CTSC Sample Questions Answers

responsive supply-demand matching (RDSM) is the ability to sense demand exceptions, target revenue opportunities and resolve supply challenges through planning of constrained resources and allocation of supply across the network to best meet demand according to the business strategy1.One of the benefits of RDSM is to improve the customer service level by fulfilling the demand on time and in full1.Therefore, one of the supply chain metrics that should be included on the RDSM dashboard is on-time, in-full, which measures the percentage of orders that are delivered to the customers within the agreed time window and with the correct quantity and quality2.

The other options are not suitable for the RDSM dashboard, as they are not directly related to the RDSM objectives or outcomes.Inventory quality ratio is a metric that measures the percentage of inventory that is in good condition and can be sold to the customers3.This metric is more relevant for the inventory optimization phase of the digital transformation, which aims to reduce the inventory costs and risks4.Customer backorder rate is a metric that measures the percentage of orders that are not fulfilled on time due to the lack of inventory5.This metric is more relevant for the demand sensingand shaping phase of the digital transformation, which aims to improve the demand forecasting accuracy and responsiveness6. Sell-through rate is a metric that measures the percentage of inventory that is sold within a given period of time. This metric is more relevant for the omni-channel fulfillment phase of the digital transformation, which aims to optimize the order fulfillment across different channels and locations.

According to the ASCM, the balanced scorecard in the supply chain measures the performance of the supply chain against eight attributes: reliability, responsiveness, agility, cost, profit, assets, environmental, and social.These attributes reflect the efficiency, effectiveness, and sustainability of the supply chain, as well as its alignment with the customer and stakeholder expectations1.

According to the ASCM SCOR Digital Standard, the SCOR model uses the term optimized to indicate the highest level of performance for a given metric. Optimized metrics are those that are prioritized by the organization and have a target performance level that is based on the best-in-class benchmark or the desired competitive advantage. The SCOR model defines six levels of performance for each metric: inferior, poor, nominal, competitive, advantage, and optimized (p.17)1. The other options are not used in the SCOR model to prioritize metrics and estimate target performance level.

Ac-cording to the CTSC Exam Content Manual, developing a supply chain leadership mindset involves creating a culture of innovation, learning, and collaboration across the organization. A supply chain leader should encourage cross-team collaboration to leverage the diverse skills, perspectives, and experiences of different stakeholders, and to foster trust, communication, and alignment of goals and objectives. Cross-team collaboration can help the organization to identify and solve problems, generate and implement new ideas, and improve performance and customer satisfaction.

According to the CTSC Exam Content Manual, one of the ways to accelerate the change and track the progress of a new technology implementation is to create visibility1.Creating visibility means sharing the information and data about the change process, such as the objectives, benefits, milestones, challenges, and results, with the relevant stakeholders, such as the employees, managers, customers, and suppliers1.Creating visibility can help to increase the awareness, understanding, and acceptance of the change, as well as to identify and address the issues and risks that may arise during the change1.Creating visibility can also help to monitor and evaluate the performance and impact of the new technology, and to provide feedback and recognition to the change agents and participants1. The other options are not the best ways to accelerate the change and track the progress of a new technology implementation, as they are more related to other aspects of the supply chain or the change management.Utilizing a push-pull system is a way to balance the demand and supply in the supply chain, but it does not directly affect the speed or the measurement of the change2.Adopting define-test-deploy is a way to implement a new technology in a phased manner, but it does not necessarily accelerate the change or track the progress, unless it is combined with other methods, such as agile or lean3. Identifying current performance drivers is a way to understand the factors that influence the supply chain performance, but it does not help to implement a new technology, unless it is followed by a gap analysis and a solution design.

According to the ASCM CTSC Exam Content Manual, one of the most frequently used approaches in measuring operating income in a gap analysis is the profitability increase.The profitability increase is defined as "the difference between the current operating income and the potential operating income that could be achieved by implementing the best practices identified in the gap analysis"1. The profitability increase reflects the potential improvement in the organization’s financial performance by closing the gaps in its supply chain processes.The profitability increase can be calculated by multiplying the gap percentage by the current operating income1.

