Certified Supply Chain Professional (CSCP) Practice Exam

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Prepare for the Certified Supply Chain Professional Exam with a comprehensive quiz featuring multiple choice questions and essential study material. Gain the knowledge and confidence needed to excel in your certification journey!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

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What is the goal of a just-in-time inventory system?

To keep large inventories in stock for future sales
To reduce inventories to zero so products are available when needed
To increase lead times in order processing
To facilitate bulk purchasing strategies

The correct answer is: To reduce inventories to zero so products are available when needed

The goal of a just-in-time (JIT) inventory system is to ensure that products are available precisely when needed, minimizing the carrying costs associated with large inventories. This approach aims to streamline production processes and enhance overall efficiency by reducing the time between order placement and fulfillment. JIT systems seek to closely align inventory levels with production schedules and customer demand, effectively reducing excess stock while ensuring that products are ready for use or sale at the right moment. This key aspect of the JIT methodology helps organizations avoid the costs associated with overstocking, such as storage fees and obsolescence, while maximizing operational responsiveness. By contrast, other options focus on strategies that do not align with the principles of just-in-time inventory management, such as maintaining large inventories or pursuing bulk purchasing, which can lead to increased holding costs and less flexibility in responding to changes in demand.