CSCP

ASCM Certified Supply Chain Professional (CSCP): free practice test

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Practice test questions with answers and explanations

Try the questions in the test above first, then open each one here to see the correct answer and why every other option is wrong.

01A company competes mainly on low price for a stable, high-volume commodity product. Which supply chain design fits best?

Practice question Unit: Supply Chains, Demand Management, and Forecasting

AA responsive supply chain holding buffer capacity at every stage
A high buffer-capacity responsive chain adds cost that stable demand may not justify.
BAn agile chain built around frequent product design changes
Frequent product redesign is not needed for a stable commodity.
CAn efficient supply chain focused on cost and asset utilization ✓ Correct answer
Stable predictable volume and price competition favor low cost and efficient asset use.
DA make-to-order chain that builds each unit after the order arrives
Waiting for each customer order can sacrifice scale economies for this high-volume product.

Reference: ASCM CSCP Module 1: Supply Chains, Demand Management, and Forecasting

02Forecast was 200, actual demand was 240, and alpha is 0.2. What is the next exponential smoothing forecast?

Practice question Unit: Supply Chains, Demand Management, and Forecasting

A208 ✓ Correct answer
F_next = 200 + 0.2(240−200) = 208.
B192
192 moves the forecast down even though actual demand was higher.
C240
240 gives the latest actual demand all the weight, equivalent to α = 1.
D232
232 gives actual demand 80% rather than the stated 20% weight.

Reference: Portland State University, Exponential Smoothing Forecast: adjustment by α times the current forecast error.

03Assuming the square-root rule applies and total demand and service level stay unchanged, consolidating 4 equal warehouses into 1 changes total safety stock to approximately what share of its original level?

Practice question Unit: Global Supply Chain Networks

A100% of the original
100% assumes no risk-pooling reduction.
B25% of the original
25% uses the location-count ratio directly instead of its square root.
C75% of the original
75% is not the square-root ratio for four locations consolidated into one.
D50% of the original ✓ Correct answer
The square-root approximation gives S₂/S₁ = √(1/4) = 0.50.

Reference: ASCM CSCP Module 2: Global Supply Chain Networks

04Which factor MOST favors making a component in-house rather than buying it?

Practice question Unit: Sourcing Products and Services

AThe firm lacks the required equipment and skills
Missing equipment and skills favor qualified outside supply unless capabilities are developed.
BThe component embodies a core proprietary technology ✓ Correct answer
Keeping core proprietary technology in-house protects a differentiating capability and knowledge.
CDemand is small and uncertain
Small uncertain demand usually weakens the case for in-house fixed investment.
DMany qualified suppliers offer it at lower cost
Many capable low-cost suppliers strengthen the buying case, all else equal.

Reference: ASCM CSCP Module 3: Sourcing Products and Services

05Which lot-sizing rule orders exactly the net requirement for each period?

Practice question Unit: Internal Operations and Inventory

AFixed order quantity
Fixed order quantity keeps the lot size fixed, not matched to each period’s net need.
BPeriod order quantity covering several periods
Period order quantity combines requirements across several periods.
CEconomic order quantity, which balances ordering and holding costs over the year
EOQ balances ordering and holding costs rather than matching every period exactly.
DLot-for-lot ✓ Correct answer
Lot-for-lot supplies exactly each period’s net requirement.

Reference: SAP Help Portal, Lot-for-Lot Order Quantity: exact shortage quantity.

06Annual demand is 10,000 units, ordering cost SAR 50, and holding cost SAR 4 per unit per year. What is EOQ?

Practice question Unit: Internal Operations and Inventory

A250,000 units
250000 is 2DS/H before taking the square root.
B1,000 units
1000 is twice the minimizing EOQ.
C500 units ✓ Correct answer
EOQ = √(2DS/H) = √(2×10000×50/4) = 500 units.
D354 units
354 approximately omits the factor 2 inside the square root.

Reference: GS1 US, What is Inventory Management?, Economic Order Quantity: square root of 2 × ordering cost × demand / holding cost.

07Which transport mode generally offers the LOWEST cost per ton-kilometer for bulk goods over long distances?

Practice question Unit: Forward and Reverse Logistics

AAir freight
Air freight trades a high unit cost for speed.
BTruck (road) for full loads moving between distant cities
Road transport is flexible but usually costs more per tonne-distance for long-haul bulk.
CCourier express
Express courier service prioritizes speed and small consignments, not low-cost bulk haulage.
DWater (ocean or inland waterway) ✓ Correct answer
Water transport spreads voyage cost over large bulk loads, generally giving the lowest unit cost here.

Reference: ASCM CSCP Module 5: Forward and Reverse Logistics

08A customer generates high revenue but demands special packaging, rush orders and long payment terms. What should the supplier evaluate?

Practice question Unit: Supply Chain Relationships

ACost-to-serve profitability of that customer ✓ Correct answer
Cost-to-serve links customer revenue with all relevant service costs to assess profitability.
BStandard product gross margin alone, excluding customer-specific service costs
Standard product margin omits packaging, expediting and financing costs caused by this customer.
CRevenue alone, since large customers are always the most profitable ones
Revenue alone ignores the extra cost and working capital the customer consumes.
DOnly the packaging cost
Packaging cost is only one part; rush shipments and long credit terms also matter.

Reference: APQC, How Do You Measure Customer Profitability?: revenue and customer-specific cost-to-serve.

09Which action MOST improves resilience against a single supplier failure?

Practice question Unit: Supply Chain Risk

AReducing safety stock
Less safety stock reduces the buffer against interruption.
BQualifying an alternative source ✓ Correct answer
A qualified alternative offers a usable fallback if the primary supplier fails.
CSigning a longer exclusive contract with the supplier to secure priority in a crisis
An exclusive contract cannot provide supply if that supplier becomes unable to operate.
DIncreasing order sizes from the same supplier
Larger orders still depend on the same supplier’s ability to deliver.

Reference: ASCM, Supply Chain Resilience: diversified supplier base and pre-identified alternative suppliers.

10A supplier offers 'green' packaging at 5% higher cost. Which analysis BEST supports the decision?

Practice question Unit: Optimization, Sustainability, and Technology

AUnit price comparison only
Unit price omits damage, handling, transport and end-of-life effects.
BLife-cycle assessment plus total cost and customer value ✓ Correct answer
Life-cycle assessment and total cost compare environmental effects with performance and customer value.
CSupplier's marketing claims alone
Marketing claims need evidence and do not establish total economic or environmental benefit.
DChoose the package with the lowest weight, without considering damage or disposal
Lower weight can help transport but may worsen protection or end-of-life impacts.

Reference: ASCM Enterprise Standards for Sustainability, A.3.4 Product Lifecycle Stewardship.

ASCM Certified Supply Chain Professional (CSCP): free practice test

Practice test questions with answers and explanations

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