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APICS CPIM-Part-2 Exam - Topic 5 Question 55 Discussion

Compared to traditional supplier relationships, a more strategic view of supplier relationships would require:
A) maintaining communication based on trust.
B) offering the supplier more business.
C) adopting electronic data interchange (EDI).
D) implementing concurrent engineering.

APICS CPIM-Part-2 Exam - Topic 5 Question 55 Discussion

Actual exam question for APICS's CPIM-Part-2 exam
Question #: 55
Topic #: 5
[All CPIM-Part-2 Questions]

Compared to traditional supplier relationships, a more strategic view of supplier relationships would require:

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Suggested Answer: A

Compared to traditional supplier relationships, a more strategic view of supplier relationships would require maintaining communication based on trust.Trust is a key factor that enables effective collaboration, information sharing, problem solving, and innovation between supply chain partners12.Trust can also reduce transaction costs, conflicts, and opportunism, and increase commitment, loyalty, and performance34. Therefore, maintaining communication based on trust is essential for developing and sustaining strategic supplier relationships that can create value and competitive advantage for both parties.

The other options are not necessarily required for a more strategic view of supplier relationships, because they are either insufficient or irrelevant. Offering the supplier more business may increase the volume or frequency of transactions, but it does not guarantee a more strategic or long-term relationship. Adopting electronic data interchange (EDI) may improve the efficiency or accuracy of information exchange, but it does not ensure a more collaborative or innovative relationship. Implementing concurrent engineering may enhance the product design or development process, but it does not address the other aspects of a strategic relationship, such as quality, delivery, or risk management.


Contribute your Thoughts:

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Danica
1 day ago
I feel like implementing concurrent engineering could be a part of a strategic approach, but I need to double-check how it fits with the other options.
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Charlena
7 days ago
Offering the supplier more business seems like it could help, but I wonder if that really defines a strategic relationship.
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Glory
12 days ago
I remember a practice question that mentioned EDI, but I can't recall if it was specifically about strategic relationships.
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Lenita
2 months ago
I think maintaining communication based on trust is really important, but I'm not sure if that's the only thing needed for a strategic view.
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