WGU D470 - TRANSPORTATION,
LOGISTICS, AND DISTRIBUTION. EXAM
2025/2026 QUESTIONS AND ANSWERS
100% PASS.
Logistics - ANS Materials Management + Distribution
Supply Chain - ANS Suppliers + Logistics + Customers
Five Rights - ANS Right product, place, time, quantity, and cost.
Total Logistics Concept (TLC) - ANS Integrates logistics elements (transport, storage,
packaging, etc.) into a single optimized system.
Trade-off analysis - ANS Ensures that savings in one area do not cause higher costs
elsewhere.
Logistics costs in the U.S. (2020) - ANS Around 7.6% of GDP.
Transport cost - ANS ~48% of logistics cost (highest).
Logistics impact on GDP - ANS 7.4%-14.5% depending on country.
1 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
,Logistics planning levels - ANS Strategic (long-term), Tactical (mid-term), Operational (short-
term).
Planning vs. Control - ANS Planning = doing the right thing (design), Control = doing things
right (execution).
Logistics planning cycle - ANS Where are we now? What are our objectives? Plan the
operations, Monitor performance, Adjust and repeat.
Globalization in logistics - ANS Requires logistics systems that are complex, integrated, and
flexible.
Challenges of globalization - ANS Long lead times, multiple transport modes, customization
by region.
DPP - ANS Assigns true logistics costs to individual products.
MRP/DRP - ANS Plans production and distribution to minimize waste.
Logistics system components - ANS Moving functions (transport) and stationary functions
(storage, manufacturing).
Economic importance of logistics - ANS Impacts GDP and cost components across various
industries.
Historical evolution of logistics - ANS From informal coordination in the 1950s-60s to strategic
rethinking in the 2000s.
Third-party logistics (3PL) - ANS Growth observed in the 1980s due to rising costs and
technology adoption.
2 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
,Emergence of supply chain management - ANS 1990s focus on end-to-end collaboration.
Key trends in logistics (2010s-present) - ANS Green logistics, humanitarian logistics, lean/agile
supply chains, e-commerce, AI, and Big Data.
Cost variations by industry - ANS High-value products have low logistics %, low-value heavy
products have high logistics %.
Small firms logistics costs - ANS Higher logistics % of sales due to lack of economies of scale.
JIT - ANS Reduces inventory; delivers only what's needed, when needed.
Cost-to-Serve - ANS Calculates real cost of serving individual customers.
DOM - ANS Matches orders to best inventory location.
Control Tower - ANS Uses Big Data and AI for real-time supply chain decisions.
Cost leader - ANS Low inventory, asset utilization.
Service leader - ANS Multiple delivery channels, tailored service.
Segmented supply chains - ANS Meet differing customer needs better than one-size-fits-all
models.
Logistics - ANS Scope is inside the company.
Supply Chain Management - ANS Scope is end-to-end (supplier to customer).
3 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
, Logistics focus - ANS Operational.
Supply Chain Management focus - ANS Strategic.
Inventory in Logistics - ANS Buffer between functions.
Inventory in Supply Chain Management - ANS Flow optimizer.
Systems in Logistics - ANS Siloed.
Systems in Supply Chain Management - ANS Integrated, real-time.
Benefits of Integration - ANS Efficiency, cost savings, better customer service.
Barriers for small companies - ANS Lack of IT systems, lack of long-term planning,
organizational silos.
Customer service - ANS A key differentiator in competitive markets.
Core Product - ANS Design, features, ease of use, quality.
Product Surround - ANS Availability, delivery speed, support.
Pareto Rule - ANS 80/20 principle indicating that product surround can heavily influence
customer satisfaction at minimal cost.
The eight 'Rights' in logistics-driven customer service - ANS Right product, quantity, time,
place, customer, condition, cost, and ethical/environmental considerations.
4 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
LOGISTICS, AND DISTRIBUTION. EXAM
2025/2026 QUESTIONS AND ANSWERS
100% PASS.
Logistics - ANS Materials Management + Distribution
Supply Chain - ANS Suppliers + Logistics + Customers
Five Rights - ANS Right product, place, time, quantity, and cost.
Total Logistics Concept (TLC) - ANS Integrates logistics elements (transport, storage,
packaging, etc.) into a single optimized system.
Trade-off analysis - ANS Ensures that savings in one area do not cause higher costs
elsewhere.
Logistics costs in the U.S. (2020) - ANS Around 7.6% of GDP.
Transport cost - ANS ~48% of logistics cost (highest).
Logistics impact on GDP - ANS 7.4%-14.5% depending on country.
1 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
,Logistics planning levels - ANS Strategic (long-term), Tactical (mid-term), Operational (short-
term).
Planning vs. Control - ANS Planning = doing the right thing (design), Control = doing things
right (execution).
Logistics planning cycle - ANS Where are we now? What are our objectives? Plan the
operations, Monitor performance, Adjust and repeat.
Globalization in logistics - ANS Requires logistics systems that are complex, integrated, and
flexible.
Challenges of globalization - ANS Long lead times, multiple transport modes, customization
by region.
DPP - ANS Assigns true logistics costs to individual products.
MRP/DRP - ANS Plans production and distribution to minimize waste.
Logistics system components - ANS Moving functions (transport) and stationary functions
(storage, manufacturing).
Economic importance of logistics - ANS Impacts GDP and cost components across various
industries.
Historical evolution of logistics - ANS From informal coordination in the 1950s-60s to strategic
rethinking in the 2000s.
Third-party logistics (3PL) - ANS Growth observed in the 1980s due to rising costs and
technology adoption.
2 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
,Emergence of supply chain management - ANS 1990s focus on end-to-end collaboration.
Key trends in logistics (2010s-present) - ANS Green logistics, humanitarian logistics, lean/agile
supply chains, e-commerce, AI, and Big Data.
Cost variations by industry - ANS High-value products have low logistics %, low-value heavy
products have high logistics %.
Small firms logistics costs - ANS Higher logistics % of sales due to lack of economies of scale.
JIT - ANS Reduces inventory; delivers only what's needed, when needed.
Cost-to-Serve - ANS Calculates real cost of serving individual customers.
DOM - ANS Matches orders to best inventory location.
Control Tower - ANS Uses Big Data and AI for real-time supply chain decisions.
Cost leader - ANS Low inventory, asset utilization.
Service leader - ANS Multiple delivery channels, tailored service.
Segmented supply chains - ANS Meet differing customer needs better than one-size-fits-all
models.
Logistics - ANS Scope is inside the company.
Supply Chain Management - ANS Scope is end-to-end (supplier to customer).
3 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
, Logistics focus - ANS Operational.
Supply Chain Management focus - ANS Strategic.
Inventory in Logistics - ANS Buffer between functions.
Inventory in Supply Chain Management - ANS Flow optimizer.
Systems in Logistics - ANS Siloed.
Systems in Supply Chain Management - ANS Integrated, real-time.
Benefits of Integration - ANS Efficiency, cost savings, better customer service.
Barriers for small companies - ANS Lack of IT systems, lack of long-term planning,
organizational silos.
Customer service - ANS A key differentiator in competitive markets.
Core Product - ANS Design, features, ease of use, quality.
Product Surround - ANS Availability, delivery speed, support.
Pareto Rule - ANS 80/20 principle indicating that product surround can heavily influence
customer satisfaction at minimal cost.
The eight 'Rights' in logistics-driven customer service - ANS Right product, quantity, time,
place, customer, condition, cost, and ethical/environmental considerations.
4 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.