1: ASCM CTSC Exam Content Manual, page 15.

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According to the ASCM CTSC Exam Content Manual, one of the best practices for communicating a supply chain transformation is to "use a variety of communication channels and methods to reach different audiences and reinforce key messages"1.This includes holding breakout group sessions with each group involving employees from different departments, as this can help to explain the specifics of the transformation, address any concerns or questions, and foster collaboration and buy-in across theorganization23.Distributing one common document by company email, requiring the topic be covered in each department’s monthly meeting, or conducting a one-time, all-company meeting with presentations by leadership may not be sufficient or effective to communicate the details and benefits of the transformation, as they may not cater to the different needs and preferences of the stakeholders, or allow for sufficient feedback and engagement23.

1: ASCM CTSC Exam Content Manual, page 14.2:Supply Chain Communication: 4 Effective Strategies for Better Supplier …3:10 Best Practices For Improving Supply Chain Management - IIENSTITU

According to the CTSC Exam Content Manual, one of the areas that leadership should focus on while developing a roadmap for supply chain transformation is customers, talent, and risks1.Customers are the ultimate source of value and demand for the supply chain, and understanding their needs and expectations is essential for designing a customer-centric supply chain strategy1.Talent is the human capital that drives the supply chain performance and innovation, and developing the skills and capabilities of the workforce is critical for enabling a successful supply chain transformation1.Risks are the potential threats and uncertainties that can disrupt or damage the supply chain, and identifying, assessing, and mitigating them is vital for ensuring the resilience and sustainability of the supply chain1. The other options are not the most pertinent areas for leadership to focus on while developing a roadmap for supply chain transformation, as they are more operational or tactical aspects of the supply chain, not strategic or transformational.Suppliers, inventory, and payment terms are examples of the sourcing process elements that affect the cost, quality, and availability of the supply chain inputs2.Warehouses, carrier relationships, and technology are examples of the delivery process elements that affect the efficiency, responsiveness, and reliability of the supply chain outputs2.Data centers and web portal are examples of the information technology infrastructure that supports the supply chain integration and visibility3.

According to the ASCM CTSC Exam Content Manual, a digital supply chain integrator is a role that involves connecting the digital and physical supply chain elements, and enabling the flow of data and information across the end-to-end supply chain1. This requires reaching across functional and technological boundaries to seek information and understand-ing, and to collaborate with internal and external partners to optimize the supply chain performance2. The other options are not specific to the digital supply chain in-tegrator role, as they are common behaviors for any supply chain professional.1: ASCM CTSC Exam Content Manual, page 9.2:3

According to the CTSC Exam Content Manual1, corporate strategy is the highest level of strategy in the strategy hierarchy. It involves defining the overall purpose, scope, and direction of the organization, as well as allocating resources and setting performancegoals for the entire organization. Corporate strategy also harmonizes plans to improve competencies of an organization as a whole, such as innovation, sustainability, digital transformation, and social responsibility. Option A, business strategy, is the level of strategy that focuses on how a business unit or division competes in a specific market or industry. Option C, functional area strategy, is the level of strategy that focuses on how a functional department or team supports the business strategy and the corporate strategy. Option D, operating strategy, is the level of strategy that focuses on how the daily operations and processes are executed and optimized.

According to the ASCM CTSC Exam Content Manual, when designing a new demand-driven supply chain, technologies should be evaluated after the supply chain is designed.This is because the supply chain design should be based on the customer needs, the business strategy, and the supply chain capabilities, not on the available technologies1.The technologies should be selected to support and enable the supply chain processes, not to dictate or constrain them1.Evaluating technologies after the supply chain is designed can help to avoid unnecessary costs, complexity, and risks, and to ensure alignment and integration across the supply chain network1.

1: ASCM CTSC Exam Content Manual, page 8.

