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Describe Dynamics 365 Supply Chain ManagementeasyMultiple ChoiceObjective-mapped

MB-920 Describe Dynamics 365 Supply Chain Management Practice Question

A company wants to use Dynamics 365 Supply Chain Management to automate the process of creating purchase orders based on demand from sales orders. Which process should they use?

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Master planning

Master planning calculates demand from sales orders and generates planned purchase orders to fulfill that demand. Option B is wrong because Inventory management tracks stock levels but does not automatically create purchase orders. Option C is wrong because Sales order processing handles sales orders, not purchase orders. Option D is wrong because Procurement and sourcing processes purchase orders, but the automation of creation is done by master planning.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Master planning

    Why this is correct

    Master planning calculates demand and generates planned purchase orders to fulfill it.

  • Inventory management

    Why it's wrong here

    Inventory management tracks stock but does not automatically create purchase orders.

  • Sales order processing

    Why it's wrong here

    Sales order processing handles sales orders, not purchase orders.

  • Procurement and sourcing

    Why it's wrong here

    Procurement and sourcing processes purchase orders, but the automation of creation is done by master planning.

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