Courseiva

CCNA Describe Dynamics 365 Supply Chain Management Questions

75 of 324 questions · Page 1/5 · Describe Dynamics 365 Supply Chain Management · Answers revealed

Practice these questionsDomain overviewAll questions
1
MCQeasy

A company needs to track the cost of raw materials from the moment they are received until the finished goods are sold. Which costing method should they use to ensure that each unit's cost is individually tracked?

A.FIFO (first in, first out)
B.Standard cost
C.Specific identification
D.Weighted average
AnswerC

Specific identification tracks each unit's cost individually.

Why this answer

Specific identification tracks each unit individually. FIFO assumes first-in-first-out. Weighted average uses average cost.

Standard cost uses predetermined cost.

Practice this question →
2
Multi-Selecthard

Which THREE capabilities are provided by the Dynamics 365 Supply Chain Management's Copilot AI features?

Select 3 answers
A.Create financial reports for cost accounting
B.Generate summaries of engineering change orders
C.Analyze and explain inventory problem warnings
D.Predict delivery dates based on current supply chain data
E.Automatically create purchase orders when inventory is low
AnswersB, C, D

Copilot can summarize changes for engineers.

Why this answer

Dynamics 365 Supply Chain Management's Copilot AI includes a feature that uses natural language processing to generate summaries of engineering change orders. This capability helps engineers and stakeholders quickly understand the impact of changes without manually reviewing detailed technical documents, streamlining the change management process.

Exam trap

The trap here is that candidates often confuse standard automation features (like automatic purchase order creation) with AI-powered Copilot capabilities, or they mistakenly associate financial reporting tasks with Supply Chain Management instead of Dynamics 365 Finance.

Practice this question →
3
MCQhard

A company uses Dynamics 365 Supply Chain Management and wants to implement a policy that prevents picking of expired or near-expiry inventory for customer orders. The system should automatically block such inventory from being reserved. Which feature should they use?

A.Inventory status
B.Location profiles
C.Quality orders with expiration date control
D.Item model groups
AnswerC

Quality orders with expiration date control automatically block expired or near-expiry inventory from reservation and picking.

Why this answer

Quality orders with expiration date control allow the system to automatically block inventory that is expired or near expiry from being reserved or picked. This feature uses expiration date control settings to trigger quality orders that prevent picking of such inventory. Option A (Inventory status) can manually block inventory but does not automatically use expiration dates.

Option B (Location profiles) manage warehouse locations but do not enforce expiration-based blocking. Option D (Item model groups) control costing methods and inventory models, not expiration date enforcement.

Practice this question →
4
MCQmedium

A company uses Dynamics 365 Supply Chain Management. They need to ensure that a specific item is always sourced from a preferred vendor, even if another vendor has a lower price. Which configuration should be used?

A.Vendor allocation rules
B.Product dimension groups
C.Inventory status codes
D.Purchase trade agreements
AnswerD

Trade agreements can set a preferred vendor and price.

Why this answer

Purchase trade agreements allow you to define specific sourcing rules for items, including a preferred vendor relationship. This ensures that a particular item is always sourced from the designated vendor regardless of price. Option A (Vendor allocation rules) is used to distribute purchase quantities among multiple vendors, not to force a single preferred vendor.

Option B (Product dimension groups) define product variants, not sourcing preferences. Option C (Inventory status codes) control inventory availability and transaction types, not vendor selection.

Practice this question →
5
Multi-Selecthard

Which THREE components are part of the Dynamics 365 Supply Chain Management warehouse management system?

Select 3 answers
A.Production orders
B.Mobile device menu items
C.Transfer orders
D.Location directives
E.Work templates
AnswersB, D, E

Configures actions on warehouse mobile devices.

Why this answer

Warehouse management includes location directives, work templates, and mobile device menu items. Production orders are part of production control, not warehouse management. Transfer orders are in inventory management.

Correct: B, D, E.

Practice this question →
6
MCQhard

A company uses Dynamics 365 Supply Chain Management for warehouse management. They notice that picking routes are inefficient, causing delays. They want to optimize picking paths automatically. Which feature should they implement?

A.Inbound load management
B.Cycle counting
C.Wave processing
D.Cluster picking
AnswerC

Wave processing can optimize picking by creating efficient work using location directives.

Why this answer

Wave processing in Dynamics 365 Supply Chain Management automatically groups released orders into waves and optimizes picking routes based on location sequencing and work templates. This reduces travel time and improves warehouse efficiency by generating efficient pick paths without manual intervention.

Exam trap

The trap here is that candidates confuse cluster picking (a manual grouping method) with wave processing (an automated optimization feature), leading them to select cluster picking when the question explicitly asks for automatic path optimization.

How to eliminate wrong answers

Option A is wrong because inbound load management handles receiving and put-away of incoming shipments, not picking route optimization. Option B is wrong because cycle counting is an inventory accuracy process that counts items on a recurring basis, unrelated to picking path efficiency. Option D is wrong because cluster picking is a manual picking method where a worker picks multiple orders simultaneously, but it does not automatically optimize picking paths; wave processing is the feature that automates route optimization.

Practice this question →
7
MCQhard

A company uses Dynamics 365 Supply Chain Management and wants to automate the replenishment of items from a central warehouse to regional distribution centers based on real-time sales data. Which concept should they use?

A.Replenishment strategies (e.g., min/max)
B.Transfer orders
C.Bill of materials
D.Kanban signals
AnswerA

Replenishment strategies like min/max automatically create transfer orders based on stock levels and demand.

Why this answer

Replenishment strategies such as min/max are designed to automate inventory replenishment based on predefined thresholds and real-time demand signals. In Dynamics 365 Supply Chain Management, these strategies calculate when stock at a regional distribution center falls below a minimum level and automatically generate replenishment orders from the central warehouse, making them the correct choice for this scenario.

Exam trap

The trap here is that candidates often confuse transfer orders (a manual execution tool) with the automated replenishment strategy that triggers them, leading them to select Option B instead of recognizing that replenishment strategies are the underlying logic.

How to eliminate wrong answers

Option B is wrong because transfer orders are manual or semi-automated documents used to move inventory between locations, not an automated replenishment strategy driven by real-time sales data. Option C is wrong because a bill of materials defines the components and structure of a finished product, not the logic for replenishing inventory across warehouses. Option D is wrong because kanban signals are a lean manufacturing pull-based system typically used for production or internal material flow, not for automating replenishment from a central warehouse to distribution centers based on sales data.

Practice this question →
8
Matchingmedium

Match each Dynamics 365 Project Operations pricing method to its description.

Drag a concept onto its matching description — or click a concept then click the description.

Concepts
Matches

Customer pays a predetermined total amount

Customer pays based on actual time and costs

Customer pays cost plus a markup

Customer pays a recurring fixed fee

Invoices triggered by project milestones

Why these pairings

In Dynamics 365 Project Operations, Cost plus covers actual costs plus profit, Fixed price is a predetermined total, and Time and materials charges based on actual hours and materials. The distractors swap these definitions.

Practice this question →
9
MCQeasy

A production supervisor needs to see which production orders are currently running and their status. Which workspace should they use?

A.Procurement and sourcing workspace
B.Cost management workspace
C.Warehouse management workspace
D.Production floor management workspace
AnswerD

This workspace shows production orders and their current status.

Why this answer

The Production floor management workspace is specifically designed for production supervisors to monitor and manage production orders in real time. It provides a consolidated view of all production orders, their current status (e.g., started, reported as finished), and key performance indicators, enabling immediate action on the shop floor.

Exam trap

The trap here is that candidates may confuse the Production floor management workspace with the Cost management workspace, assuming cost tracking is the primary need, when the question specifically asks for seeing which production orders are currently running and their status.

How to eliminate wrong answers

Option A is wrong because the Procurement and sourcing workspace is focused on managing purchase orders, vendor relationships, and sourcing activities, not production order execution. Option B is wrong because the Cost management workspace is used for analyzing and controlling manufacturing costs, inventory valuation, and cost accounting, not for real-time production order status tracking. Option C is wrong because the Warehouse management workspace is designed for warehouse operations such as inventory movements, picking, and shipping, not for monitoring production orders on the shop floor.

Practice this question →
10
MCQeasy

A company uses Dynamics 365 Supply Chain Management and wants to use AI to optimize inventory levels by predicting stockouts and suggesting reorder quantities. Which Copilot feature should they use?

A.Copilot in Dynamics 365 Customer Service
B.Copilot in Dynamics 365 Finance
C.Copilot in Dynamics 365 Sales
D.Copilot in Dynamics 365 Supply Chain Management
AnswerD

Copilot in Supply Chain Management provides AI-driven inventory forecasting and reorder suggestions.

Why this answer

Copilot in Dynamics 365 Supply Chain Management includes AI-powered inventory forecasting that uses machine learning to predict stockouts and suggest reorder quantities. Option A is wrong because Copilot in Dynamics 365 Customer Service is designed for customer support scenarios, not inventory management. Option B is wrong because Copilot in Dynamics 365 Finance focuses on financial data and processes.

Option C is wrong because Copilot in Dynamics 365 Sales is for sales-related activities.

Practice this question →
11
MCQeasy

Refer to the exhibit. A transfer order is shipped but not received. Which step should be performed next?

A.Ship the order again
B.Register the receipt at WH-02
C.Delete the transfer order
D.Create a new transfer order
AnswerB

Receipt must be registered to complete the transfer.

Why this answer

After a transfer order is shipped, the next step is for the receiving warehouse (WH-02) to register the receipt. This completes the transfer process. Option B is correct.

