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During which of the following process steps of sales and operations planning would resource planning be carried out?

A. Demand planning phase

B. Supply planning phase

C. Pre-sales and operations planning meeting

D. Executive sales and operations planning meeting

Answer: B

In a make-to-order environment, if cumulative production exceeds cumulative demand, which of the following outcomes will result?

A. Excess capacity will exist.

B. Inventory will increase.

C. The backlog will increase.

D. The backlog will decrease.

Answer: D

Which of the following tradeoffs should be considered to improve the performance of a distribution network?

A. Reduce cost but improve customer service by using full truckload or carload shipments

B. Increase inventory turns but decrease costs by shipping more frequently

C. Improve profit but decrease inventory by not scrapping obsolete product

D. Improve fill rate but decrease inventory turns by adding safety stock

Answer: D

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