Free Access HBX.CORe.v2026-08-07.q212 Practice Test (Page 27)

Question 126

DEF, Inc. wants to ensure adequate material supply for an emerging product with high quality specifications for the raw materials. Given this situation, which of the following would be the BEST course of action for DEF to take?

A.Choose a supplier with a large infrastructure and high quality standards

B.Select an approved supplier and work collaboratively with it to meet the entirety of the organization's quality requirements

C.Ensure a wide selection of suppliers are offered opportunities to submit bids

D.Select a preferred supplier to cover the bulk of the requirement and supplement the balance with qualified suppliers

Question 127

XYZ Inc. is a chemical manufacturing company. XYZ requires high levels of consistency and precision from certain suppliers in their machining work. In order to drive continuous improvement with these suppliers, XYZ should develop KPIs to track performance in which of the following areas?

A.Cost

B.Quality

C.Cycle Time

D.Service

Question 128

An international company is conducting its annual review of its supply management processes to confirm compliance to corporate legal requirements. An external audit team plans to visit each location. Which of the following is the MOST important activity each supply management professional should perform in order to prepare for the audit?

A.Review the order, receipt, and payment process with the accounting department

B.Review the ISM Principles and Standards of Ethical Supply Management Conduct

C.Review company supply management policies with strategic suppliers

D.Review supply management activities to verify adherence to policies and procedures

Question 129

Two years ago, the purchasing manager at a company spent $25,000 on a new machine that would improve production efficiency at the company. The manufacturers of the machine release an updated model that costs $35,000 and that promises to further improve production efficiency. Under what conditions should the purchasing manager upgrade to the new model?

A.If the savings from the additional efficiency improvements are large enough to offset the $10,000 difference in price between the machines

B.If the savings from the additional efficiency improvements are large enough to offset the $35,000 cost of the new machine

C.If the savings from the additional efficiency improvements are large enough to offset the $60,000 spent on machines

D.If the efficiency improvements from the old machine did not result in enough savings to offset the $25,000 purchase price

Question 130

A high school teacher believes that the poverty rate in each U.S. state can be explained by the percentage of the population who do not have a high school diploma or equivalent. The teacher collects data from each of the 50 U.S. states; a portion of the data is given below.