Certified Supply Chain Professional (CSCP) Practice Exam

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Study for the Certified Supply Chain Professional (CSCP) Practice Exam. Prepare with multiple choice questions, each accompanied by hints and explanations. Get ready to ace your exam!

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What is line item fill rate?

  1. Percentage of customer satisfaction ratings

  2. Percentage of line items delivered versus line items ordered

  3. Percentage of total inventory sold

  4. Percentage of delivery cost versus total cost

The correct answer is: Percentage of line items delivered versus line items ordered

Line item fill rate is a critical metric in supply chain management that specifically measures the effectiveness of fulfilling customer orders in terms of individual line items. It is calculated as the percentage of line items delivered compared to the total line items that were ordered. This metric provides insight into how well an organization manages its inventory and order fulfillment processes. A high line item fill rate indicates that most ordered products are available and delivered as requested, which enhances customer satisfaction and loyalty. Conversely, a low fill rate may signify issues such as stockouts or inefficiencies in the order fulfillment process, leading to customer dissatisfaction. In contrast, the other choices pertain to different aspects of supply chain performance. For instance, customer satisfaction ratings encompass a broader assessment of overall service quality, while the percentage of total inventory sold focuses on sales performance rather than fulfillment accuracy. Lastly, the comparison of delivery costs to total costs looks at cost management rather than order fulfillment metrics. Thus, the choice defining line item fill rate accurately captures its essence as a measure of delivery success for ordered items.