According to the CTSC Exam Content Manual1, the optimize digital discipline focuses on using data and analytics to improve operational efficiency and effectiveness, such as predictive maintenance, asset utilization, and resource allocation. Responsive demand-supply matching (RDSM) is a capability that falls under the optimize discipline, as it aims to balance supply and demand in real time using data-driven insights and actions. Extending RDSM to include predictive maintenance of delivery trucks would indicate additional focus on the optimize discipline, as it would help reduce downtime, costs, and risks associated with truck breakdowns.

1: https://www.ascm.org/ctsc-ecm/

According to the CTSC Exam Content Manual, one of the benefits of sharing the visibility on change management progress by team is to allocate resources to the most in need of support1. Sharing the visibility on change management progress by team can help the enterprise to identify the teams that are lagging behind, facing challenges, or requiring assistance in the transformation process, and provide them with the necessary resources, guidance, or coaching to overcome the barriers and achieve the desired outcomes1. The other options are not the main benefits of sharing the visibility on change management progress by team, as they are more related to other aspects of the transformation process. Measuring transformation outcomes in meeting strategy is a benefit of establishing a metrics program that tracks and evaluates the performance and impact of the transformation initiatives2. Demonstrating the transformation milestones is a benefit of creating a communication plan that informs and engages the stakeholders and showcases the achievements and successes of the transformation efforts3. Ensuring an effective metrics program in practice is a benefit of aligning the metrics with the strategic objectives, collecting and analyzing the relevant data, and reporting and acting on the results2.

According to the CTSC Enterprise and Supply Chain Management (ESCM) manual, the greater value chain is the network of organizations that collaborate to create and deliver value to the end customer1.It includes not only the supply chain, but also other stakeholders such as distributors, retailers, service providers, and even competitors1.To extend the supply chain initiative to the greater value chain, the core team should first define the scope of the greater value chain, which means identifying the key players, processes, and flows that are involved in creating and delivering value1.This will help the core team to understand the current state of the greater value chain, the opportunities and challenges for improvement, and the potential impact of the initiative on the overall value creation1.

1: https://www.ascm.org/ctsc-ecm/

According to the ASCM CTSC Exam Content Manual, the two approaches for applying selected supply chain processes across the organization, and determining the degree to which processes are consistent across the businesses, product lines, and geographic locations are standardization and harmonization1.Standardization is defined as "the process of ensuring that all processes are executed in the same way, using the same inputs and outputs, and producing the same results"1.Harmonization is defined as "the process of ensuring that all processes are aligned and integrated across the organization, and that they support the organization’s strategy, goals, and objectives"1.Bothapproaches aim to improve the efficiency, effectiveness, and agility of the supply chain, and to reduce the complexity, variability, and duplication of processes1.

1: ASCM CTSC Exam Content Manual, page 8.

According to the CTSC Exam Content Manual, process harmonization is the degree to which an organization’s processes are standardized and aligned across its business units1.Documenting supply chain processes and maintaining updated documentation are used to achieve process harmonization, as they help to ensure consistency, transparency, and compliance of the processes across the organization2.Documenting supply chainprocesses also facilitates the identification of best practices, gaps, and improvement opportunities for the processes2.

According to the ASCM CTSC Exam Content Manual, a champion is generally defined as a sponsor of an improvement effort.A champion is "a senior leader who provides direction and support for a strategic initiative and ensures alignment with the organization’s vision, mission, and goals"1.A champion is also responsible for securing resources, removing barriers, and empowering the improvement team to achieve the desired outcomes1.A champion acts as a role model, a mentor, and a spokesperson for the improvement effort and helps to communicate its value and benefits to the stakeholders1.

1: ASCM CTSC Exam Content Manual, page 9.

According to the theory of constraints (TOC), a service company that is experiencing long wait times for customer service should identify and address the bottleneck in the customer service process1.A bottleneck is the activity or resource that limits the throughput or output of the entire system2.TOC provides a five-step process for improving any system by focusing on the bottleneck3. The steps are:

• Identify the system’s constraint: find the activity or resource that has the least capacity or the longest cycle time in the customer service process.
• Exploit the system’s constraint: make the most of the available capacity or time of the bottleneck, such as reducing idle time, errors, or rework.
• Subordinate everything else to the system’s constraint: align the other activities or resources in the customer service process to the pace and priority of the bottleneck, such as balancing the workload, synchronizing the flow, or eliminating waste.
• Elevate the system’s constraint: increase the capacity or reduce the cycle time of the bottleneck, such as adding more staff, equipment, or technology, or redesigning the process.
• Repeat the process: monitor the performance of the customer service process and identify and address the next constraint.

