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ISM certification INTE best exam questions and answers
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ISM INTE Exam Syllabus Topics:
Topic
Details
Topic 1
- Supply Chain Strategy: This section deals with how to develop and implement material or service standardization programs and implement requirements planning to align supply management activities with organizational strategy.
Topic 2
- Quality Management: This section covers understanding and applying quality management principles throughout the supply chain.
Topic 3
- Sales and Operations Planning (SOP): This section covers sales and Operations Planning, Demand Planning, and Forecasting.
Topic 4
- Logistics and Materials Management: This section covers knowledge of transportation modes, warehousing, and inventory management practices.
Topic 5
- Project Management: This section covers applying project management principles to supply management activities.
ISM Supply Management Integration Sample Questions (Q76-Q81):
NEW QUESTION # 76
A large retailer and one of its suppliers establish a process to combine intelligence from both organizations in order to improve product availability while reducing inventory, transportation, and logistics costs. This process is known as which of the following?
- A. Collaborative planning, forecasting and replenishment
- B. Enterprise resource planning
- C. Vendor-managed inventory
- D. Sales and operations planning
Answer: A
Explanation:
The process described is Collaborative Planning, Forecasting and Replenishment (CPFR), which involves both the retailer and supplier working together to improve product availability and reduce costs associated with inventory, transportation, and logistics. References: CPFR is a widely adopted strategy in supply chain management to enhance collaboration and optimize the supply chain.
NEW QUESTION # 77
A supply manager for a U.S. firm is tasked with negotiating domestic shipping terms. The terms must ensure that the supplier has liability for any damaged products and is responsible for filing any claims with the shipper. The terms must also allow the buying firm to pay the shipper directly for shipping costs. Which of the following will BEST accomplish this objective?
- A. FOB Origin, Freight Collect
- B. FOB Destination, Freight Prepaid
- C. FOB Destination, Freight Collect
- D. FOB Origin, Freight Allowed
Answer: A
Explanation:
FOB Origin, Freight Collect ensures that the supplier holds liability for damaged products and is responsible for claims with the shipper, while the buying firm pays the shipping costs directly to the carrier. This arrangement clearly delineates responsibilities and liabilities as required.
NEW QUESTION # 78
Which of the following is the FIRST stage in the Retail Event Collaboration Process Overview (VICS CPFR Model)?
- A. Analysis
- B. Demand and supply management
- C. Strategy and planning
- D. Execution
Answer: C
Explanation:
In the VICS CPFR model, the first stage is strategy and planning, which involves establishing the collaboration framework and defining the scope of the partnership. This stage sets the foundation for subsequent processes. References: CPFR (Collaborative Planning, Forecasting, and Replenishment) guidelines emphasize starting with strategic alignment.
NEW QUESTION # 79
A firm is looking to expand to a larger warehouse. Which of the following should be given the GREATEST consideration when determining the new warehouse's environmental impact?
- A. The cost of replacing single pane windows
- B. The efficiency of the warehouse's air conditioning unit
- C. The building's total carbon footprint
- D. The cost of changing light bulbs to LED lights
Answer: C
Explanation:
When considering a new warehouse's environmental impact, the building's total carbon footprint (Option A) should be given the greatest consideration. This encompasses the overall emissions and energy consumption of the warehouse, which has a broader and more significant effect on the environment compared to specific aspects like air conditioning efficiency or light bulb costs. By focusing on the total carbon footprint, the firm can address both direct and indirect emissions, ensuring a comprehensive approach to sustainability.
Reference: Environmental Protection Agency guidelines on carbon footprint assessments.
NEW QUESTION # 80
A firm has a 50% chance of receiving its daily purchases of fresh bread from a supplier in the event a regional flooding incident. The supply manager approaches two suppliers in geographic locations less likely to be disrupted by the event, and both agree to be ad-hoc suppliers. Their likelihoods of supplying in the event of the flood incident are 75% and 80% respectively. If the flooding event occurs, purchases would be sought from all three companies. Based on this information, what is the probability of the firm being supplied fresh bread during a major regional flooding event'
- A. 97.5%
- B. 99.5%
- C. 80%
- D. 70%
Answer: B
Explanation:
The probability of receiving supplies from at least one supplier is calculated by considering the complementary probabilities of not receiving from each. The formula used is 1 - (1 - 0.5) × (1 - 0.75) × (1 -
0.8), resulting in a 99.5% probability of supply during the event.
NEW QUESTION # 81
......
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