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Oracle Fusion Cloud Applications SCM Foundations Associate - Rel 1 Sample Questions (Q15-Q20):
NEW QUESTION # 15
What is the primary purpose of the Demand to Management OMBP in Oracle Fusion Cloud SCM?
- A. It ensures accurate demand forecasting and planning.
- B. It eliminates the need for supplier collaboration.
- C. It focuses only on local inventory availability.
- D. It guarantees same-day delivery for all orders.
Answer: A
Explanation:
The Demand to Management OMBP (C) in Oracle Fusion Cloud SCM ensures accurate demand forecasting and planning, translating market signals into actionable supply strategies. It uses tools like machine learning and collaborative forecasting to predict demand-e.g., forecasting 1,000 units for a holiday season-and aligns inventory and production accordingly. Option A is incorrect-it addresses enterprise-wide demand, not just local stock. Option B is false-no process guarantees same-day delivery; it focuses on planning. Option D is wrong-supplier collaboration is integral to fulfilling demand. This OMBP minimizes overstocking or shortages, optimizing resources and enhancing customer service through precise planning.
NEW QUESTION # 16
What is the purpose of the Available to Promise (ATP) process in Oracle Fusion Cloud SCM?
- A. It ensures product availability commitments based on inventory and supply constraints.
- B. It guarantees immediate product shipment for all orders.
- C. It manages only supplier payments without impacting inventory levels.
Answer: A
Explanation:
The Available to Promise (ATP) process in Oracle Fusion Cloud SCM is designed to determine product availability and provide realistic commitments to customers based on current inventory levels and supply constraints, such as production capacity and supplier lead times. ATP calculates how much stock is "available to promise" for new orders by subtracting existing commitments from on-hand inventory and factoring in planned supply. For example, if a warehouse has 50 units of a product, with 20 already allocated to prior orders, ATP shows 30 units available for new promises. Option B is incorrect because ATP has no direct role in managing supplier payments-it focuses on inventory and supply planning. Option C is false as ATP does not guarantee immediate shipment; it provides feasible dates based on availability, not an unrealistic promise of instant delivery. This process supports accurate order promising, prevents stockouts, and aligns customer expectations with operational reality, making it a cornerstone of effective supply chain management.
NEW QUESTION # 17
Which feature in Oracle Fusion Cloud SCM ensures that supply planning recommendations reflect the latest supplier information?
- A. Real-time Supplier Collaboration.
- B. Using separate forecasting models for procurement and supply chain planning.
- C. Increasing reorder points in inventory management.
- D. Implementing manual verification of supplier information.
Answer: A
Explanation:
Real-time Supplier Collaboration (C) in Oracle Fusion Cloud SCM ensures supply planning reflects the latest supplier information by integrating live data-e.g., lead times, inventory availability-via tools like the Supplier Portal. If a supplier updates a lead time from 5 to 7 days, planning adjusts instantly. Option A (increasing reorder points) is a static fix, not real-time. Option B (manual verification) contradicts automation goals. Option D (separate models) fragments planning, reducing accuracy. For example, real-time updates might prevent a stockout by rescheduling a delayed shipment, enhancing agility and precision in supply plans.
NEW QUESTION # 18
What role does the Inventory Management function play in Oracle Fusion Cloud SCM?
- A. It ensures optimal inventory levels by tracking stock movement and availability.
- B. It manages only supplier shipments, not warehouse stock.
- C. It focuses on reducing supplier costs instead of stock levels.
Answer: A
Explanation:
Inventory Management in Oracle Fusion Cloud SCM ensures optimal inventory levels by tracking stock movement, availability, and replenishment needs across warehouses and supply chains. It monitors quantities on hand, in transit, and on order, using real-time data to prevent overstocking or stockouts. For instance, if a product's stock drops below a reorder point, the system triggers a replenishment alert. Option A is incorrect-reducing supplier costs is a procurement goal, not Inventory Management's focus, which is stock optimization. Option B is wrong as it manages warehouse stock, not just supplier shipments. This function balances inventory costs with service levels, supporting efficient operations and customer satisfaction by ensuring products are available when needed without tying up excess capital.
NEW QUESTION # 19
What is the primary purpose of the Supplier Collaboration feature in Oracle Fusion Cloud Procurement?
- A. It eliminates the need for supplier performance reviews.
- B. It restricts suppliers from accessing invoice details.
- C. It allows suppliers to view and respond to purchase orders in real time.
- D. It automates the creation of supplier contracts.
Answer: C
Explanation:
The Supplier Collaboration feature (D) in Oracle Fusion Cloud Procurement, often via the Supplier Portal, allows suppliers to view and respond to purchase orders (POs) in real time, fostering efficient communication. Suppliers can access PO details (e.g., 500 units due next week), confirm acceptance, or propose adjustments instantly, reducing delays. Option A is incorrect-performance reviews remain necessary, supported by collaboration data. Option B is false-contract creation is a separate process, not automated here. Option C is wrong-suppliers can view invoices and POs, not be restricted. For example, a supplier might use this feature to confirm a PO and flag a shipment delay, enabling proactive buyer adjustments. This real-time interaction strengthens partnerships, improves visibility, and accelerates procurement cycles.
NEW QUESTION # 20
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