The other options are not the best steps to address the issue of long wait times for customer service, according to TOC.Increasing the number of staff members available before the bottleneck will not solve the problem, as it will only create more work-in-process inventory and increase the operational expense4.Implementing a more efficient customer service system may or may not help, depending on whether it addresses the root cause of the bottleneck or not5. Increasing the resources available to the customer service department may also be ineffective or inefficient, as it may not target the specific bottleneck or may create excess capacity or waste.

According to the CTSC Exam Content Manual, one of the steps that should be completed before determining training needs is to assess key performance indicators (KPIs)1.KPIs are the metrics that measure the performance and progress of the supply chain transformation objectives and outcomes1.Assessing KPIs can help to identify the gaps and opportunities for improvement in the supply chain processes, functions, and roles, and to determine the training needs and priorities for the workforce2. The other options are not the steps that should be completed before determining training needs, as they are more related to the implementation and evaluation of the training plan.Developing an action plan is a step that follows the determination of training needs, as it outlines the specific actions, resources, and timelines for delivering the training3. Developing a training plan is a step that involves designing the training content, methods, and materials based on the training needs and objectives. Assessing performance management is a step that involves monitoring and reviewing the performance of the trainees and the training program, and providing feedback and recognition.

According to the ASCM CTSC Exam Content Manual, one of the benefits of a mature S&OP process is to enable the alignment of supply and demand plans with the strategic objectives of the organization1.This can help to optimize the use of resources, reduce costs, improve customer service, and increase profitability. Therefore, evaluating the current S&OP process can help an organization to identify the gaps and opportunities for improvement in a supply chain transformation initiative.

1: ASCM CTSC Exam Content Manual, page 14.

According to the CTSC Exam Content Manual1, the Measure phase of the Six Sigma DMAIC methodology involves collecting data on current performance and issues. The Measure phase aims to establish a baseline for the process and quantify the gap between the current state and the desired state. The Measure phase also involves validating the measurement system, defining the process metrics, and calculating the process capability and sigma level. Option A, Control, is the phase that involves implementing and sustaining the improvements. Option B, Improve, is the phase that involves identifying and testing the solutions. Option C, Analyze, is the phase that involves analyzing the data and identifying the root causes.

one of the most prominent characteristics of a digital supply chain is the access to latest point-of-sale (POS) data across the network.POS data refers to the information collected by retailers at the point of purchase, such as the product, quantity, price, date, time, and location of the transaction3.Access to this data enables digital supply chains to have real-time visibility of customer demand, inventory levels, and market trends, and to use advanced analytics and artificial intelligence to optimize planning, forecasting, replenishment, and delivery12.Access to POS data also helps digital supply chains to improve customer satisfaction, reduce costs, increase sales, and enhance collaboration among supply chain partners12.

According to the ASCM CTSC Exam Content Manual, CPFR is a collaboration mechanism that involves the establishment of long-term relationships with partners to improve the overall efficiency and effectiveness of the supply chain.CPFR is defined as "a business practice that combines the intelligence of multiple trading partners in the planning and fulfillment of customer demand"1.CPFR enables partners to share information, align plans, and synchronize activities across the supply chain, resulting in reduced inventories, improved service levels, and increased sales23.

1: ASCM CTSC Exam Content Manual, page 8.2:Six steps to successful supply chain collaboration | McKinsey3:Supply Chain Collaboration: Meaning, Importance, Features & Impact | GEP Blog

the SCOR level 1 metrics for the performance attribute of Cost are total supply chain management and cost of goods sold (COGS).Cost is defined as "the costs associated with operating the supply chain, including labor, material, and transportation"2.Total supply chain management cost (TSCM/CO.1.1) is "the sum of the costs associated with the SCOR Level 2 processes to Plan, Source, Deliver, and Return"2.Cost of goods sold (COGS/CO.1.2) is "the direct costs attributable to the production of the goods sold by a company"3.These metrics measure the financial efficiency and effectiveness of the supply chain processes and activities14.

