APICS Certified Supply Chain Professional (CSCP) — Question 480

Which of the following consequences is typical of a push-based supply chain?

Answer options

Correct answer: B

Explanation

The correct answer is B, as push-based supply chains often produce goods in anticipation of demand, which can lead to higher levels of unsold inventory and thus increased product obsolescence. The other options are incorrect because push systems generally do not result in longer lead times (A), lower economies of scale (C), or smaller production batches (D).