APICS Certified Supply Chain Professional (CSCP) — Question 22

Cost reduction, improvement of company focus, and freeing assets from noncore activities are among the results achieved through effective implementation of:

Answer options

• A. supply chain management.
• B. service supplier management.
• C. collaboration.
• D. outsourcing.

Correct answer: D

Explanation

The correct answer is D, outsourcing, as it allows companies to delegate noncore functions to third parties, leading to cost reduction and improved focus on primary business activities. Options A and B, while beneficial, do not directly lead to the same level of asset liberation from noncore activities. Option C, collaboration, enhances partnerships but does not inherently reduce costs or free up assets.