Option A is incorrect because the order has already been shipped. Option C is not standard procedure, and Option D would only be needed if the original order was cancelled.

Practice this question →
12
MCQhard

Contoso Ltd. is a global electronics manufacturer using Dynamics 365 Supply Chain Management. They have three production sites: Seattle (primary), Chicago, and Atlanta. Currently, all sites use manual picking processes. Contoso wants to implement warehouse management system (WMS) functionality to improve efficiency. The Seattle site is already using WMS, but the other two sites are not. The project requires minimal disruption to ongoing operations. The IT team is considering three approaches: (1) Enable WMS for all sites simultaneously after a weekend cutover, (2) Enable WMS for Chicago first, then Atlanta after one month, and (3) Enable WMS only for Seattle and keep others manual. The warehouse manager is concerned about training workers on mobile devices. What is the best course of action?

A.Keep WMS only for Seattle and continue manual picking at Chicago and Atlanta to avoid training costs.
B.Enable WMS for all sites simultaneously during a weekend cutover to standardize processes quickly.
C.Enable WMS for Chicago first, then Atlanta after one month, using lessons learned from Chicago.
D.Revert Seattle to manual picking to maintain consistency across all sites.
AnswerC

A phased rollout minimizes disruption, allows for training and adjustments, and aligns with best practices.

Why this answer

Enable WMS for Chicago first, then Atlanta after one month, using lessons learned from Chicago. This phased approach minimizes disruption, allows for training and process adjustments, and aligns with best practices for warehouse management implementation. Option A is incorrect because limiting WMS to Seattle does not improve efficiency at other sites.

Option B is incorrect because enabling WMS for all sites simultaneously is risky and could cause major operational disruption. Option D is incorrect because reverting Seattle to manual picking is counterproductive and does not leverage existing WMS investment.

Exam trap

The trap is to think that a big bang implementation (Option B) is better due to standardization, but it ignores the operational risk and training challenges.

Practice this question →
13
MCQhard

You are the supply chain manager at a manufacturing company using Dynamics 365 Supply Chain Management. The company operates three warehouses: WH01 (finished goods), WH02 (raw materials), and WH03 (work-in-process). You need to configure inventory visibility for real-time demand planning. The company requires that inventory levels from all three warehouses be viewable in a single dashboard, with the ability to allocate stock to sales orders before physical pick. Additionally, you must ensure that the system can handle soft reservations across warehouses without impacting the physical inventory counts. You have the following options: A. Configure the Inventory Visibility Service add-in and set up soft reservations using the Allocation API. B. Use the standard Inventory On-hand report and manually reserve stock per warehouse. C. Implement Warehouse Management System (WMS) and use the wave execution to allocate stock. D. Set up Product Information Management with transfer orders to move stock between warehouses. Which option should you choose?

A.Configure the Inventory Visibility Service add-in and set up soft reservations using the Allocation API.
B.Use the standard Inventory On-hand report and manually reserve stock per warehouse.
C.Implement Warehouse Management System (WMS) and use the wave execution to allocate stock.
D.Set up Product Information Management with transfer orders to move stock between warehouses.
AnswerA

Configure the Inventory Visibility Service add-in provides real-time multi-warehouse visibility and supports soft reservations via the Allocation API, which does not affect physical inventory.

Why this answer

The Inventory Visibility Service add-in provides real-time multi-warehouse visibility and supports soft reservations via the Allocation API, which does not affect physical inventory. Option B is incorrect because manual reservation per warehouse is not real-time and doesn't offer a unified dashboard. Option C is incorrect because WMS wave execution is for physical warehouse operations, not for soft reservations across warehouses.

Option D is incorrect because transfer orders are for physical movement, not for soft reservation visibility.

Practice this question →
14
MCQmedium

A company uses Dynamics 365 Supply Chain Management with advanced warehouse management. They want to ensure that workers picking sales orders are directed to the nearest location with available inventory. Which configuration should they use?

A.Set up a work template that assigns the nearest work user.
B.Configure a location directive with a 'Nearest' strategy.
C.Define a mobile device menu item for 'Location Inquiry'.
D.Create a wave template that prioritizes proximity.
AnswerB

The 'Nearest' strategy directs to the closest available location.

Why this answer

Location directives in Dynamics 365 Supply Chain Management with advanced warehouse management can be configured with a 'Nearest' strategy. This strategy directs the system to calculate the shortest distance from the worker's current location to the nearest location containing available inventory, ensuring efficient picking routes for sales orders.

Exam trap

The trap here is that candidates often confuse work templates (which define work steps) with location directives (which control where inventory is picked from), leading them to select Option A instead of the correct routing configuration.

How to eliminate wrong answers

Option A is wrong because work templates define the structure of work (e.g., which steps to perform), not the spatial routing logic; assigning a 'nearest work user' is not a valid configuration for location-based picking. Option C is wrong because a mobile device menu item for 'Location Inquiry' is a read-only function that displays location details, not a routing mechanism to direct workers to the nearest inventory. Option D is wrong because wave templates control how loads are released and consolidated into waves, not the physical picking path; proximity is not a configurable strategy in wave templates.

Practice this question →
15
MCQhard

A distribution company uses Dynamics 365 Supply Chain Management to manage its supply chain. Recently, the company has been facing issues with late deliveries to customers. The root cause analysis shows that the planning department is not accurately accounting for lead times from suppliers. The company wants to improve the accuracy of purchase order delivery dates. You need to configure the system to automatically calculate purchase order delivery dates based on vendor lead times and calendar exceptions. The company uses the Master Planning module for supply planning. You have the following options: A. Configure the Warehouse Management module to use the shipment consolidation functionality to adjust delivery dates. B. Manually adjust delivery dates on each purchase order based on phone calls with vendors. C. Use the Procurement and Sourcing module to create blanket purchase agreements that override lead times. D. Set up vendor lead times in the Vendor master and configure the purchase lead time field in the Product master. Then run Master Planning to generate planned purchase orders with correct delivery dates. Which option should you choose?

A.Configure the Warehouse Management module to use the shipment consolidation functionality to adjust delivery dates.
B.Manually adjust delivery dates on each purchase order based on phone calls with vendors.
C.Use the Procurement and Sourcing module to create blanket purchase agreements that override lead times.
D.Set up vendor lead times in the Vendor master and configure the purchase lead time field in the Product master. Then run Master Planning to generate planned purchase orders with correct delivery dates.
AnswerD

Setting up vendor lead times in Vendor master and purchase lead time in Product master allows Master Planning to automatically calculate purchase order delivery dates based on lead times and calendar exceptions. This option is correct.

Why this answer

Vendor lead times and product lead times are used by Master Planning to calculate delivery dates automatically. By setting up vendor lead times in the Vendor master and configuring the purchase lead time field in the Product master, Master Planning can generate planned purchase orders with accurate delivery dates based on lead times and calendar exceptions. Option A is incorrect because shipment consolidation in Warehouse Management is for outbound shipments, not for purchase order lead times.

Option B is incorrect because manual adjustments are error-prone and not scalable. Option C is incorrect because blanket purchase agreements are for pricing and terms, not for lead time calculation.

Practice this question →
16
Multi-Selectmedium

Which TWO features in Dynamics 365 Supply Chain Management help reduce inventory carrying costs?

Select 2 answers
A.Vendor-managed inventory
B.Intercompany planning
C.Product variants
D.RFID tracking
E.Demand forecasting
AnswersA, E

VMI shifts inventory ownership to suppliers, reducing carrying costs.

Why this answer

Vendor-managed inventory (VMI) shifts the responsibility for inventory replenishment to the supplier, allowing the supplier to monitor stock levels and trigger replenishment based on agreed targets. This reduces the need for the buying organization to hold safety stock, directly lowering inventory carrying costs such as storage, insurance, and obsolescence. Demand forecasting uses historical data and predictive analytics to align inventory levels with expected customer demand, minimizing overstock and stockouts, which also reduces carrying costs.

Exam trap

The trap here is that candidates confuse operational features like RFID tracking or intercompany planning with cost-reduction strategies, assuming any technology that improves visibility automatically reduces carrying costs, when in fact only VMI and demand forecasting directly target inventory levels and holding expenses.

Practice this question →
17
MCQhard

A manufacturing company uses Dynamics 365 Supply Chain Management. The production planner notices that a planned production order for 1,000 units of finished good FG-100 has a material shortage for component RM-200. The planner wants to automatically create purchase orders for the missing component and reschedule the production order. Which feature should be configured?

A.Warehouse management
B.Master planning
C.Product configuration
D.Inventory management
AnswerB

Master planning automatically creates planned orders and reschedules production based on material requirements.

Why this answer

(Master planning) is correct because Master planning in Dynamics 365 Supply Chain Management performs material requirements planning (MRP) that can automatically generate planned purchase orders for missing components and reschedule production orders based on material availability. Option A (Warehouse management) is incorrect because it focuses on warehouse operations like receiving, putaway, and picking, not on planning. Option C (Product configuration) is incorrect as it is used for configurable products in a configure-to-order scenario.

Option D (Inventory management) is incorrect because it handles inventory transactions, counting, and adjustments, not planning or automation of purchase orders.

Practice this question →
18
Multi-Selecthard

Which THREE are valid item model groups used in Dynamics 365 Supply Chain Management?

Select 3 answers
A.LIFO
B.Moving average
C.FIFO
D.Standard cost
E.Weighted average
AnswersA, B, C

LIFO (Last In, First Out) is a valid item model group.

