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APICS CSCP Exam - Topic 1 Question 4 Discussion

Risk pooling enables a lower total inventory level without affecting service levels based on which of the following assumptions?
B) Aggregate demand is more accurate than disaggregate demand.
A) Inventory turnover ratio can be reduced.
C) The planning time fence can be adjusted as needed.
D) The supplier shares some risk for holding inventory.

APICS CSCP Exam - Topic 1 Question 4 Discussion

Actual exam question for APICS's CSCP exam
Question #: 4
Topic #: 1
[All CSCP Questions]

Risk pooling enables a lower total inventory level without affecting service levels based on which of the following assumptions?

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Suggested Answer: B

by Ammie at May 07, 2022, 10:37 PM

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Truman
8 months ago
D seems plausible too, but suppliers sharing risk? Not sure about that!
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Lindsay
8 months ago
I think A is misleading. Lower turnover doesn’t mean less inventory.
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Loreen
9 months ago
Wait, can we really lower inventory without affecting service? Sounds risky!
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Tarra
9 months ago
Totally agree with B! More accurate forecasts = less inventory.
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Isabelle
9 months ago
B is the right choice! Aggregate demand really helps.
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Rima
9 months ago
Okay, the second statement about the internal audit department reporting directly to the board makes sense to me. That ensures independence and oversight, especially if there are any concerns about director behavior.
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Arlyne
9 months ago
This looks like a tricky question. I'll need to think carefully about the implications of centralizing policies and how that could impact services and consumers.
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Leoma
9 months ago
I remember studying about replication metrics in our last prep session. I think "Replica Lag" might be the right answer since it specifically measures how far behind the read replica is.
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Carylon
9 months ago
I'm pretty confident I know the answer to this. Let me double-check my understanding.
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Cherry
9 months ago
Hmm, I'm not sure which option would be the best approach here. I'll need to think through the different steps involved and how to minimize human interaction. Maybe I should start by trying to understand the "Wait Until Day of Month" functionality.
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