APICS Certified Supply Chain Professional (CSCP) — Question 309

Demand management is an integral part of business planning and control that:

Answer options

• A. encompasses forecasting, order entry, and distribution.
• B. provides demand only at the aggregate level.
• C. plans for required capacity to meet requirements.
• D. provides an available-to-promise (ATP) quantity.

Correct answer: A

Explanation

The correct answer is A because demand management involves multiple processes including forecasting, order entry, and distribution to effectively handle demand. Option B is incorrect as it suggests a limited scope, while option C focuses solely on capacity planning, and option D refers specifically to ATP, which is just one component of demand management.