Knowledge quiz

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

What is the main purpose of the Multi-Stage Network Operator?

Choose the correct answer.

Calculate a multi-echelon inventory plan.

Visualize dependencies of nodes within the network.

A multistage inventory optimization implies a process which occurs simultaneously. Why should different stages share the risk?

There are two correct answers.

To propagate demand from downstream to upstream

To model the impact of the Internal Service Level (ISL) decision of the upstream stage at the downstream stage

Are service levels predictions carried out using forecast algorithms?

Choose the correct answer.

No.

Yes.

Which special characteristics are being supported by the target inventory optimization?

Choose the correct answer.

It supports minimum stock requirements and cost per unit as inputs; It supports sub-network (PLUNITID) filters in Batch Mode; it supports unit of measure conversion for input and output key figures; and, it supports production and transportation lot size periods of coverage for PBR.

There are not special characteristics supported by a TIC.

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.

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

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

What does the target inventory components calculation estimate?

Choose the correct answer.

There is no difference within a TIC.

We can run first a GIO and then a TIC.

It runs a calculation with respect to optimal inventory targets; It estimates target, average quantities, and currency values of inventory position, on-hand stock, cycle stock, pipeline stock, and merchandising stock; It calculates the reorder point and the days of supply for recommended safety stock and for on-hand stock (target, average and end of period); and, it calculates values for the whole network.

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.

10.

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

Choose the correct answer.

No.

Yes.