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CIPS L6M9 Exam Syllabus Topics:

Topic	Details
Topic 1	Understand operations strategy and its contribution to overall business success: Targeting Operations Directors, this section evaluates understanding of operations strategy's impact on organizations, including aligning with business goals, market requirements, and resource management.
Topic 2	Assess the strategic value of resource planning and control: This part targets Resource Planners, focusing on evaluating strategic resource planning concepts such as forecasting, scheduling, monitoring, and controlling resources effectively within the operational framework.
Topic 3	Understand and apply leadership skills and behaviors appropriate for strategically improving the procurement and supply chain function: This section of the exam measures the skills of Supply Chain Managers and covers understanding leadership behaviors that enhance procurement processes. It assesses how to strategically improve supply chain functions, focusing on a key skill like "Strategic Decision Making".

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Supply Network Design Reliable Exam Papers & L6M9 Study Pdf Vce & Supply Network Design Online Practice Test

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CIPS Supply Network Design Sample Questions (Q56-Q61):

NEW QUESTION # 56
Greg is the manager at a car wash and is trying to work out the break-even point of his business. Which of the following pieces of information will he need to consider to understand his break-even point?Select ALL that apply.

A. Variable costs
B. Number of employees
C. Fixed costs
D. Number of customers
E. Price per car wash

Answer: A,C,E

Explanation:
Greg needs to know hisfixed costs, variable costs, and price per car washto determine his break-even point.
For example, if:
* Fixed costs(rent, bills) = £100/day
* Variable cost per car wash(soap, sponges) = £5
* Price per car wash= £10
Thebreak-even pointis when revenue = costs, which means washing20 cars per day(£10 × 20 = £200 revenue, covering fixed and variable costs).
* Number of customers (C) is incorrect, as this iscalculated from the break-even formula, not an input.
* Number of employees (E) is incorrect, as it isnot a direct factorin the break-even calculation (only their wages as part of fixed costs).
(LO 1.3)

NEW QUESTION # 57
Dan is an Operations Manager at a retail organisation. He is keen to understand more about the types of customers his organisation serves and has therefore devised new KPIs (key performance Indicators) with a customer-centric focus. He is particularly keen to understand which customersegments are providing the organisation with the highest ROI (return on investment). Which customer-centric performance measure should Dan look to introduce?

A. Customer Retention Rate
B. Churn Rate
C. Net Promoter Score
D. Customer Lifetime Value

Answer: D

Explanation:
#Customer Lifetime Value (CLV)measures the total amount a customer is expected to spend over their lifetime with a company, helping identify themost profitable customer segments.
#Other KPIs are not suitable for Dan's needs:
* Churn Rate: Measurescustomer lossover time.
* Net Promoter Score: Measurescustomer satisfaction and loyalty.
* Customer Retention Rate: Focuses onhow many customers stay with the companybut does not indicate ROI.
For more insights onCLV, visit:#Customer Lifetime Value - WallStreetMojo (See LO 2.2, p.97)

NEW QUESTION # 58
Keisi is the new Operations Manager at Warehousing Logistics Corporation. She is reviewing several products sold by the organisation and deciding on the best warehousing options available. Keisi is looking at item 56283. This item is low cost, not sold in high volumes, but important to customers. Which of the following stocking policies should be used for this item?

A. Maintain an average of 3 days stock
B. Never be out of stock
C. No stock held locally
D. Stock reviewed monthly

Answer: A

Explanation:
The item described is a 'regular seller'-important to customers but not sold in high volumes. Keepingan average of 3 days' stockbalances demand with the effort required for stock management. "Never be out of stock" is only for high-demand, critical items, while "monthly stock review" might lead to lost sales. (See p.
158)

NEW QUESTION # 59
Giant Gymsis a fitness chain where clientspay a monthly subscriptionfor full access to gym facilities. The company typically experiences ahuge spike in new memberships in Januarydue to New Year's fitness resolutions. However, toreduce this seasonal surge, Giant Gyms introduces apricing structure that makes it cheaper to sign up in November, which is typically itsslowest month.
What is this strategy called?

A. Optimal Capacity
B. Capacity Expansion
C. Demand Smoothing
D. Lead Strategy

Answer: C

Explanation:
Demand smoothingattempts toinfluence customer behaviorto balancedemand fluctuations. Giant Gyms wants more customers inNovemberrather than inJanuary, preventingseasonal peaks and troughs.
#Note:
* Lead Strategy= expanding capacitybefore demand increases
* Capacity Expansion= increasing production ability
* Optimal Capacity= achieving thebest cost-to-production ratio
(See LO 1.3, p.55)

NEW QUESTION # 60
A car manufacturing organisation organises formal, regular meetings with itstier one suppliersfor the purpose of collaborating on improvements and changes to the final product. What is this arrangement known as?

A. Supplier improvement project
B. Supplier focus group
C. Supplier forum
D. Supplier association

Answer: D

Explanation:
This is asupplier association-the key clue in the question is "formal, regular meetings."
* Asupplier improvement projectwould be aone-offinitiative rather than ongoing formal meetings.
* Asupplier forumismore informalthan what is described in the question.
* Asupplier focus groupmeets to discuss specific topics rather than engaging in regular collaboration on improvements.
(See p.191)

NEW QUESTION # 61
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