1:Supply Chain Operations Reference Model Revision 114:SCOR Metrics - scpiteam.com2:CLL037 DoD Supply Chain Fundamentals - Defense Acquisition University3:Cost of Goods Sold – COGS Definition - Investopedia

According to the ASCM CTSC Exam Content Manual, ecological, ethical, and economic are the three major categories of practices that an organization should evaluate as it transforms its processes to be more sustainable.These categories are also known as the triple bottom line of sustainability, which measures the social, environmental, and financial impacts of an organization’s activities1.Ecological practices refer to the environmental aspects of sustainability, such as reducing greenhouse gas emissions, waste, and resource consumption, and enhancing biodiversity and ecosystem services12.Ethical practices refer to the social aspects of sustainability, such as respecting human rights, labor standards, and diversity, and promoting health, safety, and well-being of employees and communities13.Economic practices refer to the financial aspects of sustainability, such as creating value for stakeholders, ensuring fair and transparent transactions, and investing in innovation and development14.

1: ASCM CTSC Exam Content Manual, page 9.2:Environmental Sustainability: Definition and Importance - Investopedia3:Social Sustainability: Definition, Importance, and Examples - Investopedia4:Economic Sustainability: Definition, Importance, and Examples - Investopedia

According to the ASCM CTSC Exam Content Manual, the SCOR framework consists of five phases: analyze, configure, optimize, implement, and evaluate.In the analyze phase, the key outputs are an as-is Level 3 process diagram, a scorecard, and competitive requirements1.The as-is Level 3 process diagram shows the current state of the supply chain processes in detail, using the SCOR standard definitions and symbols2.The scorecard measures the performance of the supply chain processes against the SCOR metrics and benchmarks3.The competitive requirements define the target performance levels for the supply chain processes based on the customer and market expectations4.

1: ASCM CTSC Exam Content Manual, page 13.2:SCOR Quick Reference Guide - APICS3:SCOR Digital Standard | ASCM4:Unlock Supply Chain Mgmt: Introducing SCOR Model | IIENSTITU

According to the CTSC Exam Content Manual1, statistical process control (SPC) is a key component of a total quality management (TQM) program. SPC is a technique that uses statistical methods and tools to monitor and control the variation and performance of a process. SPC helps to ensure that the process is stable, capable, and predictable, and that the output meets the customer specifications and expectations. SPC also helps to identify and eliminate the causes of defects and errors, and to improve the quality and efficiency of the process. Option B, JIT inventory, is a component of lean manufacturing, not TQM. JIT inventory aims to reduce inventory levels and costs by delivering materials or components just before they are needed in the production process. Option C, autonomous maintenance, is a component of total productive maintenance (TPM), not TQM. Autonomous maintenance involves empowering the operators to perform basic maintenance tasks on their own equipment, such as cleaning, lubricating, inspecting, and adjusting. Option D, SCO, is a component of supply chain management, not TQM. SCO involves optimizing the flow of materials, information, and money across the supply chain network, from the suppliers to the customers.

According to the CTSC Exam Content Manual1,probabilistic forecasting is one of the key capabilities of the sense digital discipline, which aims to capture and analyze data from various sources to generate insights and foresights for decision making. Probabilistic forecasting provides a range of possible outcomes for each item, along with the associated probabilities, rather than a single point estimate. This allows the company to better understand the uncertainty and variability of the demand and supply, and to plan accordingly. Probabilistic forecasting is a positive and expected result of the digital transformation, as it enhances the accuracy and reliability of the forecasts, and enables more effective risk management and scenario analysis.