Why this answer

Item model groups in Dynamics 365 Supply Chain Management include FIFO, LIFO, and Moving average. These determine how inventory costs are calculated and tracked. Weighted average is a costing method, not an item model group.

Standard cost is also a costing method, not a model group. Therefore, the correct answers are LIFO, Moving average, and FIFO.

Practice this question →
19
MCQhard

A medical device manufacturer uses Dynamics 365 Supply Chain Management. They are subject to strict regulatory requirements requiring complete traceability of each device to its raw material lots. The company uses process manufacturing with batch orders. Each finished device has a unique serial number that must be linked to the lot numbers of all raw materials used. The company also needs to maintain a genealogy of components. You need to configure the system to capture this traceability. You have the following options: A. Enable serial tracking for the finished device and lot tracking for raw materials. Use the batch order to record the consumption of raw material lots against the serial number. B. Use the Product master to assign a serial number to the finished good and manually enter lot numbers in a free text field. C. Use the Warehouse Management module to create location labels that include serial and lot information. D. Use the Quality management module to create quality orders for each batch and associate them with serial numbers. Which option should you choose?

A.Use the Quality management module to create quality orders for each batch and associate them with serial numbers.
B.Enable serial tracking for the finished device and lot tracking for raw materials. Use the batch order to record the consumption of raw material lots against the serial number.
C.Use the Product master to assign a serial number to the finished good and manually enter lot numbers in a free text field.
D.Use the Warehouse Management module to create location labels that include serial and lot information.
AnswerB

Enabling serial tracking for the finished device and lot tracking for raw materials allows the batch order to record the consumption of raw material lots against the serial number of the finished good. This captures the full genealogy and traceability required.

Why this answer

It properly uses serial and lot tracking. In Dynamics 365 Supply Chain Management, enabling serial tracking for the finished device and lot tracking for raw materials allows the batch order to record the consumption of raw material lots against the serial number of the finished good. This captures the full genealogy and traceability required.

Option A is incorrect because quality orders are used for inspections, not for capturing traceability relationships. Option C is incorrect because manual entry of lot numbers in a free text field is not an integrated or reliable method for traceability. Option D is incorrect because location labels in Warehouse Management do not capture the genealogy of components.

Practice this question →
20
MCQmedium

A company uses Dynamics 365 Supply Chain Management with warehouse management. Workers are spending too much time traveling between picking locations. Which strategy should be implemented to reduce travel time?

A.Implement zone picking to assign workers to specific areas.
B.Increase the number of picking locations per item.
C.Configure wave processing to release orders less frequently.
D.Use cluster picking to pick multiple orders simultaneously.
AnswerD

Cluster picking allows picking multiple orders in one trip, reducing travel time.

Why this answer

Cluster picking allows a worker to pick items for multiple orders in a single trip by grouping orders into a cluster and picking them together. This reduces the number of trips between picking locations, directly cutting travel time. In Dynamics 365 Supply Chain Management, cluster picking is a wave method that consolidates work for efficient route-based picking.

Exam trap

The trap here is confusing zone picking (which reduces travel within a zone but not across zones) with cluster picking (which reduces travel by combining multiple orders into one trip), leading candidates to choose A instead of D.

How to eliminate wrong answers

Option A is wrong because zone picking assigns workers to specific areas, which can reduce travel within a zone but does not consolidate multiple orders into a single pick run, so overall travel time may still be high if orders span zones. Option B is wrong because increasing the number of picking locations per item spreads inventory across more locations, which actually increases travel time as workers must visit more spots. Option C is wrong because configuring wave processing to release orders less frequency reduces the number of waves but does not change how workers travel within a wave; it may increase batch sizes but does not inherently reduce travel per pick.

Practice this question →
21
Multi-Selecthard

A manufacturer uses Dynamics 365 Supply Chain Management. They want to implement a production flow that supports lean manufacturing. Which THREE features should they consider?

Select 3 answers
A.Production flows
B.Activity-based costing
C.Batch orders
D.Kanban boards
E.Discrete manufacturing
AnswersA, B, D

Lean manufacturing feature.

Why this answer

Options A, B, and D are correct because Kanban boards, production flows, and activity-based costing are key lean manufacturing features. Option C is incorrect because batch orders are for process manufacturing, not lean. Option E is incorrect because discrete manufacturing is a process type.

Practice this question →
22
MCQmedium

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?

A.Inventory visibility
B.Master planning
C.Reorder point planning
D.Demand forecasting
AnswerC

Reorder point planning automatically generates purchase orders when inventory falls below a set level.

Why this answer

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.

Practice this question →
23
MCQeasy

A retail company uses Dynamics 365 Supply Chain Management to manage inventory across multiple stores. They want to ensure that stock levels at stores are automatically replenished from the central warehouse when inventory drops below a defined threshold. Which planning method should they configure?

A.Inventory aging
B.Replenishment (min/max)
C.Demand forecasting
D.Safety stock
AnswerB

Min/max replenishment automatically generates orders when stock falls below the minimum level.

Why this answer

Replenishment (min/max) is the correct planning method because it automatically triggers replenishment orders from the central warehouse when inventory at a store falls below a defined minimum threshold, and it stops when stock reaches the maximum level. This method is specifically designed for location-based inventory replenishment in Dynamics 365 Supply Chain Management, ensuring that stores maintain optimal stock without manual intervention.

Exam trap

The trap here is that candidates often confuse safety stock as a planning method, but it is actually a parameter used within replenishment or master planning, not a method that automatically triggers replenishment orders.

How to eliminate wrong answers

Option A is wrong because inventory aging is a reporting and analysis tool used to track how long items have been in stock, not a method for triggering automatic replenishment. Option C is wrong because demand forecasting predicts future demand using historical data and statistical models, but it does not directly execute replenishment orders based on current stock levels. Option D is wrong because safety stock is a buffer quantity set to protect against stockouts, but it is a parameter within replenishment methods, not a standalone planning method for automatic replenishment.

Practice this question →
24
Multi-Selecthard

Which TWO capabilities are provided by the Warehouse management module in Dynamics 365 Supply Chain Management?

Select 2 answers
A.Route planning
B.Wave processing
C.Cluster picking
D.Quality orders
E.Production scheduling
AnswersB, C

Wave processing is a warehouse management feature for load grouping and release.

Why this answer

Options B and C are correct. Wave processing allows grouping of loads for efficient picking and shipping, and cluster picking enables picking multiple orders simultaneously—both are core Warehouse management capabilities. Option A (Route planning) belongs to Transportation management.

Option D (Quality orders) belongs to Quality management. Option E (Production scheduling) belongs to Production control.

Practice this question →
25
MCQmedium

A manufacturing company uses Dynamics 365 Supply Chain Management. They want to ensure that raw materials are available for production without overstocking. Which feature should they use to calculate material requirements based on production schedules?

A.Master planning
B.Inventory on-hand report
C.Asset management
D.Quality management
AnswerA

It calculates material and capacity requirements based on demand.

Why this answer

Master planning calculates material and capacity requirements based on production schedules and demand, ensuring raw materials are available without overstocking. Option A (Master planning) is correct. Option B (Inventory on-hand report) only shows current stock levels and does not plan future needs.

Option C (Asset management) focuses on equipment maintenance, not material planning. Option D (Quality management) ensures product quality, not material requirements.

Practice this question →
26
MCQhard

A company is evaluating Dynamics 365 Supply Chain Management for its complex manufacturing process that involves both discrete and process manufacturing. Which capability should they use to handle the co-products and by-products generated during production?

A.Lean manufacturing
B.Product configuration
C.Discrete manufacturing
D.Process manufacturing
AnswerD

Process manufacturing handles formulas, co-products, and by-products.

Why this answer

Process manufacturing in Dynamics 365 Supply Chain Management supports co-products and by-products. Option A (Lean manufacturing) is wrong because it focuses on waste reduction and flow, not managing co/by-products. Option B (Product configuration) is wrong because it deals with configurable product variants, not co/by-products.

Option C (Discrete manufacturing) is wrong because it handles assemblies and discrete items, not continuous processes with co/by-products.

Practice this question →
27
MCQmedium

A manufacturing company uses Dynamics 365 Supply Chain Management. The production manager reports that the system is not automatically reserving raw materials when a production order is released. What should you check first?

A.Check if the raw materials are batch-controlled and batch attributes are configured.
B.Verify that the raw materials have an inventory status of 'Available'.
C.Ensure that the production route includes all required operation steps.
D.Confirm that the 'Automatic reservation' field is set to 'On' in the production order defaults.
AnswerD

This parameter controls whether materials are automatically reserved when a production order is released.

Why this answer

The 'Automatic reservation' parameter in the production order defaults controls whether materials are automatically reserved upon release. Option A is incorrect because batch-controlled materials and attributes are not related to automatic reservation timing. Option B is incorrect because inventory status does not affect automatic reservation; it only indicates availability.

Option C is incorrect because the production route includes operation steps, which are unrelated to material reservation.

Practice this question →
28
MCQmedium

A company uses Dynamics 365 Supply Chain Management and wants to ensure that raw materials are available for production without overstocking. They use a planning method that considers both demand and supply. Which planning method is most appropriate?

A.Master planning (MRP)
B.Kanban
C.Demand forecasting
D.Reorder point planning
AnswerA

Balances demand and supply.

Why this answer

Master planning (MRP) is appropriate because it considers both demand and supply to generate planned orders, ensuring raw materials are available without overstocking. Kanban is a pull-based system for repetitive manufacturing, not suitable for raw material planning. Demand forecasting is an input to planning, not a planning method itself.

Reorder point planning only triggers replenishment when stock drops to a specific level, which may not account for future demand fluctuations.

