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Oracle Fusion Cloud Applications SCM Foundations Associate - Rel 1 Sample Questions (Q23-Q28):
NEW QUESTION # 23
What is the role of automation in creating POs from contract fulfillment in Oracle Fusion Cloud Procurement?
Answer: A
Explanation:
In Oracle Fusion Cloud Procurement, automation plays a critical role in creating purchase orders (POs) from contract fulfillment by ensuring that POs are generated directly from agreed contract terms with high accuracy and minimal manual intervention. This process leverages predefined contract data-such as item details, pricing, quantities, and delivery schedules-to populate POs automatically, reducing errors like incorrect pricing or quantities that often occur in manual entry. For instance, if a contract specifies 100 units of a product at $10 each, automation ensures the PO reflects this exactly, bypassing the need for manual rekeying. Option A is incorrect because routing POs for approval is a subsequent step, not the primary role of automation in PO creation. Option C is unrelated, as supplier qualification pertains to evaluating suppliers, not PO generation. This automation improves efficiency by speeding up the procurement cycle, ensures compliance with contract terms, and frees procurement staff to focus on strategic tasks rather than clerical work. It also integrates with supplier collaboration tools to confirm details, further enhancing accuracy.
NEW QUESTION # 24
How does embedding Oracle Method Based Practices (OMBPs) in Starter Configurations benefit Oracle Fusion Applications implementations?
Answer: B
Explanation:
Embedding Oracle Method Based Practices (OMBPs) in Starter Configurations (C) provides a prebuilt, standard configuration that streamlines Oracle Fusion Applications implementations using a solution-led approach. These configurations incorporate best practices-e.g., predefined workflows for demand planning-reducing setup time and ensuring consistency. For instance, a company can deploy SCM modules with optimized settings out of the box, customizing only where necessary. Option A is incorrect-third-party access isn't a focus; security restricts modifications. Option B is partially true but misses the point-OMBPs standardize first, then allow customization, not the reverse. This approach accelerates deployment, lowers costs, and leverages Oracle's expertise for reliable outcomes.
NEW QUESTION # 25
What is the function of Manufacturing Execution in Oracle Fusion Cloud SCM?
Answer: A
Explanation:
Manufacturing Execution in Oracle Fusion Cloud SCM is a critical function that tracks and manages real-time production processes on the shop floor, ensuring visibility and control over activities like work order execution, material consumption, and labor tracking. It captures data as production occurs-e.g., when a worker completes an assembly step or uses raw materials-allowing managers to monitor progress, identify bottlenecks, and ensure quality. Option A is incorrect because supplier coordination remains essential for raw material supply; Manufacturing Execution does not eliminate this need but integrates with it. Option C is wrong as financial reporting is handled by Cost Accounting, not Manufacturing Execution, though the latter provides data that feeds into cost calculations. For example, if a factory produces 100 units, Manufacturing Execution records the exact time, resources, and issues (e.g., machine downtime), enabling proactive adjustments. This real-time oversight improves efficiency, reduces waste, and ensures production aligns with planned schedules.
NEW QUESTION # 26
What is the purpose of the Available to Promise (ATP) process in Oracle Fusion Cloud SCM?
Answer: C
Explanation:
The Available to Promise (ATP) process in Oracle Fusion Cloud SCM is designed to determine product availability and provide realistic commitments to customers based on current inventory levels and supply constraints, such as production capacity and supplier lead times. ATP calculates how much stock is "available to promise" for new orders by subtracting existing commitments from on-hand inventory and factoring in planned supply. For example, if a warehouse has 50 units of a product, with 20 already allocated to prior orders, ATP shows 30 units available for new promises. Option B is incorrect because ATP has no direct role in managing supplier payments-it focuses on inventory and supply planning. Option C is false as ATP does not guarantee immediate shipment; it provides feasible dates based on availability, not an unrealistic promise of instant delivery. This process supports accurate order promising, prevents stockouts, and aligns customer expectations with operational reality, making it a cornerstone of effective supply chain management.
NEW QUESTION # 27
What is a key benefit of Supplier Qualification Management in Oracle Fusion Cloud SCM?
Answer: B
Explanation:
Supplier Qualification Management in Oracle Fusion Cloud SCM evaluates and approves suppliers based on predefined compliance and performance criteria, ensuring reliable partnerships. Option A is incorrect as it focuses on payments, not qualification. Option C is wrong-performance reviews are integral to the process. This benefit mitigates risks and ensures quality suppliers.
NEW QUESTION # 28
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