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ISM INTE Exam Syllabus Topics:

Topic	Details
Topic 1	Supply Chain Strategy: This section deals with how to develop and implement material or service standardization programs and implement requirements planning to align supply management activities with organizational strategy.
Topic 2	Project Management: This section covers applying project management principles to supply management activities.
Topic 3	Logistics and Materials Management: This section covers knowledge of transportation modes, warehousing, and inventory management practices.
Topic 4	Quality Management: This section covers understanding and applying quality management principles throughout the supply chain.
Topic 5	Sales and Operations Planning (SOP): This section covers sales and Operations Planning, Demand Planning, and Forecasting.

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The ISM INTE exam questions are being offered in three different formats. These formats are INTE PDF dumps files, desktop practice test software, and web-based practice test software. All these three INTE exam dumps formats contain the Real INTE Exam Questions that assist you in your Supply Management Integration practice exam preparation and finally, you will be confident to pass the final ISM INTE exam easily.

ISM Supply Management Integration Sample Questions (Q70-Q75):

NEW QUESTION # 70
A manufacturer has historically ordered fasteners utilizing monthly fixed order quantities. The firm wishes to explore the feasibility of using economic order quantity (EOQ), and determines that the EOQ is less than the supplier's quoted price break. Which of the following is the BEST course of action for the firm to take?

A. Negotiate a new contract with the supplier to modify price breaks
B. Compare the price break to the carrying cost of buying at the economic order quantity
C. Implement a Vendor Managed Inventory program with the supplier to transfer carrying costs
D. Place orders using the economic order quantity

Answer: B

Explanation:
Comparing the price break to the carrying cost of buying at the economic order quantity is essential. This analysis will help the firm determine the most cost-effective purchasing strategy by weighing the benefits of the price break against the costs associated with holding additional inventory. Reference: Inventory management and cost analysis.

NEW QUESTION # 71
A firm engaging in low-cost country sourcing wants to assume the least amount of risk when importing goods into its own country. Which of the following Incoterms 2020 rules would be MOST useful in achieving this goal7

A. DAP
B. CFR
C. CPT
D. EXW

Answer: A

Explanation:
In the context of low-cost country sourcing and minimizing risk when importing goods, the selection of appropriate Incoterms 2020 rules is crucial.
DAP (Delivered at Place) is the most suitable Incoterm for a firm wanting to assume the least amount of risk.
Under DAP, the seller is responsible for all costs and risks associated with delivering the goods to a specified destination, which includes transportation, export customs clearance, and any other logistical arrangements until the goods are made available for unloading at the buyer's location. This significantly reduces the buyer's risk as the seller handles most of the transportation and logistics.
Other Incoterms, such as:
* CFR (Cost and Freight): The seller pays for the cost and freight to bring the goods to the port of destination. However, the risk is transferred to the buyer once the goods are loaded on the vessel.
* CPT (Carriage Paid To): Similar to CFR, but can be used for any mode of transport. The seller covers transport costs to a specified destination, but the risk transfers to the buyer upon handing over the goods to the first carrier.
* EXW (Ex Works): The buyer assumes all risks and costs from the seller's premises onward, making it the highest risk for the buyer.
References:
* Incoterms 2020 by the International Chamber of Commerce (ICC)
* "A Guide to Incoterms 2020" by the International Trade Centre (ITC)

NEW QUESTION # 72
Which of the following is the GREATEST advantage of using component standardization in product design?

A. Reducing component costs and forecast complexity
B. Leveraging volume and simplifying new product development
C. Increasing the potential supply base for the standardized components
D. Reducing the effort required to maintain the supply chain

Answer: B

Explanation:
Component standardization increases purchasing power through higher volumes, leading to cost reductions and simpler product development. It streamlines processes and reduces complexity, enhancing efficiency and flexibility. References: Product design and development literature often highlight standardization as a means to optimize manufacturing and supply chain processes.

NEW QUESTION # 73
A company purchases raw materials from a domestic supplier that offers competitive overland transportation rates. The firm requires the goods be delivered to its manufacturing plant. Which of the following Incoterms
2020 rules should be used if the firm wants risk to transfer at the manufacturing plant?

A. CIP
B. DAP
C. FCA
D. FOB

Answer: B

Explanation:
DAP (Delivered at Place) specifies that the seller bears all risks and costs until the goods are delivered to the specified location, in this case, the manufacturing plant. This ensures risk transfer at the point of delivery.
Reference: Incoterms 2020 by ICC.

NEW QUESTION # 74
A supply manager is tasked with creating a business continuity plan in the event of natural disasters. The firm is most concerned with understanding the impacts and consequences of events. Which of the following steps of a business continuity plan should be the PRIMARY focus of the supply manager?

A. Execution plan
B. Disruption scanning
C. Mitigation plan
D. Disruption assessment

Answer: D

Explanation:
In creating a business continuity plan, the primary focus on disruption assessment is crucial for understanding impacts and consequences of events. This step involves evaluating potential disruptions, their likelihood, and their impact on operations, forming the basis for effective continuity planning. Reference: Business continuity planning frameworks.

NEW QUESTION # 75
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