Practice this question →
29
Multi-Selectmedium

Which TWO features are part of Dynamics 365 Supply Chain Management's warehouse management capabilities?

Select 2 answers
A.Route planning
B.Wave processing
C.Location directives
D.Demand forecasting
E.Vendor collaboration
AnswersB, C

Wave processing is a core warehouse management feature for creating work.

Why this answer

Options B and C are correct because wave processing and location directives are key warehouse management capabilities in Dynamics 365 Supply Chain Management. Option A is incorrect because route planning belongs to transportation management, not warehouse management. Option D is incorrect because demand forecasting is part of master planning.

Option E is incorrect because vendor collaboration is a procurement feature.

Practice this question →
30
MCQhard

A company uses Dynamics 365 Supply Chain Management with advanced warehouse management. They need to ensure that when a purchase order is received, the system automatically creates work to put away the items in a specific location based on the product's storage dimension group. Which configuration is required?

A.Create a mobile device menu item for put-away
B.Configure a location directive and a work template for purchase order put-away
C.Set up a wave template for inbound waves
D.Configure a replenishment template
AnswerB

Location directives specify where to put items, and work templates define the work process.

Why this answer

Location directives define the specific locations where items should be put away based on criteria such as storage dimension groups, and work templates generate the work needed to perform the put-away. Option A is incorrect because mobile device menu items are used to execute warehouse work on a scanner, not to configure the put-away logic. Option C is incorrect because wave templates are typically used for outbound processes like picking and shipping, not for inbound put-away.

Option D is incorrect because replenishment templates are used to replenish locations, not to assign put-away locations for incoming purchase orders.

Practice this question →
31
MCQeasy

A company uses Dynamics 365 Supply Chain Management to plan production. They need to ensure that materials are available to meet production schedules without overstocking. Which module would they use to balance supply and demand?

A.Production Control
B.Inventory Management
C.Warehouse Management
D.Master Planning
AnswerD

Master Planning balances supply and demand.

Why this answer

Master Planning. Master Planning is used to balance supply and demand by calculating material requirements based on production schedules, ensuring materials are available without overstocking. Option A (Production Control) is incorrect because it focuses on executing and managing production orders, not planning material availability.

Option B (Inventory Management) is incorrect because it tracks and manages stock levels, but does not perform supply-demand balancing calculations. Option C (Warehouse Management) is incorrect because it handles physical storage and movement of goods, not supply planning.

Practice this question →
32
MCQhard

A manufacturer wants to implement a pull-based production system where work cells signal upstream processes when they need more parts. Which Dynamics 365 Supply Chain Management feature should they use?

A.Production orders
B.Master planning
C.Batch orders
D.Kanban boards
AnswerD

Kanban boards implement pull-based signaling between work cells.

Why this answer

Kanban boards in Dynamics 365 Supply Chain Management enable a pull-based production system where downstream work cells signal upstream processes when they need more parts, aligning with lean manufacturing principles. Option A (Production orders) is incorrect because they are typically used in push-based discrete manufacturing. Option B (Master planning) is incorrect as it is a push-based planning approach.

Option C (Batch orders) is incorrect because they are designed for process manufacturing, not pull signaling.

Practice this question →
33
MCQeasy

A company uses Dynamics 365 Supply Chain Management to manage inventory. They want to automatically reduce the quantity of a component when a finished product is reported as finished. Which feature should they use?

A.Production BOM explosion
B.Purchase order approval
C.Production routes
D.Warehouse locations
AnswerA

The Production BOM explosion automatically creates picking lists and reduces raw material inventory when a finished product is reported as finished.

Why this answer

The Production BOM explosion automatically creates picking lists and reduces raw material inventory when a finished product is reported as finished. Option A is correct. Option B (Purchase order approval) is unrelated to inventory reduction during production.

Option C (Production routes) defines the sequence of operations but does not automatically reduce component quantities. Option D (Warehouse locations) defines storage locations but does not automatically reduce inventory during production.

Practice this question →
34
MCQhard

A warehouse manager configures a location profile as shown. A mobile device user attempts to put away a pallet of item A into location BULK-001. The system rejects the putaway. What is the most likely reason?

A.The location type 'Bulk' is not valid for putaway.
B.The default location is not set to BULK-001.
C.The reservation hierarchy does not allow putaway to a bulk location.
D.The warehouse management process is disabled.
AnswerC

The reservation hierarchy determines how inventory is allocated; if set incorrectly, it prevents putaway to certain locations like bulk locations.

Why this answer

The reservation hierarchy is set to a level that does not allow putaway into a bulk location. In Dynamics 365 Supply Chain Management, location profiles control how inventory is stored and moved. If the reservation hierarchy is configured at a level higher than location (e.g., Site or Warehouse), a bulk location may not accept putaway unless it is specifically configured to allow it.

Option A is incorrect because the location type 'Bulk' is valid for putaway; bulk locations are commonly used for storage. Option B is incorrect because a default location is not required for putaway; the system uses the location profile settings. Option D is incorrect because if the warehouse management process were disabled, the system would not allow any warehouse transactions at all, not just putaway rejections.

Practice this question →
35
MCQmedium

A manufacturing company is implementing Dynamics 365 Supply Chain Management. They need to track raw material consumption and finished goods output in real time. Which module should they configure to achieve this?

A.Inventory management
B.Production control
C.Warehouse management
D.Procurement and sourcing
AnswerB

Production control tracks raw material consumption and finished goods output in real time during manufacturing.

Why this answer

Production control is the correct module because it is specifically designed to manage and track manufacturing processes, including real-time consumption of raw materials and output of finished goods through production orders, batch orders, and kanban jobs. It integrates with inventory to automatically post material consumption and finished goods receipt as production operations are reported.

Exam trap

The trap here is that candidates often confuse Inventory management with production tracking, but Inventory management only records stock levels and movements, not the manufacturing execution and consumption/output events that Production control handles.

How to eliminate wrong answers

Option A is wrong because Inventory management handles stock levels, movements, and counting but does not track the manufacturing process or real-time consumption/output during production. Option C is wrong because Warehouse management focuses on inbound/outbound logistics, picking, packing, and storage within warehouses, not on the production floor consumption or output. Option D is wrong because Procurement and sourcing manages purchasing of materials from suppliers, not the tracking of material usage or finished goods in manufacturing.

Practice this question →
36
MCQeasy

A company uses Dynamics 365 Supply Chain Management to manage inventory across multiple warehouses. They want to ensure that high-value items are stored in the most secure locations. What feature should they use to define storage restrictions based on item value?

A.Location directives
B.Inventory status codes
C.Product filters
D.Warehouse zones
AnswerA

Location directives define rules for placing items into specific locations based on criteria such as item value.

Why this answer

Location directives are used in Dynamics 365 Supply Chain Management to define rules for item placement, including criteria such as item value, to ensure high-value items are stored in secure locations. Inventory status codes track item availability, not placement. Warehouse zones group locations but do not enforce placement rules based on item value.

Product filters are used for item selection, not storage restrictions.

Practice this question →
37
MCQmedium

Refer to the exhibit. A company manufactures a finished good (FGI-100) and produces a co-product (CP-01) during production. The cost accountant notices that the cost of FGI-100 does not reflect the offset from the co-product. What should they configure?

A.Set up co-product cost allocation
B.Adjust the costing sheet
C.Create a new BOM version
D.Define a route version
AnswerA

Allocates costs between main and co-products.

Why this answer

Co-product cost allocation must be set up to distribute costs between the main item and co-products, ensuring the cost of FGI-100 reflects the offset from the co-product. Option B is incorrect because adjusting the costing sheet is for overhead allocation, not co-product cost allocation. Option C is incorrect because creating a new BOM version defines materials or production structure, not cost allocation.

Option D is incorrect because defining a route version specifies operations, not cost allocation.

Practice this question →
38
MCQmedium

Refer to the exhibit. A company uses demand forecasting with ARIMA method and a historical horizon of 12 months. What is the primary advantage of using ARIMA for forecasting?

A.It uses machine learning for pattern recognition
B.It allows real-time forecast updates
C.It models trends and seasonality in time series data
D.It incorporates external factors like weather
AnswerC

ARIMA is designed to capture trends and seasonality.

Why this answer

ARIMA (AutoRegressive Integrated Moving Average) is a statistical time series forecasting method that models trends and seasonality in historical data. Option A is wrong because machine learning pattern recognition is not inherent to ARIMA; ARIMA is a statistical method, not a machine learning algorithm. Option B is wrong because ARIMA does not inherently allow real-time forecast updates; it relies on historical data and requires model refitting.

Option D is wrong because ARIMA does not incorporate external factors like weather; it only uses the past values of the time series itself.

Practice this question →
39
MCQmedium

A company uses Dynamics 365 Supply Chain Management and wants to implement a quality check process for incoming raw materials. The quality inspector must receive a notification when a purchase order receipt is registered, and the system must block the inventory until the inspection is passed. Which module should be configured?

A.Production control
B.Warehouse management
C.Inventory management
D.Quality management
AnswerD

Quality management enables quality orders, notifications, and inventory blocking until inspection passes.

Why this answer

The Quality management module in Dynamics 365 Supply Chain Management is specifically designed to handle quality inspections, including the ability to automatically generate quality orders upon purchase order receipt. It can block inventory transactions (e.g., put-away or consumption) until the inspection passes, and trigger notifications to quality inspectors via workflows or alerts.

Exam trap

The trap here is that candidates often confuse the Warehouse management module's ability to handle receiving and put-away with the need for a dedicated quality process, but only Quality management provides the inspection workflow and inventory blocking required.

