CPIM Practice Exam

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What is an Advance Ship Notice (ASN)?

A summary of shipment costs
Notification of shipment via EDI
A declaration of a shipment's contents
A report of product damage during shipment

The correct answer is: Notification of shipment via EDI

An Advance Ship Notice (ASN) is primarily defined as a notification that is sent in advance of a shipment, typically using Electronic Data Interchange (EDI) standards. This document is crucial in supply chain management as it provides details about what is being shipped, allowing the receiving party to prepare for the incoming delivery. By receiving this notification ahead of time, the recipient can plan for logistics, organize resources, and manage inventory more efficiently. The ASN usually contains vital information such as the expected delivery date, contents of the shipment, and tracking details, making it easier for the recipient to confirm that the shipment matches what was expected upon arrival. This proactive communication helps improve supply chain visibility and can assist in reducing delays and errors during the receiving process. While other choices presented have relevant aspects to shipment processes, they do not embody the full concept of an ASN as specifically as the notification of shipment via EDI.