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Oracle Fusion Cloud Applications SCM Foundations Associate - Rel 1 Sample Questions (Q39-Q44):

NEW QUESTION # 39
How can Oracle Fusion Applications ensure that supply planning recommendations reflect the latest supplier information?

A. Implementing manual verification of supplier information before updating supply plans.
B. By enabling real-time supplier collaboration to update supply planning with lead times and inventory availability.
C. Increasing reorder points in inventory management.
D. Using separate forecasting models for procurement and supply chain planning.

Answer: B

Explanation:
Oracle Fusion Cloud SCM ensures supply planning recommendations are up-to-date by enabling real-time supplier collaboration through tools like the Supplier Portal and Supply Chain Collaboration features. This integration allows suppliers to provide current data on lead times and inventory availability, which is directly reflected in supply plans. Option A (manual verification) contradicts Oracle's automation-driven approach. Option B (increasing reorder points) is a reactive measure, not a solution for real-time updates. Option D (separate forecasting models) undermines the unified planning framework of Oracle Fusion. Real-time collaboration enhances planning accuracy and responsiveness.

NEW QUESTION # 40
What is the role of the Global Order Promising feature in Oracle Fusion Cloud SCM?

A. It guarantees same-day delivery for all orders.
B. It focuses only on local inventory availability.
C. It provides real-time order commitment dates based on supply and demand constraints.
D. It eliminates the need for supplier collaboration.

Answer: C

Explanation:
Global Order Promising (C) provides real-time order commitment dates by analyzing supply (e.g., inventory, production) and demand (e.g., orders, forecasts) constraints enterprise-wide. For instance, if 100 units are requested and 70 are available with a 3-day lead time, it commits to 3 days. Option A is false-no universal same-day guarantee exists. Option B is incorrect-supplier data often informs promises. Option D is wrong-it considers global, not just local, availability. This feature ensures reliable promises, reduces cancellations, and aligns customer expectations with operational capacity.

NEW QUESTION # 41
Which activity is fundamental to the Insight to Sourcing OMBP, ensuring effective procurement and cost optimization?

A. Idea Generation, which identifies market opportunities, incorporating trend analysis and internal innovation.
B. Spend Analysis, which involves categorizing and analyzing historical spending data to identify cost-saving opportunities and strategic sourcing decisions.
C. Performance Monitoring, which assesses supplier ability to meet quality and service standards by utilizing audits, inspections, or performance reviews.

Answer: B

Explanation:
Spend Analysis (B) is the cornerstone of the Insight to Sourcing OMBP in Oracle Fusion Cloud SCM, as it involves categorizing and analyzing historical spending data to uncover cost-saving opportunities and inform strategic sourcing decisions. By examining past expenditures-e.g., identifying that 70% of spending on raw materials comes from a single supplier-businesses can negotiate better terms, consolidate suppliers, or shift to lower-cost alternatives, optimizing procurement costs. Option A (Idea Generation) is a preliminary step focused on innovation and market trends, not the core analytical activity driving sourcing. Option C (Performance Monitoring) evaluates supplier performance post-sourcing, not the initial insight process. For instance, Spend Analysis might reveal excessive spending on expedited shipping, prompting a shift to local suppliers, directly impacting cost efficiency and procurement strategy. This data-driven approach ensures decisions are grounded in financial reality, making it fundamental to the OMBP.

NEW QUESTION # 42
Which key metric measures the effectiveness of the Demand Forecast to Supply Plan OMBP?

A. Demand Fulfillment.
B. Supplier Service Quality.
C. Lead Time Variability.
D. Supply Chain Flexibility.

Answer: A

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 # 43
What is the primary function of Receipt Accounting in Oracle Fusion Cloud SCM?

A. It ensures supplier invoices are paid on time.
B. It records the receipt of goods and services, creating accounting entries for financial reporting.
C. It validates contract terms for procurement.
D. It eliminates the need for cost accounting.

Answer: B

Explanation:
Receipt Accounting (D) in Oracle Fusion Cloud SCM records the receipt of goods and services, generating accounting entries that reflect these transactions for financial reporting and cost tracking. When a shipment of 500 units arrives, Receipt Accounting logs the event, assigns costs (e.g., $5,000), and creates entries like "Inventory Debit" and "Accounts Payable Credit," ensuring financial accuracy. Option A is incorrect-timely invoice payment is a downstream accounts payable process, not Receipt Accounting's role. Option B is false-contract validation occurs in procurement, not here. Option C is wrong-Receipt Accounting feeds into Cost Accounting, enhancing, not eliminating it. This function ensures compliance with accounting standards, provides visibility into goods received, and supports accurate financial statements, bridging physical and financial supply chain activities.

NEW QUESTION # 44
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Noah Scott Noah Scott

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