How to eliminate wrong answers

Option A is wrong because Production control manages manufacturing orders, bill of materials, and routing, not the quality inspection of incoming raw materials. Option B is wrong because Warehouse management focuses on warehouse operations like receiving, put-away, and picking, but it does not provide the quality order creation or inventory blocking logic for inspections. Option C is wrong because Inventory management handles stock levels, transfers, and adjustments, but it lacks the dedicated quality order workflow and inspection result recording needed for this scenario.

Practice this question →
40
MCQeasy

A company uses Dynamics 365 Supply Chain Management and needs to ensure that all inbound shipments from a specific vendor are inspected before being put away. Which feature should be configured?

A.Production control
B.Quality management with quality orders
C.Outbound load planning
D.Work creation policies
AnswerB

Quality orders can be triggered on receipt to inspect goods.

Why this answer

Quality management in Dynamics 365 Supply Chain Management allows automatic creation of quality orders upon inbound receipt through quality associations, enabling inspection of shipments from specific vendors. Option A (Production control) is for manufacturing processes, not inbound inspection. Option C (Outbound load planning) relates to outbound shipments.

Option D (Work creation policies) controls warehouse work generation, not quality inspection.

Practice this question →
41
Multi-Selectmedium

Which THREE are features of Dynamics 365 Supply Chain Management for quality control?

Select 3 answers
A.Costing Sheets
B.Nonconformance Management
C.Inventory Statuses
D.Quality Associations
E.Quality Orders
AnswersB, D, E

Nonconformance Management handles defective material disposition.

Why this answer

Nonconformance Management (B) is a core feature of Dynamics 365 Supply Chain Management that allows organizations to document, track, and resolve quality issues such as defective materials or process deviations. It integrates with quality orders and associations to enforce corrective actions and ensure compliance with quality standards.

Exam trap

The trap here is that candidates may confuse Inventory Statuses (which can indicate a quarantine status) with a dedicated quality control feature, but Inventory Statuses are primarily for inventory management, not for executing quality processes like inspections or nonconformance resolution.

Practice this question →
42
MCQeasy

A company uses Dynamics 365 Supply Chain Management to manage vendor collaboration. They want vendors to view and respond to purchase orders directly in the system. Which portal or workspace should they enable?

A.Vendor collaboration workspace
B.Employee self-service
C.Customer portal
D.Self-service portal
AnswerA

Vendor collaboration allows vendors to interact with POs.

Why this answer

The 'Vendor collaboration workspace' allows vendors to view purchase orders, confirm deliveries, and submit invoices directly in Dynamics 365 Supply Chain Management. Option B (Employee self-service) is for HR-related tasks, not vendor collaboration. Option C (Customer portal) is for customers, not vendors.

Option D (Self-service portal) is a generic term and not specific to vendor collaboration in this context.

Practice this question →
43
MCQeasy

A company wants to enable its warehouse workers to use handheld scanners to confirm picking activities. What must be configured in Dynamics 365 Supply Chain Management?

A.Warehouse Management mobile app
B.Power Apps mobile app
C.Production floor execution interface
D.Mobile device menu items
AnswerA

The Warehouse Management mobile app is designed for handheld scanner workflows.

Why this answer

Warehouse Management mobile app. This app is the native interface for warehouse workers to use handheld scanners to confirm picking activities. Option B is incorrect because Power Apps mobile app is a general platform and not specifically designed for warehouse management tasks.

Option C is incorrect because the Production floor execution interface is intended for manufacturing floor activities, not warehouse picking. Option D is incorrect because mobile device menu items are configuration elements within the Warehouse Management mobile app, but the app itself is required to be configured first.

Practice this question →
44
MCQhard

A company uses Dynamics 365 Supply Chain Management. They want to use AI to forecast demand and suggest replenishment. Which feature should they enable?

A.Cycle counting
B.Demand forecasting
C.Warehouse mobile device
D.Finite capacity scheduling
AnswerB

Demand forecasting uses AI to predict demand and suggest replenishment.

Why this answer

Demand forecasting uses AI to predict demand and drive replenishment. Option B is correct. Option A is for inventory counting.

Option C is for warehouse automation. Option D is for production scheduling.

Practice this question →
45
MCQhard

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

A.Purchase requisition
B.Master planning
C.Consignment inventory
D.Vendor collaboration
AnswerB

Master planning calculates net requirements and can generate planned purchase orders automatically.

Why this answer

Master planning in Dynamics 365 Supply Chain Management uses demand from sales orders to generate planned purchase orders, ensuring inventory levels meet requirements. It performs net requirements calculations, considering existing stock, lead times, and order quantities, to automate procurement suggestions. This directly addresses the need to create purchase orders based on sales order demand.

Exam trap

The trap here is that candidates confuse purchase requisitions (a manual approval workflow) with master planning (an automated demand-driven engine), assuming any procurement-related feature can automate purchase order creation from sales orders.

How to eliminate wrong answers

Option A is wrong because a purchase requisition is a manual request for goods or services that must be approved before becoming a purchase order; it does not automatically generate purchase orders from sales order demand. Option C is wrong because consignment inventory is a vendor-managed stock model where goods are stored at the customer's site but not owned until consumed; it does not automate purchase order creation based on sales orders. Option D is wrong because vendor collaboration is a portal for sharing documents and data with suppliers, such as purchase orders or forecasts, but it does not generate purchase orders from demand.

Practice this question →
46
MCQmedium

You are the supply chain consultant for a global electronics manufacturer that uses Dynamics 365 Supply Chain Management. The company procures components from multiple vendors and assembles finished goods in three factories: Berlin, Shanghai, and Monterrey. The current process requires planners to manually review demand and supply for each site and create purchase orders. The company wants to automate the generation of purchase requisitions based on forecasted demand and current inventory levels. Additionally, they need to ensure that the system respects vendor lead times and minimum order quantities. You propose using master planning to generate planned purchase orders. However, the procurement manager is concerned that planned orders might be created too frequently for low-demand items, causing an excessive number of small purchases. What should you configure to consolidate planned purchase orders for the same vendor within a defined time window?

A.Configure purchase order consolidation in master planning parameters.
B.Increase safety stock levels for low-demand items.
C.Enable action messages in master planning.
D.Set a coverage time fence for each item.
AnswerA

Configure purchase order consolidation in master planning parameters. This feature groups planned orders by vendor into a single purchase order, respecting lead times and minimum order quantities.

Why this answer

The 'Purchase order consolidation' feature in master planning parameters allows grouping planned purchase orders by vendor into a single purchase order within a defined time window, reducing the number of small orders. Option B is wrong because increasing safety stock levels ensures inventory availability but does not consolidate orders. Option C is wrong because action messages suggest changes to existing orders, such as expediting or delaying, not consolidation.

Option D is wrong because a coverage time fence determines how far ahead the system plans, not how orders are consolidated.

Practice this question →
47
MCQeasy

A company uses Dynamics 365 Supply Chain Management to manage warehouse operations. They want to ensure that workers are guided step-by-step during the picking process using mobile devices. Which feature should they implement?

A.Transport Management
B.Warehouse Management
C.Inventory Management
D.Production Control
AnswerB

Correct. Warehouse Management includes mobile device guided processes for picking.

Why this answer

The Warehouse Management module in Dynamics 365 Supply Chain Management provides guided step-by-step processes for mobile device users, including the mobile device portal that directs warehouse workers through picking tasks. Option A (Transport Management) is incorrect because it focuses on freight and shipping logistics, not warehouse picking. Option C (Inventory Management) is incorrect because it deals with stock quantities and transactions, not guided picking.

Option D (Production Control) is incorrect because it manages manufacturing orders and execution, not warehouse picking.

Practice this question →
48
MCQhard

A manufacturing company uses Dynamics 365 Supply Chain Management. They want to use AI to forecast demand for raw materials based on historical sales and external factors like weather. Which feature should they enable?

A.Enable Demand Forecasting with Azure Machine Learning integration.
B.Use the Forecasting setup in Master planning to generate baseline forecasts.
C.Configure Material Requirements Planning (MRP) to run nightly.
D.Implement Inventory Forecasting with Power BI dashboards.
AnswerA

Demand Forecasting uses AI to analyze historical data and external factors for predictions.

Why this answer

The scenario explicitly requires AI-driven demand forecasting that incorporates external factors like weather. Dynamics 365 Supply Chain Management's Demand Forecasting feature integrates with Azure Machine Learning to apply advanced algorithms that analyze historical sales data alongside external variables, producing more accurate predictions than traditional methods.

Exam trap

The trap here is that candidates often confuse baseline forecasting in Master Planning (which uses simple statistical methods) with the AI-powered Demand Forecasting feature that integrates Azure Machine Learning and supports external factors.

How to eliminate wrong answers

Option B is wrong because the Forecasting setup in Master planning generates baseline forecasts using statistical methods (e.g., moving averages, exponential smoothing) but does not natively incorporate external factors like weather or leverage AI/ML models. Option C is wrong because Material Requirements Planning (MRP) is a deterministic calculation that explodes demand from existing forecasts and orders to generate supply plans; it does not forecast demand itself, nor does it use AI or external factors. Option D is wrong because Inventory Forecasting with Power BI dashboards provides visualization and reporting of inventory data, not predictive AI-based demand forecasting that incorporates external variables.

Practice this question →
49
MCQhard

A company uses Dynamics 365 Supply Chain Management. They have multiple vendors supplying the same raw material. The procurement manager wants to automatically allocate purchase orders to the vendor with the best combination of price, lead time, and quality rating. Which feature should they use?

