Hottest 1Z0-1163-1 Certification & Reliable 1Z0-1163-1 Study Plan
Hottest 1Z0-1163-1 Certification & Reliable 1Z0-1163-1 Study Plan
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Oracle Fusion Cloud Applications SCM Foundations Associate - Rel 1 Sample Questions (Q51-Q56):
NEW QUESTION # 51
What is the primary purpose of the Production Order to Cost Update OMBP in Oracle Fusion Cloud SCM?
- A. It provides accurate cost calculations for better decision-making.
- B. It ensures immediate financial benefits through real-time cost updates.
- C. It automates the production process without human supervision.
- D. It enhances customer relationship management.
Answer: A
Explanation:
The Production Order to Cost Update OMBP (D) in Oracle Fusion Cloud SCM focuses on providing accurate cost calculations by capturing and updating costs associated with production orders-materials, labor, and overhead-enabling better decision-making. For instance, if producing 100 units costs $1,000 (e.g., $500 materials, $300 labor, $200 overhead), this process ensures the total is reflected accurately, allowing managers to adjust pricing or reduce costs. Option A is misleading-while cost updates occur, the primary purpose is accuracy, not immediate financial gains, which are an outcome. Option B is incorrect-customer relationship management is unrelated to production costing. Option C overstates automation; human oversight is still required, and the focus is on cost, not process automation. Accurate cost data supports profitability analysis, budgeting, and strategic planning, making it a critical link between manufacturing and financial management.
NEW QUESTION # 52
Which key metric measures the effectiveness of the Demand to Management OMBP in Oracle Fusion Cloud SCM?
- A. Supplier Lead Time, which measures supplier response efficiency.
- B. Forecast Accuracy, evaluates the precision of demand predictions against actual market demand.
- C. Inventory Turnover, which tracks the speed of inventory movement.
Answer: B
Explanation:
For the Demand to Management OMBP, Forecast Accuracy is the primary metric, as it evaluates how precisely demand predictions match actual market demand, a foundational step in effective supply chain planning. Calculated as a percentage (e.g., actual demand of 800 units versus a forecast of 850 yields 94% accuracy), it directly reflects the OMBP's ability to drive downstream processes like procurement and production. Option B (Supplier Lead Time) measures supplier performance, which affects supply execution but not demand forecasting accuracy. Option C (Inventory Turnover) tracks inventory movement efficiency, an outcome influenced by forecast accuracy, not a direct measure of the OMBP itself. Accurate forecasts prevent overproduction or shortages-for example, overestimating demand by 20% could lead to $50,000 in excess inventory costs, underscoring the metric's importance.
NEW QUESTION # 53
What is the primary function of the Order Promising process in Oracle Fusion Cloud SCM?
- A. It guarantees same-day shipping for all orders.
- B. It only manages orders for direct-to-customer deliveries.
- C. It provides accurate order commitment dates based on supply and demand availability.
- D. It eliminates the need for supplier collaboration.
Answer: C
Explanation:
The Order Promising process (A) in Oracle Fusion Cloud SCM, primarily through Global Order Promising (GOP), provides accurate order commitment dates by analyzing real-time supply (inventory, production capacity) and demand (existing orders, forecasts) data. For instance, if a customer orders 50 units and only 30 are in stock with a 2-day production lead time, it commits to delivery in 2 days, not immediately. Option B is incorrect-it handles all order types (B2B, internal), not just direct-to-customer. Option C is false-no system can universally guarantee same-day shipping; commitments depend on constraints. Option D is wrong-supplier collaboration is often required to fulfill promises. This process enhances customer trust by avoiding overpromising, optimizes resource allocation, and integrates with supply chain planning for seamless execution.
NEW QUESTION # 54
Which key metric measures the effectiveness of the Demand Forecast to Supply Plan OMBP?
- A. Supply Chain Flexibility.
- B. Supplier Service Quality.
- C. Lead Time Variability.
- D. Demand Fulfillment.
Answer: D
Explanation:
The Demand Forecast to Supply Plan OMBP in Oracle Fusion Cloud SCM bridges demand forecasting with supply planning, and its effectiveness is best measured by Demand Fulfillment-the percentage of demand met on time and in full. This metric evaluates how well the supply plan, derived from forecasts, satisfies actual customer orders. For example, if a forecast predicts 500 units and the supply plan delivers 480 units on time, the fulfillment rate is 96%. Option A (Lead Time Variability) assesses supplier performance, not the forecast-to-plan process. Option B (Supplier Service Quality) focuses on supplier reliability, a separate concern. Option C (Supply Chain Flexibility) measures adaptability, not direct fulfillment success. Demand Fulfillment ties directly to the OMBP's goal of aligning supply with demand, ensuring customer satisfaction and operational efficiency while minimizing excess inventory or stockouts.
NEW QUESTION # 55
What is the primary purpose of the Predict Demand process in Oracle Fusion Cloud SCM?
- A. It guarantees same-day delivery for all orders.
- B. It eliminates the need for supplier collaboration.
- C. It focuses only on local inventory availability.
- D. It uses machine learning and statistical forecasting to predict demand.
Answer: D
Explanation:
The Predict Demand process (B) in Oracle Fusion Cloud SCM aims to forecast customer demand using advanced tools like machine learning and statistical forecasting. Machine learning analyzes historical sales, market trends, and external factors (e.g., weather or economic indicators) to predict future demand with high accuracy, while statistical forecasting provides a baseline using mathematical models like moving averages. For example, it might predict a 20% increase in demand for air conditioners in summer based on past patterns. Option A is incorrect-demand prediction isn't limited to local inventory but informs broader supply planning. Option C is false; supplier collaboration remains essential to fulfill predicted demand. Option D is unrealistic-Predict Demand focuses on forecasting, not delivery guarantees. This process ensures businesses can proactively adjust inventory and production, reducing costs and improving service levels.
NEW QUESTION # 56
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