APICS Certified Supply Chain Professional (CSCP) — Question 142

A firm produces goods that are subject to frequent customer design changes. The products are sold to a few distributors who sell to a large number of retailers. In this situation, which of the following represents the best approach for which the firm should produce those goods?

Answer options

• A. Using a push strategy to replenish the distributors
• B. Using a pull strategy based on retailer sales
• C. Using a push strategy based on retailer sales
• D. Using a pull strategy to replenish the distributors

Correct answer: C

Explanation

The correct answer is C because a push strategy based on retailer sales allows the company to anticipate demand and produce accordingly, which is essential when dealing with frequent design changes. Options A and D focus on distributors, which may not be responsive enough to the rapid changes in customer design. Option B, while a pull strategy can be effective, does not align with the need to proactively push goods to meet retailer demands efficiently.