DRAG DROP -
A company uses Dynamics 365 Supply Chain Management.
You need to implement inventory cycle counting.
Which counting methods should you use? To answer, drag the appropriate counting methods to the correct requirements. Each counting method may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to view content.
NOTE: Each correct selection is worth one point.
Select and Place: 1-2-3-4-5 2-1-3-4-5 3-4-5-2-1 4-1-2-5-3.
You are the warehouse manager at a distribution center.
In the warehouse, items must be moved to a staging location before moving to the baydoor location for shipping.
You need to set up a work template that accomplishes this pick/put scenario.
Which two actions should you perform? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point. A. Create one work class ID with valid location types of staging and baydoor. Assign these to the work template details. B. Create two work templates: one is a pick/put from inventory to staging and the other is from staging to baydoor. C. Create a sales order work template with two pick/put pairs: one to staging and the second to baydoor. D. Create two work class IDs: one with valid put location types of staging and the other of baydoor. Assign these to the appropriate put work types on the work template.
You are the warehouse manager at a large distribution company and are responsible for all outbound processing. You decide to implement cluster picking functionality to more efficiently aid in picking.
When warehouse workers log in to the mobile device to process a cluster pick, the work items are not assigned to positions as expected.
You need to validate the cluster picking setup.
Which two actions should you perform? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point. A. Review the Sales order Work template. B. Validate the Cluster profile's positions and sorting setup. C. Validate whether there is a Cluster profile selected on the Mobile device menu item. D. Review the Location directive for sales picking.
A company plans to use the warehouse mobile app for cluster picking.
The system must break the cluster when stocking items.
You need to configure the system.
What should you do? A. On the Mobile device menu items form, select an option for the Directed by field. B. On the Cluster profile form, add a value to the Sequence Put-away field. C. On the Cluster profile form, add a value to the Break cluster at field. D. On the Mobile device menu items form, add a value for the Work type ג€" Put-away field.
HOTSPOT -
A company needs to stock inventory in their warehouse. Inbound purchase order materials may need to be placed into more than one location in the warehouse.
You need to configure placement for inventory in the warehouse.
How should you set up location directives? To answer, select the appropriate options in the answer area.
NOTE: Each correct selection is worth one point.
1-4 2-3 4-3 2-1.
DRAG DROP -
A company uses the Dynamics 365 Supply Chain Management Warehouse management module.
The company requires production waves to be processed in batch.
You need to configure wave processing.
In which order should you perform the actions? To answer, move all actions from the list of actions to the answer area and arrange them in the correct order.
Select and Place: 1-3-4-2 2-1-4-3 3-1-2-4.
DRAG DROP -
You need to implement location directives in Dynamics 365 Supply Chain Management.
Which objects should you use? To answer, drag the appropriate objects to the correct permissions. Each object may be used once, more than once, or not at all.
You may need to drag the split bar between panes or scroll to view content.
NOTE: Each correct selection is worth one point.
Select and Place: 1-2-3 1-3-4 2-4-1 3-2-1.
DRAG DROP -
A company plans to use warehouse management and dock appointment scheduling in Dynamics 365 Supply Chain Management.
You need to configure the system.
Which configuration options should you use? To answer, drag the appropriate configuration options to the correct requirements. Each configuration option may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to view content.
NOTE: Each correct selection is worth one point.
Select and Place:
1-1-2-3 2-1-2-3 4-2-1-3 3-2-1-4.
HOTSPOT -
A company creates loads to ship sales orders.
Loads must be shipped by using the lowest freight rates possible.
You need to use the load planning workbench to create a load for sales order shipments.
Which configuration options should you use? To answer, select the appropriate options in the answer area.
NOTE: Each correct selection is worth one point.
Hot Area: 2-1 2-3 1-4 3-4.
You are the logistics manager at a distribution company.
Your primary carrier service provides rates for transportation between New York City and Colorado. These rates are a flat rate depending on the city or general area of pickup as follows:
✑ New York City = $500
✑ Colorado = $450
You need to set up Transportation Management to calculate the rate from New York City to Colorado.
What should you do? A. Use a Point-to-Point engine based on weight and miles. Assign rates from New York City as the starting location and Colorado as the ending location and break the rates out based on the weight of the package. B. Use a mileage-based rate engine to configure a rate master that calculates the rate based on the miles from New York City to Colorado C. Create hubs for both locations. Add a route plan from New York City to Colorado and assign the two charges as spot rates. D. Set up zones in the Zone Master for New York City and Colorado. Assign rates to each zone in the Zone Master by starting and ending location.
HOTSPOT -
A company must set up replenishment of inventory using vendor-owned consignment inventory.
You need to create the replenishment order.
How should you complete the replenishment order? To answer, select the appropriate options in the answer area.
NOTE: Each correct selection is worth one point.
Hot Area: 1-1-1 1-2-3 2-1-3 2-1-4.
A warehouse picks and ships product.
The warehouse completes work immediately upon automatic release to the warehouse.