A.Purchase agreements
B.Vendor bid analysis
C.Request for quotation
D.Vendor collaboration
AnswerB

Vendor bid analysis allows scoring vendors based on price, lead time, and quality to automatically allocate orders.

Why this answer

Vendor bid analysis in Dynamics 365 Supply Chain Management allows procurement managers to automatically evaluate and compare vendor proposals based on price, lead time, and quality rating. It uses scoring rules to rank bids and can automatically allocate purchase orders to the vendor with the best overall score, enabling data-driven vendor selection without manual intervention.

Exam trap

The trap here is that candidates often confuse Request for quotation (RFQ) with automated vendor selection, but RFQ only collects bids and requires manual scoring, whereas Vendor bid analysis provides the automated allocation engine based on predefined scoring criteria.

How to eliminate wrong answers

Option A is wrong because purchase agreements are used to define negotiated terms (price, discounts, delivery schedules) with a specific vendor over a period, not to automatically compare and allocate orders among multiple vendors based on dynamic criteria. Option C is wrong because Request for quotation (RFQ) is a process to solicit bids from vendors, but it does not automatically allocate purchase orders; it requires manual review and scoring, and lacks built-in automated allocation based on combined criteria like quality rating. Option D is wrong because Vendor collaboration is a portal for vendors to view and respond to purchase orders, invoices, and forecasts, but it does not perform automated bid comparison or allocation of purchase orders.

Practice this question →
50
MCQmedium

Refer to the exhibit. The production order status is 'Started' and BOM consumption is set to 'Manual'. What must happen before the order can be reported as finished?

A.The system automatically consumes raw materials
B.The order must be scheduled again
C.A picking list must be registered to consume raw materials
D.The order must be estimated
AnswerC

Manual consumption requires manual registration of picking list.

Why this answer

With manual consumption, a picking list must be registered to consume raw materials before the order can be reported as finished. Option C is correct. Option A describes automatic consumption, which is not applicable here.

Option B is not required; scheduling is done before starting. Option D is for estimating costs, which is done before release.

Practice this question →
51
MCQeasy

A company wants to use Dynamics 365 Supply Chain Management to optimize their transportation costs and delivery schedules. Which module should they primarily use?

A.Procurement and Sourcing
B.Master Planning
C.Transportation Management
D.Warehouse Management
AnswerC

Transportation Management manages shipping, freight, and logistics optimization.

Why this answer

Transportation Management. The Transportation Management module is specifically designed to manage shipping, freight, and logistics optimization, which directly aligns with the goal of optimizing transportation costs and delivery schedules. Option A (Procurement and Sourcing) is incorrect because it manages purchasing and supplier relationships, not transportation.

Option B (Master Planning) is incorrect as it focuses on supply and demand planning, not transportation optimization. Option D (Warehouse Management) is incorrect because it deals with internal warehouse operations, not transportation.

Practice this question →
52
Multi-Selecteasy

Which TWO of the following are valid warehouse management processes in Dynamics 365 Supply Chain Management?

Select 2 answers
A.Receiving and putaway
B.Vendor returns
C.Picking and shipment
D.Transfer order creation
E.Production consumption and production reporting
AnswersA, C

Receiving and putaway are standard inbound warehouse processes.

Why this answer

Receiving and putaway, and picking and shipment are core warehouse processes. Production consumption and production reporting are manufacturing processes. Transfer order creation is inventory management.

Vendor returns involve purchasing.

Practice this question →
53
MCQeasy

A company uses Dynamics 365 Supply Chain Management. They want to use the product configurator to allow salespeople to configure a product's options (e.g., color, size) based on rules. What should they create?

A.Bill of materials (BOM) and route.
B.Product variant with predefined options.
C.Constraint-based product configuration model.
D.Item configuration group.
AnswerC

This model uses constraints to define valid option combinations.

Why this answer

Constraint-based product configuration models use constraints and rules to define valid combinations of options like color and size, allowing salespeople to configure products. Option A (BOM and route) is for manufacturing, not sales configuration. Option B (product variant with predefined options) would require predefining every combination, which is less flexible.

Option D (item configuration group) is not a standard concept for rule-based configuration.

Practice this question →
54
MCQeasy

A company wants to use AI to predict potential stockouts and suggest replenishment actions. Which Dynamics 365 Supply Chain Management capability should they leverage?

A.Master planning
B.Demand forecasting
C.IoT Intelligence
D.Inventory optimization
AnswerB

Demand forecasting uses AI to predict future demand and identify stockout risks.

Why this answer

Demand forecasting in Dynamics 365 Supply Chain Management uses AI and machine learning to analyze historical data, seasonal patterns, and external factors to predict future demand. This capability directly addresses the need to predict potential stockouts and suggest replenishment actions by generating accurate demand predictions that feed into planning processes.

Exam trap

The trap here is that candidates confuse 'demand forecasting' (which generates predictions) with 'master planning' (which uses those predictions to create supply orders), or they assume 'inventory optimization' includes demand prediction when it actually optimizes inventory levels based on existing forecasts.

How to eliminate wrong answers

Option A is wrong because Master planning is a deterministic engine that calculates supply requirements based on existing demand forecasts and orders, but it does not itself use AI to predict demand; it relies on inputs like demand forecasts. Option C is wrong because IoT Intelligence focuses on real-time monitoring of equipment and processes via sensor data, not on predicting stockouts or suggesting replenishment actions. Option D is wrong because Inventory optimization uses AI to set safety stock levels and reorder points, but it does not generate demand predictions; it optimizes inventory parameters based on existing forecasts and service levels.

Practice this question →
55
MCQmedium

A company using Dynamics 365 Supply Chain Management notices that inventory accuracy is low due to manual data entry errors. Which feature can help automate data capture and improve accuracy?

A.Warehouse mobile devices
B.Quality management
C.Inventory counting
D.Vendor collaboration
AnswerA

Warehouse mobile devices enable barcode scanning to automate data entry.

Why this answer

Warehouse mobile devices allow barcode scanning to automate data entry, reducing manual errors and improving inventory accuracy. Option B is wrong because Quality management is used for inspections, not automated data capture. Option C is wrong because Inventory counting is a manual process that does not inherently automate data capture.

Option D is wrong because Vendor collaboration involves external communication, not automated data capture.

Practice this question →
56
Multi-Selectmedium

Which TWO of the following are required to use the Planning Optimization add-in in Dynamics 365 Supply Chain Management?

Select 2 answers
A.Azure Machine Learning workspace must be configured.
B.Demand forecasting feature must be enabled.
C.An active Dynamics 365 subscription with appropriate license.
D.Planning Optimization add-in must be installed and enabled.
E.Power BI integration must be configured.
AnswersC, D

A valid subscription is required to use the add-in.

Why this answer

Options C and D are correct. Planning Optimization requires the add-in to be installed and enabled (D) and an active Dynamics 365 subscription with appropriate license (C). Option A is incorrect because Azure Machine Learning workspace is not required.

Option B is incorrect because the Demand forecasting feature is optional and not a prerequisite. Option E is incorrect because Power BI integration is not required.

Practice this question →
57
MCQmedium

You are a Dynamics 365 Supply Chain Management functional consultant for a food and beverage company. The company receives raw materials from multiple suppliers and needs to enforce quality inspections on all inbound shipments of dairy products. If a dairy shipment fails inspection, the entire lot must be quarantined and cannot be used in production. Additionally, the company wants to automatically generate purchase orders when the inventory level of a key ingredient falls below a reorder point. The inventory planner will review and approve the suggested orders before they are sent to suppliers. You need to configure the system to: (1) enforce quality inspections on inbound dairy products; (2) automatically quarantine failed lots; (3) generate purchase order suggestions based on reorder points. What should you do?

A.Create a quality order for each inbound dairy shipment and configure a workflow to approve or reject. Use safety stock journal to create purchase orders when stock is low.
B.Use quality orders with a sampling plan for dairy products and set inventory status to 'Quarantine' on failure. Set up item coverage with a reorder point and run master planning to generate planned purchase orders.
C.Set up vendor evaluation to inspect dairy suppliers and use inventory blocking to quarantine. Configure master planning with safety stock for automatic purchase orders.
D.Create a cycle counting plan for dairy products and set up a quarantine zone in the warehouse. Configure item coverage with a min-max system for automatic purchase orders.
AnswerB

Correct: quality orders for inspections, status for quarantine, and coverage for reorder.

Why this answer

To enforce quality inspections on inbound dairy products, you need to create quality orders with a sampling plan specific to dairy items. When a quality order fails, you can configure the inventory status to be updated to 'Quarantine', which blocks the lot from being used in production. For automatic purchase order generation based on reorder points, you set up item coverage for the key ingredient with a reorder point and run master planning.

Master planning will generate planned purchase orders when the projected inventory falls below the reorder point. The inventory planner can then review and approve these planned orders before they are converted to actual purchase orders. Option B correctly combines quality orders with sampling and quarantine status for inspections, and item coverage with master planning for purchase order suggestions.

Option A is incorrect because the safety stock journal does not automatically generate purchase orders based on reorder points; it is a manual adjustment. Option C uses vendor evaluation, which is not the correct tool for inbound quality inspections on specific items. Option D uses cycle counting, which is for inventory accuracy, not quality inspections.

Practice this question →
58
Multi-Selecteasy

Which TWO are benefits of using warehouse management in Dynamics 365 Supply Chain Management?

