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Download Managing Supply Chain Risk Exam Dumps
NEW QUESTION 33
An interconnected supply chain would have what affect on the creation of a risk register?
Answer: B
Explanation:
Explanation
Actions to mitigate one risk, may create another risk. This is a direct quote from p. 132
NEW QUESTION 34
When would a company use the Stakeholder Salience Model?
Answer: B
Explanation:
Explanation
This is used to engage stakeholders in the development of risk assessments.
P. 137-138
NEW QUESTION 35
Fraud committed by an employee within a business is what type of risk?
Answer: A
Explanation:
Explanation
This is an internal risk. A procurement risk would be issues with a supplier or contract, and economic risk would be exchange rate fluctuations etc. See p.118 for more information on internal risks- it's a known exam topic
NEW QUESTION 36
What is the final stage of Deming's Plan - Do - Check cycle which is encouraged by ISO9001?
Answer: D
Explanation:
Explanation
Act is the final stage. See p.25 for a diagram of the cycle.
NEW QUESTION 37
Maple Tree Limited is a Canadian company who has recently signed a new contract with a supplier who is based in China. Maple Tree Limited will be buying a raw material with a reputation for severe price fluctuations. Which of the following would help mitigate the risk that this poses? Select TWO options
Answer: B,C
Explanation:
Explanation
The correct answers are 3 + 4. To mitigate the risk, you want to ensure price stability for the duration of the contract- you don't want the prices to keep going up and down. Therefore options 1 and 2 wouldn't help- the prices would still go up and down regardless of which currency was used for quotes. Using a forward contract, or fixing the exchange rate, however, would give price certainty, and therefore mitigate the risk. See p.23 for more information on currency risks and how to overcome these
NEW QUESTION 38
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