Knowledge quiz

It's time to put what you've learned to the test, get 8 right to pass this unit.

An Inventory optimization algorithm should be activated. How can a user activate this process?

There are two correct answers.

Triggered by the planner via the SAP IBP, add-in for Microsoft Excel

Via a configuration parameter

As batched-based process

After having activated a target inventory components calculation, why do you use a single-stage inventory optimization?

Choose the correct answer.

You use the Decomposed (single-stage) inventory optimization operator to calculate recommended safety stock and target inventory position values locally for each product-location combination.

You use the Decomposed (single-stage) inventory optimization operator to calculate recommended safety stock and target inventory position values locally for each product-location combination instead of a global inventory optimization.

Is there a global parameter for the consideration of safety stock limitation?

Choose the correct answer.

No.

Yes.

Why do you use the target inventory components calculation?

Choose the correct answer.

You use the Calculate Target Inventory Components operator to calculate the types of inventory that comprise the total inventory for a given item to support a more granular inventory optimization calculation.

You do not use the Calculate Target Inventory Components operator to calculate the types of inventory that comprise the total inventory for a given item to support a more granular inventory optimization calculation.

In multi-stage supply chains, stages are linked together. Which is the interaction between the downstream and upstream sides in terms of service level?

Choose the correct answer.

There is no influence.

There are not two sides.

The upstream service level has an impact on the ability to meet the service level downstream.

What does the single-stage inventory optimization do?

Choose the correct answer.

Anything at all.

Only two things

It runs simulations when you want to determine the impact on recommended safety stock for local changes to input key; it produces missing data when you have an individual node of the supply chain with incomplete inventory data; it calculates values for a scope defined by the planning filters or Excel view filters; and, it supports unit of measure conversion for input and output key figures.

How does the inventory optimization work?

There are three correct answers.

It optimizes the stock globally and simultaneously over all products and locations

It calculates the forecast error CV

The global run makes sure that all propagated demands are calculated

Which are the four safety stock drivers in terms of variability?

Choose the correct answer.

1) Forecast error variability, 2) Service variability, 3) Lead time variability, and 4) Supply quantity variability

There is not uncertainty within the supply chain. Therefore, we do not need to model variability.

Do the inventory operators run a master data quality check?

Choose the correct answer.

Yes

Maybe

10.

What does the expected loss demand calculation allow you to do?

Choose the correct answer.

The expected loss demand calculation allows you to estimate the opportunity loss for the selected target service levels by calculating the average lost demand quantity (or average expedited quantity) under a given inventory plan and demand distribution.

It calculates target inventory components such as cycle stock, pipeline stock, merchandising stock, and the average inventory position