APICS Certified Supply Chain Professional (CSCP) — Question 493

The most important challenge to consider when sourcing globally is:

Answer options

• A. the identification of sources capable of producing the materials.
• B. the availability of low-cost labor and energy.
• C. complying with specific import/export issues.
• D. balancing the difference between piece price and total cost.

Correct answer: D

Explanation

The correct answer, D, highlights the importance of understanding both the unit price and the overall expenses involved in sourcing. While options A, B, and C present valid concerns, they do not capture the crucial balance needed between cost per item and the total expenditure, which is essential for effective global sourcing.