MB-920 Describe Dynamics 365 Supply Chain Management Practice Question
A manufacturing company uses Dynamics 365 Supply Chain Management. They need to ensure that raw materials are automatically ordered when inventory falls below a predefined level. Which feature should they configure?
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
✓
Reorder point planning
Reorder point planning is the feature that automatically generates purchase orders when inventory falls below a set level. Option A is wrong because Inventory visibility is a service for real-time tracking, not automatic ordering. Option B is wrong because Master planning is a broader process that includes reorder points but is not the specific feature for automatic ordering. Option D is wrong because Demand forecasting predicts future demand but does not trigger automatic orders.
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 service for real-time tracking of inventory across locations, but it does not automatically generate purchase orders when inventory falls below a level.
- ✗
Master planning
Why it's wrong here
Master planning is a broader process that calculates net requirements and generates planned orders, but the specific feature for automatically ordering when inventory falls below a predefined level is Reorder point planning.
- ✓
Reorder point planning
Why this is correct
Reorder point planning automatically generates purchase orders when inventory falls below a set level.
- ✗
Demand forecasting
Why it's wrong here
Demand forecasting predicts future demand but does not trigger automatic orders.
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Senior Network & Security Engineer · founder of Courseiva
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