APICS Certified Supply Chain Professional (CSCP) — Question 28

Which of the following benefits is most likely to be achieved with private warehousing?

Answer options

• A. Control of warehouse operations
• B. Economies of scale
• C. Range of services
• D. Lower operating costs

Correct answer: A

Explanation

The correct answer is A, as private warehousing allows a company to have direct control over its warehouse operations, tailoring them to specific needs. In contrast, economies of scale (B) and lower operating costs (D) are more commonly associated with larger, outsourced warehousing solutions, while a range of services (C) is typically a feature of third-party logistics providers.