Question 1

Which of the following statements about Sales and Operations Planning are TRUE? Select TWO

Options :

A : it is a process of planning future aggregate resource levels so that supply will balance with demand

B : it is a fundamental financial plan to ensure business profitability in relation to supply and demand

C : it is a cross-functional department activity

D : competitors' behaviour is not accounted for in Sales and Operations Planning

Answer: A,C

Question 2

Dasap Group Ltd has hired a third party logistics organisation (3PL) to manage some aspects of their business on their behalf. Which of the following business functions would you expect a 3PL company to manage on behalf of Dasap Group Ltd? Select THREE.

Options :

A : management of the receipt of customer orders

B : operation of the distribution centre

C : management of customer complaints

D : production of sales reports

E : manage the delivery of items through a transport fleet

Answer: A,B

Question 3

Green Frog Ltd is a consultancy organisation that has around 50 different customers. Their new CEO Patal is investigating the different customers and believes that using a Cost to Serve tool will help better understand customer profitability. Is this the right approach?

Options :

A : yes- Cost to Serve will allow Patal to identify customers that are unprofitable

B : yes- this is an expensive tool but will allow a high level of visibility for the organisation into its customers

C : no- all customers are equally profitable if they pay the same rates

D : no - Patal should use a Total Cost of Ownership approach to measure this

Answer: A

Question 4

Which of the following is an approach that aims to increase profits by maximising the performance of constraints?

Options :

A : Lean

B : Six-Sigma

C : Total Quality Management

D : Theory of Constraint

Answer: D

Question 5

Which governing body is responsible for the creation and management of INCOTERMS? (Rules that state the responsibilities of buyers and sellers regarding delivery of goods under sales contracts).

Options :

A : World Trade Organisation

B : United Nations

C : International Labour Organisation

D : International Chamber of Commerce

Answer: D

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