You need to configure waves to allow for automatic work creation.
What should you do? A. Select the wave template and attribute to automatically process. B. Release to warehouse and process the work. C. Automate wave creation and process the wave at release to warehouse. D. Automate wave creation and automatically process work.
DRAG DROP -
A company plans to implement Dynamics 365 Supply Chain Management mobile device connectivity.
You need to perform a spot cycle count on the mobile device.
Which three actions should you perform in sequence? To answer, move the appropriate actions from the list of actions to the answer area and arrange them in the correct order.
Select and Place: 1-5-2 2-1-3 2-3-4 4-3-5.
DRAG DROP -
A company uses Dynamics 365 Supply Chain Management with basic warehouse processes. Mobile devices are not used in the two warehouses. Warehouse items that have an A classification are counted weekly through automatic cycle count journals that are created per warehouse.
Items that are in both warehouses appear only in one journal for counting. Counts are inaccurate because picking is posted against items that are being counted.
You need to resolve the cycle count issues. To answer, drag the appropriate configurations to the correct requirements. Each configuration may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to view content.
NOTE: Each correct selection is worth one point.
Select and Place: 4-2 1-2 3-4 2-3.
You are implementing warehousing in Dynamics 365 Supply Chain Management.
You need to configure and approve one warehouse that can be used to create additional warehouses.
What should you use? A. inventory and warehouse management parameter setup B. warehouse management parameter setup only C. warehouse work template D. warehouse configuration template.
DRAG DROP -
A client uses Dynamics 365 Supply Chain Management.
You need to configure automatic freight reconciliation.
Which configuration options should you use? To answer, drag the appropriate configuration options to the correct requirements. Each configuration option may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to view content.
NOTE: Each correct selection is worth one point.
Select and Place: 1-2-3 2-1-3 3-2-1 1-3-2.
A company has several warehouse locations. The company acquires a new warehouse.
You must design a new warehouse process workflow for the new warehouse.
You need to configure the workflow.
Which three options should you configure? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point. A. work pools B. cluster picking C. outbound wave processing D. work templates E. wave templates.
DRAG DROP -
A company uses Dynamics 365 Supply Chain Management. The company plans to streamline their receiving process for shipments that arrive daily.
You need to set up inbound shipment processing.
In which order should you perform the actions? To answer, move the appropriate actions from the list of actions to the answer area and arrange them in the correct order.
NOTE: More than one order of answer choices is correct. You will receive credit for any of the correct orders you select.
Select and Place: 3-1-2-4-5 2-3-1-4-5 1-2-3-4-5 4-1-2-3-5.
A company plans to implement Dynamics 365 Supply Chain Management shipping manifests.
The company wants to use a multiple-level manifest process.
You need to ensure that the system is configured for multiple-level manifest processing.
What should you validate? A. All containers are manifested after the container group is manifested. B. All containers are manifested before the container group is manifested. C. The allow split picks configuration is enabled. D. All container types are set up with all four attributes.
A company uses the warehouse mobile app for Dynamics 365 Supply Chain Management.
You must create a menu item for reprinting license plate labels. Reprinting a license plate label must not create warehouse work.
You need to configure the warehouse mobile app to add the new menu item.
What should you do? A. Set the Mode to Work B. Set the Mode to Indirect C. Set the Activity code to Cancel work D. Set the Activity code to None.
HOTSPOT -
A company uses outside carrier services for inbound and outbound deliveries.
Carrier services must be scheduled so that all trucks do not show up at the same time.
You need to configure the Transportation Management module to schedule the loads.
How should you set up dock appointments? To answer, select the appropriate options i the answer area.
NOTE: Each correct selection is worth one point.
Hot Area: 2-1 3-2 4-1 4-2.
A company uses Dynamics 365 Supply Chain Management for wave processing.
The system must automatically create a wave when a sales order is released to the warehouse.
You need to configure the system to meet this requirement.
Which configuration should you enable? A. Automate wave release B. Assign to open waves C. Process wave automatically threshold D. Automate wave creation.
HOTSPOT -
A company uses several freight carriers. Freight is calculated by mileage.
You need to configure the system.
Which values should you use? To answer, select the appropriate options in the answer area.
NOTE: Each correct selection is worth one point.
Hot Area: 1-1 1-2 3-2 4-1.
A company plans to implement Dynamics 365 Supply Chain Management shipping manifests.
The company wants to use a multiple-level manifest process.
You need to ensure that the system is configured for multiple-level manifest processing.
What should you validate? A. All container groups are manifested before the shipment is manifested B. All containers are of the status open before the group is manifested C. The allow split picks configuration is enabled D. All container types are set up with all four attributes.
You are implementing containerization functionality.
You must automate containerization so that containers and picking work for shipments are created when a wave is processed. The work lines will be split into quantities to fit required containers by size.
You need to set up a container build template that defines the containerization process.
