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Exam CORE All Questions

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ISM CPSM CORE Question # 61 Topic 7 Discussion

CORE Exam Topic 7 Question 61 Discussion:
Question #: 61
Topic #: 7

A manufacturer develops a new product that will be more efficient and easier to use than previous versions. Prototypes are created, evaluated, and approved, and the company begins large scale

production.

Three months into production, costs rise beyond expectations, due to one of the raw materials not providing the economies of scale predicted by the design team. This results in a net loss at the

recommended price point. Which of the following actions should the design team have taken to prevent this situation?


A.

Renegotiate price and find other suppliers to offset the high costs


B.

Collaborate with the supplier in the design process to understand the production method


C.

Create a larger number of prototypes for testing and evaluation before going to large scale production


D.

Buy the raw material in bulk


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