APICS Certified Supply Chain Professional (CSCP) — Question 233

What type of supplier relationship is characterized by short- and medium-term contracts with some visibility, interaction, and communication through designated contact points?

Answer options

• A. Joint venture
• B. Ongoing
• C. Partnership
• D. Strategic alliance

Correct answer: B

Explanation

The correct answer is B, as an ongoing supplier relationship involves regular communication and defined contracts that last for shorter durations. Options A, C, and D imply more permanent or deeper collaborations, which do not align with the characteristics of short- and medium-term contracts mentioned in the question.