APICS Certified Supply Chain Professional (CSCP) — Question 99
Which of the following decision-making criteria is relevant when purchasing a maintenance, repair, and operations item?
Answer options
- A. It is not a component in the bill of material (BOM).
- B. It is needed for the efficient functioning of the business.
- C. It is a component in the bill of material.
- D. It is the lowest unit cost item.
Correct answer: B
Explanation
The correct answer is B because maintenance, repair, and operations items are essential for ensuring that the business runs smoothly. Options A and C are incorrect as they focus on the item's status within the bill of material, which is not relevant for MRO purchases. Option D is also incorrect because the lowest cost does not necessarily mean it is the most suitable choice for operational efficiency.