Certified Supply Chain Professional (CSCP) Practice Exam

Which of the following is NOT an objective of lean supply chains?

1. Increase velocity

2. Reduce need for working capital

3. Decrease market share

4. Develop workforce

The correct answer is: Decrease market share

The objective of lean supply chains is primarily focused on maximizing value for the customer while minimizing waste and inefficiencies in the supply chain processes. The main goals include increasing the velocity of the supply chain, thereby promoting faster delivery and reduced lead times, which enhances responsiveness to market demands. Additionally, lean supply chains aim to reduce the need for working capital by minimizing excess inventory and optimizing resource utilization. This can free up financial resources for other critical business functions. Investing in the development of the workforce is another critical objective, as a skilled and knowledgeable workforce can contribute to more efficient processes and continuous improvement. On the other hand, decreasing market share is not an objective of lean supply chains. Instead, lean practices typically aim to enhance competitiveness and capture greater market share by improving quality and operational efficiency. Therefore, the notion of decreasing market share goes against the foundational principles of lean, which focus on creating a more effective and customer-aligned supply chain.