APICS Exam CPIM Topic 1 Question 64 Discussion

Actual exam question for APICS's CPIM exam

Question #: 64
Topic #: 1

[All CPIM Questions]

Which of the following is an advantage of VMI?

ASuppliers can leverage better information to reduce inventory levels.

BThe customer can usually force additional concessions from the VMI supplier

CLead-times are increased

DMRP system operating costs decrease

Show Suggested Answer

Suggested Answer: A

by Merissa at Jan 04, 2023, 10:13 AM

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2 days ago

Yes, VMI can lead to cost savings for suppliers by reducing inventory levels.

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4 days ago

I agree with Myra. It helps suppliers leverage better information.

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8 days ago

I think the advantage of VMI is that suppliers can reduce inventory levels.

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