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CORE Exam Dumps : Supply Management Core Exam

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Supply Management Core Exam Questions and Answers

Question 1

A supply manager for an electronics manufacturer is asked to source packaging for the company's new printed circuit board. The specifications recommend 0.50 mm tolerances, with a projected breakage ratio of 0.50%, at a cost of $1.00 each. The supply manager finds an alternative source that is specified at 0.60 mm tolerances, with a projected breakage ratio of 0.75%, at a cost of $0.80 each. If the cost of the new circuit board is $120 per unit, which packaging should the supply manager recommend and why?

Options:

A.

The 0.50 mm packaging, as It is the most cost effective.

B.

The 0.50 mm packaging, as the supply manager's primary responsibility is honoring internal stakeholder requests.

C.

The 0.60 mm packaging, as it is the most cost effective.

D.

The 0.60 mm packaging, as it is only $0.80 each, while the 0.50 mm packaging is $1.00 each.

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Question 2

When developing a sourcing strategy, which of the following is the BEST source of data on the spend profile of a category?

Options:

A.

A sales representative from the supplier

B.

An internal stakeholder

C.

Information from an internal database

D.

The Internet

Question 3

A company's accounting department implements a new system to track liabilities for capital assets. The reports developed by this system exclude some important indirect procurement data (e.g., transactions related to test equipment), as this information is tracked by another system. Which of the following is the BEST course of action for the firm to take in this situation?

Options:

A.

Estimate the total debts and assets being tracked outside the system and correct any large variances on a quarterly basis

B.

Notify senior management that reports from the new system may understate the company's debts and assets

C.

Notify the entire organization of the issue during the next iteration of the tool

D.

Take no action, as the aggregate numbers reported to shareholders will not be severely affected