Select 2 answers
A.Managing financial budgets
B.Defining location directives for putaway
C.Using wave management to optimize picking
D.Generating purchase orders automatically
E.Tracking production order status
AnswersB, C

Location directives guide putaway and picking in warehouse management.

Why this answer

Location directives in Dynamics 365 Supply Chain Management (SCM) automatically guide the system to the optimal storage location for putaway, ensuring efficient warehouse space utilization and inventory accuracy. Option C is correct because wave management groups picking work into waves, allowing the system to optimize picking sequences and resource allocation, which reduces travel time and increases throughput.

Exam trap

The trap here is that candidates confuse general supply chain or financial features with the specific, operational benefits of warehouse management, such as location directives and wave management, which are unique to the WMS module.

Practice this question →
59
MCQeasy

A logistics company wants to use Dynamics 365 Supply Chain Management to track transportation costs and optimize routing. Which module should they implement?

A.Sales and marketing
B.Transportation management
C.Warehouse management
D.Procurement and sourcing
AnswerB

Transportation management in Dynamics 365 Supply Chain Management handles freight, routing, and cost optimization.

Why this answer

Transportation management in Dynamics 365 Supply Chain Management handles freight, routing, and cost optimization. Option A (Sales and marketing) is wrong because it focuses on customer orders and sales processes, not transportation costs. Option C (Warehouse management) is wrong because it deals with inbound/outbound warehouse operations, not transportation.

Option D (Procurement and sourcing) is wrong because it manages purchasing and supplier relationships, not transportation.

Practice this question →
60
MCQeasy

A company uses Dynamics 365 Supply Chain Management and wants to track production costs in real time. Which feature should they use?

A.Cost accounting
B.Inventory management
C.Production control
D.Project management
AnswerC

Tracks production orders and costs.

Why this answer

Production control allows tracking of production orders and costs in real time. Option A is incorrect because Cost accounting is for general cost analysis, not real-time production cost tracking. Option B is incorrect because Inventory management tracks stock levels, not production costs.

Option D is incorrect because Project management is for project-based costing, not production.

Practice this question →
61
MCQmedium

A food and beverage company uses Dynamics 365 Supply Chain Management. They need to manage batch attributes such as shelf-life and allergen information for raw materials. Which feature should they configure?

A.Batch attributes
B.Quality orders
C.Inventory dimension groups
D.Product variants
AnswerA

Batch attributes manage characteristics like shelf-life and allergen information.

Why this answer

Batch attributes are specifically designed to manage characteristics like shelf-life and allergen information for raw materials. Option B is wrong because Quality orders are used for testing and quality control, not for managing batch attributes. Option C is wrong because Inventory dimension groups define tracking dimensions (e.g., site, warehouse), not specific batch attributes.

Option D is wrong because Product variants are for different versions of a product, not for managing attributes like shelf-life or allergens.

Practice this question →
62
Matchingmedium

Match each Dynamics 365 Supply Chain Management concept to its description.

Drag a concept onto its matching description — or click a concept then click the description.

Concepts
Matches

List of components needed to produce an item

Sequence of operations in production

Visual signal for just-in-time production

Control inventory movement and storage

Forecast customer demand to optimize inventory

Why these pairings

The correct matches are: Production control with managing production orders, Inventory management with tracking inventory, Warehouse management with warehousing processes, and Transportation management with shipments. The distractors swap descriptions between Production control and Inventory management.

Practice this question →
63
Multi-Selecthard

A company uses Dynamics 365 Supply Chain Management for process manufacturing. They need to enforce that a specific formula version is used for a product based on its shelf life. Which TWO configurations are required?

Select 2 answers
A.Set up shelf life (best before date) tracking for the product
B.Create a BOM version instead of a formula version
C.Enable catch weight on the product
D.Configure a location directive for the warehouse
E.Set 'From date' and 'To date' on the formula version to define validity period
AnswersA, E

Required; shelf life tracking allows the system to consider the product's best before date when selecting a formula version.

Why this answer

Options A and E are correct. Shelf life tracking (best before date) is required to enforce that a product uses a specific formula version based on its shelf life. Setting 'From date' and 'To date' on the formula version defines its validity period, allowing the system to select the appropriate version.

Option B is incorrect because BOM versions are for discrete manufacturing, not process manufacturing. Option C is incorrect because catch weight is for variable weight products, not for shelf life enforcement. Option D is incorrect because location directives are for warehouse management, not for formula version selection.

Practice this question →
64
MCQhard

A company uses Dynamics 365 Supply Chain Management and notices that inventory costs are increasing due to high carrying costs for slow-moving items. They want to automate the classification of items based on usage value. Which feature should they use?

A.Cycle counting
B.Inventory turnover
C.Product lifecycle management
D.ABC classification
AnswerD

Classifies items by usage value.

Why this answer

ABC classification categorizes items based on usage value, helping prioritize management of slow-moving items. Option A is incorrect because Cycle counting is for inventory accuracy, not classification. Option B is incorrect because Inventory turnover is a metric, not a classification method.

Option C is incorrect because Product lifecycle management deals with product stages, not value-based classification.

Practice this question →
65
Multi-Selecthard

A manufacturing company uses Dynamics 365 Supply Chain Management. The production manager wants to reduce setup time on a bottleneck machine. Which THREE actions should the manager take?

Select 3 answers
A.Define operation properties to sequence orders by setup similarity.
B.Use resource groups to allow setup sharing across similar machines.
C.Group production orders by product family to minimize changeovers.
D.Increase the batch size for all production orders on that machine.
E.Implement external setup procedures that run while the machine is running.
AnswersA, B, C

Operation properties allow the system to sequence orders to minimize setup time.

Why this answer

Defining operation properties allows the system to sequence production orders on a bottleneck resource based on setup similarity, reducing changeover time. In Dynamics 365 Supply Chain Management, operation properties are attributes assigned to operations that the scheduling engine uses to group similar setups together, minimizing the number and duration of setup changes.

Exam trap

The trap here is that candidates may confuse increasing batch size (a lot-sizing technique) with a direct setup reduction method, or assume external setup procedures are a built-in feature of Dynamics 365 Supply Chain Management, when in fact the platform achieves setup reduction through sequencing and resource grouping features.

Practice this question →
66
MCQhard

Contoso Ltd. is a global manufacturer of industrial pumps. They use Dynamics 365 Supply Chain Management with warehouse management (WMS) enabled. The warehouse in Chicago has been experiencing frequent inventory discrepancies during cycle counting. The discrepancies are mostly for items stored in bulk locations (floor storage) with high movement volume. The warehouse manager suspects that the issue is related to how inventory transactions are processed during outbound picking. When pickers confirm a pick, the system immediately reduces on-hand inventory. However, the physical movement to the staging area often happens later, sometimes after the system confirmation. This timing difference leads to phantom inventory. The manager wants to avoid a full physical inventory and implement a solution that aligns system and physical movements without major process changes. They consider four options: A. Enable negative inventory adjustments for bulk locations. B. Use the 'Registration' process instead of picking confirmation for outbound orders. C. Implement a staging location and use the 'Stage for packing' functionality to defer inventory reduction until the item is physically staged. D. Disable cycle counting for bulk locations and rely on annual physical counts. Which option should Contoso implement?

A.Disable cycle counting for bulk locations and rely on annual physical counts.
B.Enable negative inventory adjustments for bulk locations.
C.Implement a staging location and use the 'Stage for packing' functionality to defer inventory reduction until the item is physically staged.
D.Use the 'Registration' process instead of picking confirmation for outbound orders.
AnswerC

This aligns system deduction with physical movement to staging.

Why this answer

Implementing a staging location with the 'Stage for packing' functionality allows the system to defer inventory reduction until the item is physically moved to the staging area. This aligns the system transaction with the physical movement, eliminating the phantom inventory caused by early picking confirmation. It solves the timing discrepancy without requiring major process changes or a full physical inventory.

Exam trap

The trap here is that candidates may confuse 'Registration' (which still reduces inventory at registration time) with a solution that defers reduction, or they may think enabling negative inventory is a valid workaround, when in fact it only masks the timing discrepancy without fixing the process alignment.

How to eliminate wrong answers

Option A is wrong because disabling cycle counting for bulk locations and relying on annual physical counts would not address the root cause of phantom inventory; it would only mask discrepancies and delay detection, leading to larger inaccuracies over time. Option B is wrong because enabling negative inventory adjustments for bulk locations would allow the system to record negative on-hand quantities, which can mask underlying process issues and lead to further inventory inaccuracies and operational confusion. Option D is wrong because using the 'Registration' process instead of picking confirmation would still reduce inventory at the time of registration, not when the item is physically moved; it does not solve the timing gap between system confirmation and physical movement.

Practice this question →
67
MCQeasy

A company needs to calculate the cost of manufactured products including direct materials, labor, and overhead. Which costing methodology in Dynamics 365 Supply Chain Management should they use?

A.Weighted average
B.Standard costing
C.FIFO
D.Moving average
AnswerB

Standard costing uses predetermined costs for materials, labor, and overhead to calculate product costs.

Why this answer

Standard costing is the correct methodology because it allows the company to define predetermined costs for direct materials, labor, and overhead, and then calculate variances against actual costs. In Dynamics 365 Supply Chain Management, standard costing is specifically designed for manufacturing scenarios where you need to value inventory and cost of goods sold based on expected costs, with variance tracking for deviations.

Exam trap

The trap here is that candidates confuse inventory valuation methods (FIFO, weighted average, moving average) with manufacturing costing methodologies, but standard costing is the only option that explicitly handles the calculation of manufactured product costs including direct materials, labor, and overhead.

