Certified Supply Chain Professional (CSCP) Practice Exam

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Prepare for the Certified Supply Chain Professional (CSCP) Exam with an interactive quiz that assesses your knowledge through flashcards and multiple-choice questions. Each question includes hints and detailed explanations to reinforce your learning and help you get ready for the test.

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

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In a stepwise overlapping strategy, how does expansion occur?

Only ahead of demand
Only behind demand
In steps that are sometimes ahead and sometimes behind demand
Uniformly regardless of demand

The correct answer is: In steps that are sometimes ahead and sometimes behind demand

In a stepwise overlapping strategy, expansion occurs in steps that are sometimes ahead and sometimes behind demand. This approach is adaptive and allows companies to respond to fluctuating market conditions effectively. By employing a stepwise strategy, organizations can plan their expansion in a staggered manner, allowing for adjustments based on actual demand patterns. This flexibility is crucial because it enables businesses to manage capacity without overcommitting resources based on uncertain forecasts. Sometimes, organizations may find that demand spikes require them to expand ahead of anticipated needs to avoid service disruptions. Conversely, if demand is lower than expected, firms might delay expansion or scale back plans, allowing them to align their capacity more closely with actual demand. This method ultimately aims to balance operational efficiency with responsiveness to market changes, ensuring that expansions are made strategically rather than uniformly, which can lead to either excessive costs or missed opportunities.