APICS Certified Supply Chain Professional (CSCP) — Question 372

Determining which of the following factors is a strategic element of supply chain design?

Answer options

• A. Capacity required within each facility
• B. Target levels for every item in inventory
• C. Location of each process within a facility
• D. Number, size, and location of facilities

Correct answer: D

Explanation

The correct answer is D because the number, size, and location of facilities are crucial strategic decisions that influence the efficiency and effectiveness of the entire supply chain. Options A, B, and C are operational elements that, while important, do not encompass the broader strategic considerations necessary for supply chain design.