How to eliminate wrong answers

Option A is wrong because weighted average is an inventory valuation method that calculates cost based on the average cost of all units in stock, not a costing methodology for manufactured products that includes predefined labor and overhead. Option C is wrong because FIFO (First In, First Out) is an inventory costing method that assumes the oldest inventory is sold first, and it does not incorporate standard overhead or labor rates for manufacturing cost calculation. Option D is wrong because moving average is a perpetual inventory costing method that recalculates the average cost after each receipt, and it is not designed for manufacturing cost roll-up or variance analysis.

Practice this question →
68
MCQmedium

A warehouse receives a shipment and needs to put items away based on their velocity (fast-movers near shipping). Which warehouse strategy should they configure?

A.Replenishment
B.Cycle Counting
C.Directed Put-away
D.Cross-docking
AnswerC

Directed Put-away uses location directives to assign storage based on item velocity, placing fast-movers near shipping.

Why this answer

Irected Put-away (Option C). Directed Put-away uses location directives to automatically assign storage locations to incoming items based on criteria such as item velocity, with fast-moving items placed near shipping areas. Replenishment (Option A) is used to move items from bulk storage to picking locations, not for initial put-away.

Cycle Counting (Option B) is an inventory accuracy process, not a put-away strategy. Cross-docking (Option D) bypasses put-away entirely by sending items directly from receiving to outbound shipping.

Practice this question →
69
MCQhard

A company uses Dynamics 365 Supply Chain Management with demand-driven material requirements planning (DDMRP). They notice that the system is not generating replenishment orders for certain items even though the stock is below the reorder point. What could be the issue?

A.Master planning is not set to regenerative mode.
B.The item is excluded from dynamic planning.
C.The item's planning frequency is not set in the buffer profile.
D.The item's coverage group is not assigned to a master plan.
AnswerC

The planning frequency field in the buffer profile determines how often replenishment orders are generated. If not set, no orders are created even when stock is below the reorder point.

Why this answer

In DDMRP, the planning frequency must be configured on the buffer profile for each item. If the planning frequency is not set, the system will not generate replenishment orders even if stock falls below the reorder point. Option A is incorrect because regenerative mode is not required for DDMRP; DDMRP typically uses net-change planning.

Option B is incorrect because 'dynamic planning' is not a concept in DDMRP; the issue is related to buffer profile configuration. Option D is incorrect because coverage groups are used for traditional master planning, but DDMRP does not rely on coverage groups; it uses buffer profiles and demand-driven planning.

Practice this question →
70
MCQhard

You are a supply chain consultant for a mid-sized manufacturing company that uses Dynamics 365 Supply Chain Management. The company produces electronic components and has two warehouses: one for raw materials (Warehouse A) and one for finished goods (Warehouse B). They have been experiencing frequent delays in production because raw materials are not available when needed, even though the materials are in stock at Warehouse A. The production scheduler reports that the system does not automatically reserve materials for production orders. Additionally, the warehouse manager wants to implement a policy where high-value raw materials are stored in a secure, locked area within Warehouse A, and only authorized workers can pick them. You need to configure the system to: (1) automatically reserve raw materials for production orders when they are firm planned; (2) restrict picking of high-value materials to specific workers. What should you do?

A.Set up location profiles to mark the secure area as 'Restricted' and configure location directives to use these locations for high-value items. Enable production reservation in the production order defaults.
B.Assign batch attributes to high-value materials and use batch reservation. Restrict picking by setting up a separate warehouse for high-value items.
C.Use inventory status to block high-value items and create a quality order to release them. Enable automatic reservation in master planning parameters.
D.Configure production reservation in the production control parameters to reserve materials automatically when production orders are firm planned. Create a new warehouse location for high-value items, and set up a mobile device menu item with a worker filter to restrict picking to authorized workers.
AnswerD

Automates reservation and restricts picking via worker filter.

Why this answer

To automatically reserve raw materials for production orders when they are firm planned, you configure the production reservation setting in the Production control parameters (not in production order defaults or master planning). For restricting picking of high-value materials to specific workers, you create a dedicated warehouse location for those items and set up a mobile device menu item with a worker filter, so only authorized workers can perform picks from that location. Option D correctly combines both steps.

Option A is incorrect because location profiles alone cannot restrict worker access; worker filters are needed. Option B incorrectly suggests using batch attributes and a separate warehouse, which is not the standard approach for access restriction. Option C is wrong because inventory status and quality orders do not restrict picking to specific workers.

Exam trap

Many candidates confuse production reservation settings in production order defaults (which only apply per order) versus the global setting in production control parameters that applies to all production orders when firm planned.

Practice this question →
71
MCQhard

A batch job for master planning is configured as shown. The job runs daily at 2 AM. The planner notices that planned orders are not being firmed automatically. What is the likely reason?

A.The parameter FirmPlannedOrders is set to false.
B.Safety stock is not included in the planning.
C.The recurrence is set to run daily, but the job should run hourly.
D.The job status shows an error.
AnswerA

When FirmPlannedOrders is false, planned orders are not automatically firmed.

Why this answer

The batch job for master planning is configured to run daily at 2 AM, but planned orders are not being firmed automatically. The most likely reason is that the parameter `FirmPlannedOrders` is set to `false`. In Dynamics 365 Supply Chain Management, this parameter controls whether planned orders are automatically firmed during master planning execution.

When set to `false`, the system will generate planned orders but will not automatically convert them to firm planned orders or production/purchase orders, requiring manual intervention.

Exam trap

The trap here is that candidates may assume the issue is related to scheduling frequency or error status, but the question specifically tests knowledge of the `FirmPlannedOrders` parameter, which is a common configuration oversight in master planning batch jobs.

How to eliminate wrong answers

Option B is wrong because safety stock is a coverage setting that determines whether the system plans for buffer inventory, but it does not control the automatic firming of planned orders; even with safety stock included, planned orders would still not be firmed if the firming parameter is disabled. Option C is wrong because the recurrence frequency (daily vs. hourly) affects how often master planning runs, not whether planned orders are automatically firmed; the job can run daily and still firm orders if the parameter is enabled. Option D is wrong because the job status showing an error would prevent the batch job from completing successfully, but the question states the job runs daily at 2 AM, implying it completes without error; an error status would typically stop the job from running at all.

Practice this question →
72
MCQmedium

A manufacturing company uses Dynamics 365 Supply Chain Management. They want to optimize inventory levels by using a replenishment strategy that maintains a constant stock level based on forecast demand. Which replenishment method should they use?

A.Vendor-managed inventory
B.Economic Order Quantity (EOQ)
C.Kanban
D.Min/Max replenishment
AnswerD

Correct. Min/Max replenishment keeps inventory within a predetermined range using forecast demand, ensuring a constant stock level.

Why this answer

Min/Max replenishment, because it maintains inventory levels between a minimum and maximum quantity based on forecast demand, ensuring a constant stock level. Option A, Vendor-managed inventory, is incorrect because it involves the supplier managing stock, not maintaining a constant level. Option B, Economic Order Quantity (EOQ), is incorrect as it calculates optimal order quantities to minimize total costs, not to maintain a constant level.

Option C, Kanban, is a pull-based method triggered by actual consumption, not forecast demand.

Practice this question →
73
MCQmedium

A company uses Dynamics 365 Supply Chain Management and wants to automate the replenishment of items based on historical demand and predefined minimum stock levels. Which feature should they configure?

A.Replenishment rules
B.Safety stock journal
C.Forecast scheduling
D.Cycle counting
AnswerA

Automates replenishment based on demand and min/max.

Why this answer

Replenishment rules in warehouse management allow automatic replenishment based on demand and min/max levels. Option A (Replenishment rules) is correct. Option B (Safety stock journal) is for manual adjustments to safety stock.

Option C (Forecast scheduling) is part of master planning, not specifically warehouse replenishment. Option D (Cycle counting) is for inventory accuracy.

Practice this question →
74
MCQhard

A company uses Dynamics 365 Supply Chain Management and wants to implement a policy where a specific supplier must be used for a particular item. Which configuration enforces this?

A.Add the supplier to the approved supplier list for the item.
B.Configure a procurement category and assign the supplier.
C.Create a purchase agreement with that supplier.
D.Set the supplier as the default vendor on the item's vendor setup.
AnswerA

Approved supplier list enforces that only listed suppliers can be used.

Why this answer

An approved supplier list (ASL) restricts which suppliers can be used for a specific item; if a supplier is not on the list, procurement cannot proceed. Option B is wrong because configuring a procurement category and assigning a supplier does not enforce exclusivity—it only associates the supplier with that category. Option C is wrong because a purchase agreement is a contract for pricing or terms but does not prevent using other suppliers for the item.

Option D is wrong because setting the supplier as the default vendor on the item's vendor setup only determines the default, not an exclusive requirement.

Practice this question →
75
Multi-Selecteasy

Which TWO planning methods are available in Dynamics 365 Supply Chain Management for master planning?

Select 2 answers
A.Coverage planning
B.Net change
C.Regenerative
D.Intercompany planning
E.Demand planning
AnswersB, C

Net change planning only recalculates changes since last run.

Why this answer

Options B and C are correct. Net change and regenerative are the two master planning methods in Dynamics 365 Supply Chain Management. Option A (coverage planning) is a type of planning, not a method.

Option D (intercompany planning) is a scenario. Option E (demand planning) is a separate module, not a master planning method.

Practice this question →
Page 1 of 5 · 324 questions totalNext →

Ready to test yourself?

Try a timed practice session using only Describe Dynamics 365 Supply Chain Management questions.

Start 20-question session