MB-920 Describe Dynamics 365 Supply Chain Management Practice Question
A distribution company is implementing Dynamics 365 Supply Chain Management and wants to optimize transportation costs. They have contracts with multiple carriers offering different rates based on weight, distance, and delivery speed. Which module should they use to automatically select the most cost-effective carrier for each shipment?
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
✓
Transportation management
Transportation management (TMS) includes rate engines and routing guides to select carriers based on defined criteria such as weight, distance, and delivery speed, thereby optimizing transportation costs. Option A (Inventory management) is wrong because it focuses on stock levels and inventory control, not carrier selection. Option B (Warehouse management) is wrong because it handles inbound and outbound warehouse operations, not transportation planning. Option D (Procurement and sourcing) is wrong because it deals with purchasing and vendor selection, not shipping logistics.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Inventory management
Why it's wrong here
Inventory management tracks quantities and locations, but does not select carriers.
- ✗
Warehouse management
Why it's wrong here
Warehouse management focuses on inbound/outbound warehouse operations, not transportation carrier selection.
- ✓
Transportation management
Why this is correct
Transportation management (TMS) uses rate engines and routing guides to automatically select the most cost-effective carrier based on shipment details.
- ✗
Procurement and sourcing
Why it's wrong here
Procurement and sourcing manages purchase orders, not transportation logistics.
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