Exam 1z0-347 topic 1 question 33 discussion

Actual exam question from Oracle's 1z0-347

Question #: 33
Topic #: 1

Your company is a manufacturer and distributor of CTO type of products globally, and uses Global Order Promising to promise its orders. You recently noticed that the promising results are determining the expected sources globally but not the least-cost ones. You want to understand the logic used by the GOP engine to derive the least-cost source.
Identify the four cost elements used by the cloud Global Order Promising engine to achieve the Profitable-to-Promise objective? (Choose four.)

A. Cost of internal transfers between organizations
B. Storage Cost (when the cost of holding that item in inventory is high)
C. Overhead Cost
D. Resource Consumption Cost (in case the end item is to be manufactured)
E. Component Cost
F. Standard Cost at internal organizations

Show Suggested Answer

Suggested Answer: ADEF 🗳️
Reference -
https://docs.oracle.com/cd/E56614_01/scmop_gs/FASCP.pdf
(page 48)

by Jamrock at Aug. 13, 2020, 3:13 a.m.

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Jamrock

4 years, 12 months ago

Solution is correct: ADEF https://docs.oracle.com/en/cloud/saas/supply-chain-management/20a/fascp/order-promising-rules.html#FASCP202487 If the Profitable to Promise attribute is enabled for the ATP rule being applied, the supply chain availability search overrides sourcing priorities to respect the least-cost source that it can promise from. The costs considered when determining the most optimal location to source the promise from are the following: Standard cost at internal organizations Standard cost at supplier locations Cost of internal transfers between organizations Cost of transit from supplier to internal organizations Cost of transit from ship-from locations to customer sites by shipping method In the case of make capable-to-promise, the following costs are also considered: The cost associated with resource consumption defined as cost per unit of resource consumed The cost of the components required to make the end item

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