CLTD Online Practice Questions and Answers

Under what circumstances should management generally consider utilizing qualitative forecasting techniques?

A. When real-time data flow is available

B. When historic data is both clear and relatively stable

C. When developing strategic-level forecasts

D. When demand is dependent on bill of material (BOM) calculations

Which of the following lean tools would a warehouse team use to document, analyze, and improve the flow of information and materials to customers?

A. Lean six sigma

B. Kaizen

C. Value stream mapping

D. Five S methodology

Which of the following prerequisites is essential in order to establish an effective order management system?

A. An ability to reserve inventory and determine a delivery date

B. An ability to understand customer needs

C. An ability to plan and build loads

D. An ability to receive, enter, and validate an orders

A company would like to implement a strategic initiative of enhancing its reverse logistics process. Which of the following statements best describes the profitability impact of such a strategy?

A. More profits due to higher return rate of customers

B. More profits due to larger volume of returned products

C. Less profits due to increase in investment costs

D. Less profits due to negative impact on brand image

Excluding cost, which of the following sets of criteria describes the primary drivers for transportation mode selection?

A. Capacity, transit time, reliability, safety, and supply chain security participation

B. Accessibility, capacity, transit time, reliability, and financial stability

C. Accessibility, capacity, transit time, reliability, and safety

D. Capacity, transit time, safety, supply chain security participation, and availability

A document that serves as a contract, a receipt, and a certificate of title in an international transaction is known as a:

A. certificate of origin

B. manifest

C. packing list

D. bill of lading (B\L)

A company is sending a shipment to its customer in Italy. It elects to pay the freight and be responsible for any liability and damage claims. Which of the following free on board (FOB) terms is the company using?

A. FOB destination, freight collect

B. FOB destination, freight prepaid

C. FOB origin, freight prepaid

D. FOB origin, freight collect

A company finds itself constantly expending its customer's retail store deliveries in order to prevent stock-outs. The best solution to this problem is to:

A. carry additional inventory to satisfy customer's demand.

B. balance the supply of inventory with the demand.

C. minimize the inventory risk of product obsolescence.

D. increase inventory turns to the highest possible value.

To prevent the importing of certain luxury good so that a country can use its hard currency on essential goods, governments can refuse to issue a(n):

A. general average.

B. specific license.

C. explicit license.

D. import license.

Which Incoterm ?applies only to ocean transportation where the exporter is responsible to bring the goods to the port?

A. Ex works (EXW)

B. Free alongside ship (FAS)

C. Free on board (FOB)

D. Delivered at place (DAP)

In warehouse operations, picking process occurs when:

A. customer orders for product are ready to be shipped or to replenish a forward case or unit pick area.

B. immediately after a product is stored in a designated location in order to be shipped to the customer.

C. a Kanban signal arrives to replenish material in the workshop.

D. when a customer order needs to be replaced by a new product die to engineering changes.

Which of the following inventory cost elements is the most difficult to quantify?

A. Unit cost

B. Cost of reordering

C. Carrying cost

D. Shortage cost

As a means to protect domestic industries, which of the following requirements is an example of a non-trade barrier?

A. Requesting a mandatory consular invoice

B. Utilizing Convention on International Sale of Goods (CISG)

C. Mandating compliance with triple bottom line (TBL)

D. Demanding process efficiency

Which of the following terms refers to an integrated approach of simultaneously selling to consumers through multiple distribution channels?

A. Omni-channel

B. Multi-channel

C. Business-to-consumer (B2C)

D. E-commerce

A logistics manager seeks total integration of components that are essential to achieve stated objectives. Which of the following frameworks would be best to implement?

A. System concepts and analysis

B. Total cost of ownership (TCO)

C. Lean six sigma concepts

D. Network inventory cost minimization