1: https://www.ascm.org/ctsc-ecm/

According to the CTSC Enterprise and Supply Chain Management (ESCM) manual, one major performance outcome of a digital supply chain transformation is fewer trade-offs between costs and customer satisfaction1.A digital supply chain transformation is the use of digital technology and digital content to improve supply chain performance2.It enables a flexible matrix of supply chain partners, instead of one upstream and one downstream echelon2.It also enhances information sharing, visibility, decision making, and responsiveness2.By leveraging digital capabilities, a supply chain can achieve higher levels of efficiency, agility, and innovation, while meeting or exceeding customer expectations1.This reduces the need to compromise on either costs or customer satisfaction, and creates a competitive advantage for the supply chain1.

1: https://www.ascm.org/ctsc-ecm/ 2: https://www.hclspdev.com/cdn/ascm2023/files/ctsc_slides/ASCM_CTSC_2023_1.pdf

According to the ASCM CTSC Exam Content Manual, one of the first steps in developing a transformational supply chain strategy is to “determine the current and future needs and expectations of the customers, and align the supply chain strategy with the business strategy and customer value proposition” (p. 16) 1. This helps to ensure that the supply chain transformation is customer-centric and focused on delivering value to the end users. The other options are also important, but they should be done after the initial determination of the customers’ needs.

According to the ASCM CTSC Exam Content Manual, a business issue repository is a tool that helps an organization to study its strategic environment for establishing the scope of its supply chain transformation project.A business issue repository is defined as "a collection of business issues that are identified and prioritized by the organization’s leadership team and other key stakeholders"1.A business issue repository helps to align the supply chain transformation objectives with the organization’s vision, mission, and strategy, and to identify the gaps and opportunities for improvement in the current supply chain performance1.A business issue repository also helps to communicate the rationale and benefits of the transformation to the internal and external stakeholders, and to monitor and measure the progress and outcomes of the transformation1.

1: ASCM CTSC Exam Content Manual, page 14.

According to the CTSC Learning System, one of the factors that affects the distribution costs is the cost of implementing the new materials flow network, which includes the costs of designing, building, and operating the network of warehouses, distribution centers, and transportation modes1.The cost of implementing the new materials flow network can be significant and should be included in the calculation of the total cost of ownership (TCO) of the distribution system1.The other factors listed in the question are not directly related to the distribution costs, but rather to the inventory costs, which are a separate component of the TCO1.

According to the ASCM CTSC Exam Content Manual, a data steward is a key role within a digital supply chain transformation team that is responsible for the quality and accuracy of the data feeds.A data steward is defined as "an oversight or data governance role within an organization, and is responsible for ensuring the quality and fitness for purpose of the organization’s data assets, including the metadata for those data assets"1.A data steward may share some responsibilities with a data custodian, such as the awareness, accessibility, release, appropriate use, security and management of data1. A data steward would also participate in the development and implementation of data assets.A data steward may seek to improve the quality and fitness for purpose of other data assets their organization depends upon but is not responsible for1.Data stewards have a specialist role that utilizes an organization’s data governance processes, policies, guidelines and responsibilities for administering an organizations’ entire data in compliance with policy and/or regulatory obligations1.The overall objective of a data steward is the data quality of the data assets, datasets, data records and data elements1.This includes documenting metainformation for the data, such as definitions, related rules/governance, physical manifestation, and related data models (most of these properties being specific to an attribute/concept relationship), identifying owners/custodian’s various responsibilities, relations insight [definition needed] pertaining to attribute quality, aiding with project requirement data facilitation and documentation of capture rules1.Data stewards begin the stewarding process with the identification of the data assets and elements which they will steward, with the ultimate result being standards, controls and data entry1.The steward works closely with business glossary standards analysts (for standards), with data architect / modelers (for standards), with DQ analysts (for controls) and with operations team members (good-quality data going in per business rules) while entering data1.Data stewardship roles are common when organizations attempt to exchange data precisely and consistently between computer systems and to reuse data-related resources1. Master data management often [quantify] makes references to the need for data stewardship for its implementation to succeed.Data stewardship must have precise purpose, fit for purpose or fitness1.

1:Data steward - Wikipedia

It is part of the ISO 14000 family of standards that are developed by ISO Technical Committee ISO/TC 207 and its various subcommittees, and that cover different aspects of environmental management2.