Free Access ISM.INTE.v2025-10-13.q55 Practice Test (Page 12)

Question 51

A firm has a 50% chance of receiving its daily purchases of fresh bread from a supplier in the event a regional flooding incident. The supply manager approaches two suppliers in geographic locations less likely to be disrupted by the event, and both agree to be ad-hoc suppliers. Their likelihoods of supplying in the event of the flood incident are 75% and 80% respectively. If the flooding event occurs, purchases would be sought from all three companies. Based on this information, what is the probability of the firm being supplied fresh bread during a major regional flooding event'

A.97.5%

B.80%

C.70%

D.99.5%

Question 52

Over the past 90 days, a buying company's manufacturing engineers have reported an increase in the number of defective parts received from a key supplier. The engineers report that there are three different types of defects occurring, and that they are all being discovered during production. The supplier states that it does not have enough resources to assess the root cause of the three types of defects all at one time. Which of the following should the buying firm do in this instance?

A.Work with engineering to determine the impact each defect type has on the customer base and assist the supplier in prioritizing and solving the defect type with the highest customer impact first

B.Calculate the number of times each of the defect types have occurred over the past 90 days, and instruct the supplier to work on finding the root cause of the defect with the highest frequency

C.Calculate the number of times each of the defect types have occurred over the past two weeks, and instruct the supplier to work on finding the root cause of the defect with the highest frequency

D.Work with engineering to submit three corrective action requests and ask the supplier to address all three

Question 53

A manufacturer purchased a piece of production equipment over 20 years ago. The equipment is still in use, though for the last few quarters, it has been getting more difficult to keep it operational, as many of the required components are turning obsolete. According to the service agreement, the supplier must ensure the availability of the component parts for 3 more years. In this situation, the buying firm should expect that the supplier will

A.create a list of components expected to become obsolete in the next 3 years, identify new parts to replace the existing ones, and propose the plan to the buyer

B.explain the situation to the buyer and suggest that it source the required components on its own

C.propose to revise the remaining timeline of the service agreement from 3 years to 6 months

D.create a list of components expected to become obsolete within the next 3 years, and purchase the required parts before they are actually needed, in order to support the agreement

Question 54

PQR, Inc. produces office supplies for big box retailers. This is a highly competitive market and the requirement for maintaining a continuous inventory of product for retailers is a high priority for PQR.
Recently, the firm experienced shipping delays from overseas suppliers. Which of the costs associated with shortages would be MOST critical for PQR?

A.Idle workers

B.Production downtime

C.Expedited shipping

D.Lost sales

Question 55

A company develops long range material forecasts, analyzes industry trends, determines commodities for value analysis, and assesses supplier capabilities to assure continual economic supply of goods and services.
This company is engaged in

A.supply chain mapping

B.market intelligence

C.early supplier involvement

D.inventory control

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Question 51

Question 52

Question 53

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Question 55

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