APICS Certified in Logistics, Transportation and Distribution (CLTD) — Question 121

A company would like to eliminate unnecessary returns and/or minimize handling. It designs a process to check and screen merchandise at the entry point into the organization. This is an example of:

Answer options

• A. defect reduction
• B. avoidance
• C. gatekeeping
• D. asset recovery

Correct answer: C

Explanation

The correct answer is C, gatekeeping, as it refers to the process of screening items at the entry point to prevent issues later. Option A, defect reduction, focuses on minimizing defects during production rather than at entry. Option B, avoidance, generally pertains to avoiding risks rather than screening products. Option D, asset recovery, involves reclaiming value from returned items, which is not the scenario described.