D470 Transportation, Logistics, and Distribution - Set 2 - Part 1

Correct Answer: Speed

For high-value goods like electronics, speed is a critical factor to ensure timely delivery and minimize the risk of theft or damage.

Correct Answer: Batch production

Batch production allows for flexibility in responding to fluctuating demand by producing goods in smaller, more manageable quantities.

Correct Answer: Reverse logistics

Reverse logistics deals with the movement of goods back to the manufacturer for returns, recycling, or disposal.

Correct Answer: Cross-docking

Cross-docking minimizes storage time by directly transferring goods from inbound to outbound shipments.

Correct Answer: By minimizing lead times

Quick response strategies focus on reducing lead times and improving the company's ability to respond to customer demands quickly.

Correct Answer: Decreased number of facilities

Lowering logistics costs often involves consolidating facilities to reduce operational expenses.

Correct Answer: Sales remain stable but grow slowly

In the maturity phase, sales tend to stabilize as the market becomes saturated and growth slows down.

Correct Answer: Ship

Ships are ideal for transporting large quantities of raw materials at a low cost over long distances, particularly for international trade.

Correct Answer: Moving average

The moving average method smooths out fluctuations by averaging past data to predict future demand.

Correct Answer: Incentive

Incentives are actions taken by governments to encourage specific activities, such as investments in renewable energy.

Correct Answer: Consolidating shipments

Consolidating shipments allows companies to combine multiple orders into one, reducing transportation costs and improving efficiency.

Correct Answer: Direct product profitability

Direct product profitability assigns all associated costs to a specific product to determine its true cost to the company.

Correct Answer: Complexities of globalization

Globalization introduces complexities such as longer lead times, more intricate networks, and the need for greater supply chain visibility.

Correct Answer: Just-in-time (JIT)

JIT aims to minimize waste and optimize inventory levels by delivering materials precisely when they are needed in the production process.

Correct Answer: Improved visibility of stock levels

A WMS helps companies track inventory levels in real-time, ensuring better visibility and control over stock.

Correct Answer: End-to-end supply chain management

4PL providers manage the entire supply chain, overseeing all logistics activities from start to finish without owning physical assets.

Correct Answer: Profitability of serving the customer

Cost-to-serve measures the profitability of serving a customer by analyzing the associated costs throughout the supply chain.

Correct Answer: To smooth out fluctuations in demand

The moving average method helps smooth out short-term fluctuations to identify longer-term trends in demand.

Correct Answer: Forward logistics

Forward logistics refers to the processes involved in moving products from production to the final customer.

Correct Answer: Speed of delivery

Perishable goods require fast delivery to maintain freshness and minimize spoilage.