ASCM – CSCP EXAM QUESTIONS AND ANSWERS

If the overall economy of a country is in a trough but economic leading indicators show a healthy increase in demand for the next quarter, which would be a good strategic choice for a risk-seeking organization to make? Increase cash reserves. Increase investments in diversified financial products. Raise prices for the organization's products. Hire high-quality new employees at reasonable salaries. - Answer- Hire high-quality new employees at reasonable salaries. An organization's senior leadership has asked each department head to formally sign off on an official date for several retail store openings. All department heads have signed off, even though some know that everything would need to work perfectly to make that date and that there are some major cultural issues in the way at some locations. What does this organization need to do to get this critical information to decision makers? Tell managers to speak up at meetings if they have concerns or objections. Use change management to create an atmosphere that is intolerant of failure. Design a way for people to provide anonymous information on strategic gaps. Perform a gap analysis on the strategic plan. - Answer- Design a way for people to provide anonymous information on strategic gaps. After performing an extensive customer survey, what else does an organization need to do to discover whether there are any customer requirements being missed in the market? Scan what the competitors are offering. Complete a variance analysis. Perform brainstorming. Perform internal benchmarking. - Answer- Scan what the competitors are offering. According to macroeconomic theory, as aggregate prices decrease, what happens to the real gross domestic product (GDP), and why? Real GDP decreases, because there is less consumption spending. Real GDP increases, because there is more real wealth. Real GDP