CPIM Practice Exam

How can marketing objectives align with operational goals?

1. By increasing inventories

2. By utilizing low inventories

3. By reducing lead times

4. By optimizing production schedules

The correct answer is: By increasing inventories

The alignment of marketing objectives with operational goals is vital for the effectiveness of supply chain management. When marketing objectives emphasize increasing market share or sales, this often translates into increasing production to meet the anticipated demand. By increasing inventories, companies can ensure they have sufficient stock on hand to fulfill customer orders quickly and efficiently, thereby supporting marketing efforts aimed at promoting new products or responding to seasonal demand. Higher inventories can provide the flexibility needed to take advantage of marketing campaigns or promotions, ensuring that product availability meets consumer expectations. This approach allows the marketing team to confidently launch initiatives, knowing that the operational side can support those efforts through ample product availability. While reducing lead times or optimizing production schedules also contributes to operational efficiency, these strategies are typically aimed at improving process efficiency rather than directly aligning with the marketing objectives of increasing sales or responding to market demands. Utilizing low inventories, while beneficial in certain contexts, may limit the ability to respond to unexpected surges in demand that marketing efforts can generate. Thus, focusing on increasing inventories is a direct way to support the alignment between marketing and operations.