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Oracle EBS R12: Advanced Supply Chain Planning Sample Questions:

1. Your client currently has two manufacturing plants, plants, four Inventory locations, and one distribution center. When doing the future state analysis, the Operations Directory at the client site said that they have expansion plans after the go-live of the current Oracle in Implementation. They plan to add 10 more distribution centers and these can be transfer of goods between any two distribution centers. Each distribution center would need to optimize its inventory level and forecasts will be handled in Demand Planning for better customer satisfaction.
The client IT Manager proposes to use one main inventory Organization to represent all the facilities and use sub inventories to represent the various inventory locations in the manufacturing plant and the distribution center. The future distribution centers can be modeled as subinventories because Oracle allows you to define a large number of subinventories. From the system point of view, It will be easier to maintain and inventory transfers between sub inventor using Move Orders are possible.
Select three correct statements about the above scenario.

A) Inventory Optimization does not calculate safety stock at the subinventory level. So the client needs multiple inventory Organizations.
B) Global Order Promising can calculate availability at the subinventory level, so you need one inventory Organization with multiple subinventories.
C) You design the same way as the client IT Manager because It will fulfill all the requirements of the client.
D) You design the same way and you also add more transaction types to take care of future transfers between any two distribution centers.
E) Demand Planning forecasts by Organization, not by subinventory. So the client needs multiple inventory Organizations.
F) You design multiple inventory Organizations to model this so that in future when the client needs to plan a transfer from one facility to another, ASCP will be able to suggest such a transfer.

2. End Item A can be substituted with End Item B and End Item B can be substituted with End Item
C. The effective dates for these substitutions are given in the Exhibit.

Which three statements are correct?

A) The inferred substitution rule between Item A and C is effective only from 06-JAN-2008 to 10- JAN-2008.
B) End Item A substitution with End Item C Is Inferred.
C) The inferred substitution rule between Item A and C is effective from 06-JAN-2008 to 22-JAN- 2008.
D) End Item A substitution with End Item C is not possible.
E) If End Item A Is requested, it can be satisfied with the supplies from End Items A or B or C.

3. Identify three correct statements that depict the advantages of the Holistic planning approach.

A) The Holistic planning approach Is not supported in Release 12.
B) Holistic plans are not recommended for large scale modeling of supply chains. These types of plans are intended to be used In a single Organization Implementation.
C) The Holistic planning approach is recommended for large scale Implementations Involving a large supply chain.
D) The Holistic planning approach does not have the capability of Global Optimization.
E) The Holistic planning approach requires least planning effort leading to the generation of fewer plans.
F) Data consistency is the benefit when using multiple Organization plans.

4. Identify the correct statement about setting lead time information In the Sublnventory Definition form.

A) The ASCP Planning engine does not use the lead times defined in the Sublnventory Definition form.
This Is only for the Min-Max Planning process.
B) The ASCP planning engine uses the subinventory lead time information only for transfers across Organizations.
C) The ASCP planning engine uses the sublnventory lead time Information only for an Intra-Organization transfer purpose.
D) The lead times defined in the Subinventory Definition form is used only during a Constrained Optimized plan with penalty factors and decision rules.
E) The ASCP planning engine uses Preprocessing and Postprocessing lead times only from the Sublnventory Definition form.
F) The precedence for lead time Is Items (First priority), Supplier (Second priority), and Subinventory (Third priority).

5. Identify three correct statements about the plan objectives of an Optimized Plan.

A) Inventory turnover Is like headeount turnover, the less turnover the better.
B) Days early or days late equals the difference between Schedule Ship Date and Date Received.
C) Inventory turnover Improves by Increasing throughput through sales while simultaneously decreasing average Inventory Investment.
D) Inventory turnover equals average Inventory Investment divided by sales.
E) Preference is given to solution alternatives that best fulfill the goal of making more money.
F) On time delivery Is an Indicator of customer service level.

Solutions: