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CIMAPRO15-E03-X1-ENG Online Practice Questions and Answers

Questions 1

HHH is an international distribution company which operates a number of large distribution warehouses. HHH employs over 10,000 staff who operate the warehouses 24 hours per day and process over 500,000 packages and parcels each day. HHH operates in a highly competitive market and the senior management team recognize the importance of focusing upon its Critical Success Factors (CSF's). However, some senior managers are confused as to the difference between CSF's and Key Performance Indicators (KPI's).

Which of the following are Critical Success Factors for HHH? (Choose all that apply.)

A. Percentage of stock damaged.

B. Market share percentage.

C. Customer satisfaction.

D. Continual maintenance of warehouse facilities.

E. Time taken to load and unload deliveries.

F. Efficient staff planning systems.

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Questions 2

According to Porter's Five Forces model, which of the following would be evidence of high buyer power?

A. There is a low probability of backward integration.

B. Products are not standardized and buyers cannot easily switch to another product.

C. Buyers are fragmented and act independently of each other.

D. There is a concentration of buyers.

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Questions 3

HHH is a manufacturer which has a bonus scheme for its production workers related to the speed of output. HHH's products are very specialized and are made in a dangerous production environment. HHH's production workers usually work alone but sometimes, if there are problems in the production environment (for example, machinery breakdowns), they have to work in teams. When the production workers are working in teams they do not receive any bonus.

HHH's senior management is proposing to amend the current bonus scheme to encourage increased productivity. Under the current bonus scheme, production workers receive extra pay when they achieve 45% of their individual target: The target level is low because of the dangerous production environment and the need to occasionally work in teams.

Under the proposed bonus scheme, production workers will not receive any extra pay until they have achieved 90% of their individual target. Workers who achieve 90% or above of their individual target will be paid a 30% higher bonus.

Which THREE of the following problems is HHH most likely to encounter with the introduction of the proposed bonus scheme? (Choose three.)

A. The extra production output will lead to an increase in inventory.

B. The proposed bonus scheme conflicts with health and safety legislation.

C. Production workers could consider the new target as unachievable.

D. Production workers will not be motivated by the proposed level of bonus.

E. There could be a rise in the level of workplace accidents.

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CIMAPRO15-E03-X1-ENG Exam Questions & Answers

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