APICS Updated CSCP Exam Questions and Answers by vihaan

The ISO 31000 standard provides a set of principles, guidelines, and best practices for risk management that can be applied to any organization, regardless of its size, industry, or sector. It is designed to help organizations identify, assess, and mitigate risks in a systematic and consistent manner. The standard is not intended for certification purposes (option A) but rather for providing a comprehensive framework for managing risk. It can be used to compare risk management practices to some extent (option C) and to inform the creation of industry-specific practices (option D), but its primary purpose is to offer generic guidelines.References: ISO 31000:2018 - Risk management – Guidelines.

Under Incoterms® 2020, freight on board (FOB) means that the seller fulfills their obligation to deliver when the goods have passed over the ship's rail at the named port of shipment. At this point, the buyer assumes ownership and responsibility for the goods, including any risk of loss or damage during transit. The carrier, seller, and insurer do not assume ownership; rather, their roles pertain to transport, provision of goods, and risk coverage, respectively.References:

• "Incoterms® 2020: ICC Rules for the Use of Domestic and International Trade Terms," International Chamber of Commerce (ICC).
• "Understanding FOB Shipping Terms," Incoterms Explained.

Establishing a warehouse distribution system involves several critical criteria to ensure efficiency and effectiveness. These include:

• Transportation Costs: This is crucial as it impacts the overall cost of goods delivered to customers. Efficient transportation strategies can significantly reduce costs and improve delivery times.
• Material Handling Costs: These are costs

Providing support and service for proper product use can reduce the number of goods processed by the reverse supply chain by minimizing the likelihood of returns due to misuse or lack of understanding. Educating customers on how to use products correctly, offering troubleshooting assistance, and ensuring they have the necessary support can lead to higher satisfaction and fewer returns. Options A, B, and C are related to reverse logistics but do not directly address the prevention of returns through better customer support and service.

References:

• Guide, V. D. R., & Van Wassenhove, L. N. (2009). The Evolution of Closed-Loop Supply Chain Research.
• https://www.supplychainbrain.com