CIPS L6M10 Exam - Topic 1 Question 11 Discussion

Actual exam question for CIPS's L6M10 exam

Question #: 11
Topic #: 1

A company is looking to improve cost efficiency while remaining responsive to customer demands in its supply chain operations. Which practice involves outsourcing core logistics capabilities to specialist providers like DHL and FedEx?

ATotal external asset management

BThird-party logistics (3PL)

CFourth-party logistics (4PL)

DStock and inventory management

Show Suggested Answer

Suggested Answer: B

Third-party logistics (3PL) involves outsourcing logistics functions to specialized providers such as DHL and FedEx to improve efficiency and responsiveness. [P-38]

by Magdalene at Jun 14, 2025, 08:48 PM

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Jerlene

5 months ago

Totally agree with B! It’s all about specialization these days.

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Willodean

5 months ago

Wait, are we sure it's not A? Sounds like a trick question.

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Katie

5 months ago

Definitely B, third-party logistics is the way to go!

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Dustin

6 months ago

I thought 4PL was the answer, but B makes sense too.

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Antione

6 months ago

Outsourcing logistics is smart for cost efficiency!

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Dorothy

6 months ago

I’m a bit confused about the differences between 3PL and 4PL. I hope I remember the right definitions during the exam!

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Georgeanna

6 months ago

I recall a practice question that focused on outsourcing logistics, and I think it pointed towards 3PL as the best option.

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Remona

7 months ago

I'm not completely sure, but I feel like 4PL could also be relevant since it involves managing multiple logistics providers.

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Tran

7 months ago

I think the answer might be B, third-party logistics. I remember studying how companies use 3PL to handle their logistics needs.

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Cyril

7 months ago

This is a good test of our understanding of supply chain management practices. I'm pretty confident that 3PL, or third-party logistics, is the right answer here. Outsourcing core logistics to specialists like DHL or FedEx is a key part of the 3PL model.

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Jenelle

7 months ago

I'm a little confused by the difference between 3PL and 4PL. I know 3PL is about outsourcing logistics, but 4PL seems to involve even more integration with an external provider. I'll have to review my notes to make sure I understand the distinction before answering this.

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Flo

7 months ago

Okay, I think I've got this. The key is that the question is asking about a practice that involves outsourcing core logistics capabilities to specialist providers. That sounds a lot like 3PL, where you hire an external logistics company to handle things like shipping and warehousing. I'm feeling good about selecting B.

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Bobbye

8 months ago

Hmm, I'm a bit unsure about this one. I know it has to do with outsourcing logistics, but I'm not sure if 3PL is the right term or if there's another option that's more specific. I'll have to think this through carefully.

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Armanda

8 months ago

This seems like a straightforward question about supply chain practices. I'm pretty confident the answer is B, Third-party logistics (3PL).

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Tricia

10 months ago

Outsourcing logistics, huh? Better hope those 3PL providers don't lose any packages or my dog's birthday present won't make it in time!

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Laquita

10 months ago

Yeah, outsourcing to 3PL providers can help improve efficiency and customer satisfaction.

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Kimberely

10 months ago

I heard that 3PL providers are experts in logistics, so your dog's present should be safe.

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Melvin

11 months ago

I'm not sure, but it makes sense to outsource logistics capabilities to focus on core business activities. So, I think the answer is B) Third-party logistics (3PL).

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Cherry

11 months ago

I agree with Elliot, outsourcing to specialist providers like DHL and FedEx is a common practice in supply chain operations.

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Amie

11 months ago

Haha, I bet the company is hoping for some third-party magic to save them. B) is the winner for sure.

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Arlette

10 months ago

Let's hope the company sees the benefits of outsourcing core logistics capabilities.

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Leslie

11 months ago

Third-party logistics (3PL) is the way to go for sure, they have the expertise to handle it.

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Jarod

11 months ago

I agree, outsourcing to specialists like DHL and FedEx can definitely help with cost efficiency.

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Elliot

11 months ago

I think the answer is B) Third-party logistics (3PL).

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Antione

11 months ago

I agree, B) is the way to go. Gotta keep those supply chains running smoothly without breaking the bank.

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Eden

11 months ago

B) Third-party logistics (3PL) seems like the obvious choice here. Outsourcing logistics to the experts like DHL and FedEx is a no-brainer for cost efficiency.

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Jaclyn

10 months ago

Outsourcing core logistics capabilities can free up resources for the company to focus on other aspects of their business.

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Ettie

10 months ago

It's important to remain responsive to customer demands while also finding ways to cut costs in the supply chain.

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Myrtie

11 months ago

Third-party logistics (3PL) is a common practice in supply chain operations for companies looking to streamline their processes.

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Teresita

11 months ago

I agree, outsourcing to specialists like DHL and FedEx can definitely help improve cost efficiency.

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