MB-920 Describe Dynamics 365 Supply Chain Management Practice Question
A distribution company needs to automate the generation of purchase orders when inventory levels fall below a predefined threshold. Which feature in Dynamics 365 Supply Chain Management should be configured?
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
✓
Replenishment rules
Replenishment rules automatically generate purchase orders based on inventory levels. Option A is wrong because inventory visibility is a monitoring tool, not for automation. Option B is wrong because vendor collaboration is for communication with vendors, not for automatic PO generation. Option D is wrong because batch balancing is used in production to balance load, not for purchase order generation.
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 visibility
Why it's wrong here
Inventory visibility is a monitoring tool, not for automation.
- ✗
Vendor collaboration
Why it's wrong here
Vendor collaboration is for communication with vendors, not for automatic PO generation.
- ✓
Replenishment rules
Why this is correct
Replenishment rules automatically generate purchase orders based on inventory levels.
- ✗
Batch balancing
Why it's wrong here
Batch balancing is used in production to balance load, not for purchase order generation.
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