decrease would be in inventory turns. Increasing safety stock means more inventory on hand, which reduces inventory turnover.
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Franklyn
5 months ago
Okay, let's see. Increasing safety stock should improve customer fill rate, but what's the downside? I'm guessing it's related to inventory costs.
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Mirta
5 months ago
Hmm, this seems like a classic inventory management question. I'll need to think through the trade-offs carefully.
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Jesusa
5 months ago
Hmm, this seems like a tricky one. I'll need to think carefully about the access details and user permissions.
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Carli
5 months ago
Hmm, this seems like a tricky one. I'll need to think it through carefully.
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Whitley
10 months ago
Wait, is the answer not 'all of the above'? Because that's what my gut is telling me!
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Chantay
10 months ago
Ooh, this is a tricky one. Maybe the decrease would be in sales revenue? More inventory might mean slower product turnover.
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Afton
8 months ago
C: So, increasing safety stock would impact inventory turns negatively.
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Evette
8 months ago
C) inventory turns.
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Rickie
8 months ago
B) transportation costs.
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Hana
9 months ago
A) A pipeline inventory.
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Noah
9 months ago
B: I agree, having more safety stock would slow down inventory turnover.
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Cammy
9 months ago
A: I think the decrease would be in inventory turns.
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Annabelle
10 months ago
Hmm, I think the correct answer is C. Increasing safety stock means you have more inventory on hand, so your inventory turns would decrease.
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Vivan
9 months ago
So, the trade-off is between customer satisfaction and inventory efficiency.
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Mendy
9 months ago
Yes, it would improve customer fill rate, but at the expense of inventory turns.
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Kristeen
9 months ago
But wouldn't it also increase our customer fill rate?
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Yvette
9 months ago
I agree, increasing safety stock would definitely decrease inventory turns.
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Cordelia
10 months ago
If I increase safety stock, I bet my transportation costs would go down. Less frequent deliveries, you know?
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Leonora
9 months ago
That's right, increasing safety stock could lead to higher transportation costs due to less frequent deliveries.
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Anna
9 months ago
B) transportation costs.
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Hassie
9 months ago
If you increase safety stock, you might end up with more pipeline inventory.
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Colby
10 months ago
A) A pipeline inventory.
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Kenny
10 months ago
Increasing safety stock to improve customer fill rate would definitely mean a decrease in inventory turns. That's a no-brainer!
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Markus
10 months ago
Yes, but it's a trade-off we have to consider for customer satisfaction.
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Stephen
11 months ago
But wouldn't that lead to a decrease in inventory turns?
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Markus
11 months ago
I think increasing safety stock is important for customer fill rate.
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