CORE TEST RESULT - CORE NEW BRAINDUMPS SHEET

CORe Test Result - CORe New Braindumps Sheet

CORe Test Result - CORe New Braindumps Sheet

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ISM Supply Management Core Exam Sample Questions (Q262-Q267):

NEW QUESTION # 262
A company is about to conduct an opportunity assessment review of the items it purchases. Which of the following categories should be analyzed FIRST?

  • A. Low value/high risk and high value/low risk items
  • B. Low value/low risk and low value/high risk items
  • C. High value/low risk and high value/high risk items
  • D. High value/high risk and low value/high risk items

Answer: C

Explanation:
During an opportunity assessment review, it is crucial to focus first on high-value items as they represent the most significant potential for cost savings and impact on the company's bottom line. Within this category, both low risk and high-risk items should be analyzed to identify opportunities for improvement, risk mitigation, and value optimization. By targeting high-value items first, the company can achieve more substantial benefits from its procurement strategies.
References
* Category Management in Purchasing: A Strategic Approach to Maximize Business Profitability by Jonathan O'Brien
* Supply Chain Risk Management: Minimizing Disruptions in Global Sourcing by Robert Handfield and Kevin McCormack


NEW QUESTION # 263
A firm buys a particular product that has low business impact and low supply market complexity. How would this product be categorized using the Kraljic classification model?

  • A. Noncritical
  • B. Leverage
  • C. Strategic
  • D. Bottleneck

Answer: A


NEW QUESTION # 264
A foundation maintains ongoing relationships with agents in several remote locations. The agents are recruited to serve as instructors for the foundation's microbusiness development program. The foundation's supply manager learns that one of the agents has gone outside the defined area of responsibility by having repairs made to the local office after a storm. The agent explains that the building was unusable and potentially dangerous, and had to be repaired. The agent tried to contact the foundation headquarters to request approval for the repairs, but communications were down. Which of the following is the BEST course of action for the supply manager to take?

  • A. Require the agent to bear the cost of all repairs made without approval
  • B. Ratify the action and authorize payment for repairs made at the agent's direction
  • C. Reprimand the agent in writing, and consider termination if the agent oversteps authority again
  • D. Create a new reporting structure for satellite offices to mitigate communication problems

Answer: D

Explanation:
* Context: The agent acted outside their defined area of responsibility due to emergency circumstances (storm damage).
* Agent's Action: The agent repaired the local office because it was unsafe and attempted to contact headquarters but failed due to communication issues.
* Assessment: The agent's decision was necessary and justified given the situation.
* Ratification: Ratifying the action acknowledges the agent's initiative and ensures the foundation's operations and safety are maintained.
* Payment Authorization: Authorizing payment for the repairs ensures the agent is not penalized for making a necessary decision in an emergency.
* Conclusion: This approach maintains the relationship with the agent and shows support for proactive problem-solving under difficult conditions.
References
* Emergency Management and Incident Response by FEMA.
* Contract and Agency Law principles.
* Best practices in supply chain risk management.


NEW QUESTION # 265
A supply manager submits requests for additional personnel and equipment, which are approved. However, the organization's training budget is cut, giving less opportunity to train new employees. The supply manager is concerned that this will adversely affect the department's ability to build expertise. Given this situation, which of the following is the MOST effective action for the supply manager to take?

  • A. Seek highly-qualified applicants who will require less training
  • B. Fill fewer positions than approved and re-direct savings to training
  • C. Utilize available training funds early in the year to gain maximum impact
  • D. Present justification showing how training supports cost reduction goals

Answer: D

Explanation:
The supply manager is facing a situation where the training budget has been cut, limiting the ability to train new employees despite having approval for additional personnel and equipment. The most effective action is to:
* Identify the Impact: Understand and outline how the lack of training will impact the department's performance, efficiency, and ability to meet organizational goals.
* Present Justification: Develop a detailed justification that shows the correlation between training and cost reduction goals. Explain how effective training leads to better employee performance, reduces errors, and increases productivity, ultimately saving costs.
* Data and Examples: Use data and examples to support the argument. This could include metrics on employee performance before and after training, case studies, or industry benchmarks that highlight the importance of training.
* Align with Organizational Goals: Ensure that the justification aligns with the overall strategic goals of the organization, demonstrating that investing in training will contribute to achieving these goals.
By presenting a well-supported justification, the supply manager can make a compelling case for restoring the training budget to support the department's expertise and efficiency.
References:
* Institute for Supply Management (ISM) guidelines on training and development.
* Articles and case studies on the impact of employee training on cost reduction and performance improvement.


NEW QUESTION # 266
A new technological improvement is invented for the production of coffee. At the same time, the price of tea (a substitute for coffee) decreases, and the price of sugar (a complement to both coffee and tea) increases. What is the known result for the new equilibrium for coffee?

  • A. Price decreases
  • B. Quantity and price both increase
  • C. Quantity and price both decrease
  • D. Price increases

Answer: A


NEW QUESTION # 267
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