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Category Management Association Certified Professional Category Manager Exam - Topic 3 Question 1 Discussion

Which action would BEST reduce shrink in a perishable category?
D) Improve forecasting and shelf-life rotation
A) Increase promotion frequency
B) Order large quantities for better pricing
C) Add more branded items to the assortment

Category Management Association Certified Professional Category Manager Exam - Topic 3 Question 1 Discussion

Actual exam question for Category Management Association's Certified Professional Category Manager exam
Question #: 1
Topic #: 3
[All Certified Professional Category Manager Questions]

Which action would BEST reduce shrink in a perishable category?

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Suggested Answer: D

The correct answer is D.

Perishable shrink is mainly controlled by matching supply to expected demand and rotating product before it expires. CMKG's Retailer Economics and Product Supply Chain material emphasizes that category managers need to understand how their decisions affect the retailer income statement and cost of goods sold, while category management and supply chain must be better aligned for store-level execution.

Improved forecasting reduces over-ordering and excess inventory. Shelf-life rotation ensures older or earlier-expiring product is sold first. FIFO/FEFO rotation is a standard perishable inventory control method because it helps reduce waste and spoilage by moving product before expiration.

Option A may help clear inventory in some cases, but increasing promotion frequency is not the best root-cause control for shrink. Option B is dangerous in perishables because larger orders can increase spoilage if demand is overestimated. Option C changes assortment composition but does not directly control spoilage, dating, or inventory loss. The strongest operational answer is improve forecasting and shelf-life rotation.


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Refugia
2 days ago
Adding more branded items might attract customers, but I doubt it would really help with shrink.
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Cassie
7 days ago
I remember a practice question about managing perishables, and it seemed like ordering large quantities could lead to more waste if they don't sell.
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Tish
12 days ago
I think improving forecasting and shelf-life rotation makes the most sense, but I'm not entirely sure how that would directly impact shrink.
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