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Exam CSCP topic 1 question 197 discussion

Actual exam question from APICS's CSCP

Question #: 197
Topic #: 1

[All CSCP Questions]

The transportation manager at a consumer goods manufacturer has decided to begin shipping full truckload rather than less-than-truckload quantities. Which of the following outcomes is likely following implementation of this decision?

A. Inventory levels at the manufacturer will decrease.
B. Lead times as seen by the customer will increase.
C. Production efficiencies at the manufacturer will increase.
D. Transportation costs as seen by the customer will increase.

Show Suggested Answer

Suggested Answer: B 🗳️

by Petermatai at Nov. 14, 2020, 9:21 p.m.

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Matt01

2 years, 4 months ago

Why should it not be C? Production efficiencies at the manufacturer will increase too.

upvoted 1 times

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ElishaLee

2 years, 5 months ago

B: The "key" being - Lead times AS SEEN by the customer will increase.

upvoted 2 times

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Petermatai

3 years, 5 months ago

Why is this the right answer?

upvoted 1 times

matracey

3 years, 5 months ago

Inventory levels will increase because they are holding more inventory until they get a full truckload to ship. Lead times will increase for the same reason. Transportation costs will decrease. Product efficiencies would not be affected

upvoted 14 times

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