APICS Certified Supply Chain Professional (CSCP) — Question 521

A manufacturer experiences frequent changes in product technology and market preferences, resulting in new product introductions each year. Which of the following sourcing strategies would be most appropriate?

Answer options

• A. Sole sourcing
• B. Multiple sourcing
• C. Long-term contracting
• D. Strategic partnering

Correct answer: B

Explanation

The correct answer is B, Multiple sourcing, as it allows for flexibility and adaptability in acquiring components from various suppliers, which is essential for keeping up with rapid changes in technology and market demands. Sole sourcing (A) would limit options, while long-term contracting (C) and strategic partnering (D) may not provide the necessary agility required for frequent product updates.