Which three items should you set up before you create the container build template? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point. A. a wave template that includes the containerize method B. container packing policies C. a container group D. container types E. container packing strategies.
You are the inventory manager at a large distribution company.
You notice item P0001 has been running out regularly and the on-hand count seems to differ from what is in Dynamics 365 Supply Chain Management. You want cycle count work to be automatically created when the quantity drops below 10 pieces, which is about once a week.
You need to appropriately configure warehouse management to generate cycle count work.
What should you do? A. Create a cycle count plan for item P0001 to run when the quantity is below 10. B. Create a cycle count threshold that is percentage based that will generate work when inventory drops below 10% for item P0001. C. Create a cycle count threshold that is quantity based and specify 10 for the quantity. Add P0001 as a selected item. D. Create a cycle count plan for item P0001. Generate a batch job that runs once a week.
A company receives a large quantity of inventory into the warehouse.
The inventory has a short shelf life and must be sent out to the stores as soon as possible.
You need to use Buyer's push to transfer the inventory out to the stores.
Which two actions should you perform? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point. A. Create a sales order. B. Create transfer orders. C. Select Product and ship open sales orders. D. Select Product and distribution method.
You are the logistics manager at a distribution company.
Your primary carrier service provides rates for transportation between New York City and Colorado. These rates are a flat rate depending on the city or general area of pickup as follows:
✑ New York City = $500
✑ Colorado = $450
You need to set up Transportation Management to calculate the rate from New York City to Colorado.
What should you do? A. Set up zones in the Zone Master for New York City and Colorado. Assign rates to each zone in the Zone Master by starting and ending location. B. Using the Point-to-Point engine with an empty break master, assign rates based on starting and ending locations. C. Create a Point-to-Point based Rate Master with the rates broken out by pieces. D. Create a Shipping carrier and service. Create carrier accessorial charges to represent the rates for each location.
DRAG DROP -
New order items arrive from vendors and come into a company's main warehouse.
You must set up internal transportation processes in Dynamics 365 Supply Chain Management to distribute goods to other locations.
You need to set up inbound orders through transportation management.
In which order should you perform the actions? To answer, move all actions from the list of actions to the answer area and arrange them in the correct order.
NOTE: More than one order of answer choices is correct. You will receive credit for any of the correct orders you select.
Select and Place: 5-3-1-2-4 3-1-2-4-5 2-3-1-4-5 5-4-3-2-1.
HOTSPOT -
A company uses Dynamics 365 Supply Chain Management. There are two warehouses. All inventory is purchased into Warehouse1 and transferred to
Warehouse2 based on replenishment rules.
Planned orders were generated overnight by the master planning engine and do not need to be reviewed.
Warehouse1 orders for Warehouse2 do not show as available for picking and shipping.
Planned orders must be available for warehouse processing as quickly as possible and processed as a group.
You need to configure the system to meet the requirements.
Which solution should you configure for each requirement? To answer, select the appropriate options in the answer area.
NOTE: Each correct selection is worth one point.
Hot Area: 1-2-2 2-3-4 2-1-3 3-2-2.
DRAG DROP -
A distribution company uses Dynamics 365 Supply Chain Management.
Users in the warehouse must have the ability to create and process transfer orders from a mobile device.
You need to complete the setup.
Which areas should you configure? To answer, drag the appropriate areas to the correct prerequisites. Each area may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to view content.
NOTE: Each correct selection is worth one point. 2-1-1-2 2-1-1-1 2-2-1-1 1-1-2-2.
A retail distributor is implementing Dynamics 365 Supply Chain Management.
Wholesale customers receive 10 percent off list price for the current calendar year. CustomerA is a wholesaler that agreed to a pilot program for a new product, with terms to receive a discounted set price for 100 each of the product for the next six months. The distributor will charge penalties to Customer if the 100 each are not sold within the period.
You must configure pricing for Customer.
Which three configurations should you set up? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point. A. Create a sales agreement with the price and discount is fixed parameter set to yes. B. Create a trade agreement for wholesalers. C. Set the find next parameter on trade agreements. D. Create a sales agreement with the max enforced parameter set to yes. E. Set the effective date on the trade agreement to begin after the sales agreement.
HOTSPOT -
A distribution company implementing Dynamics 365 Supply Chain Management has two warehouses.
One item is purchased and stocked in only Warehouse1. Occasionally, Warehouse2 requires this item based on customer demand. When this occurs, an order for the item must be automatically created for Warehouse2.
You need to configure the automation of the order for Warehouse2.
What should you configure? To answer, select the appropriate options in the answer area.
NOTE: Each correct selection is worth one point. 1-1 1-2 2-3 2-4.
A company uses Dynamics 365 Supply Chain Management.
The working time template is left blank when the period template is configured.
You need to determine the workdays that will be used in the inventory replenishment reporting.
Which workdays will be used? A. calendar setup on the warehouse B. system calendar for the country C. 5-day work week
D. system date dimensions E. 7-day work week.
A company is implementing the Warehouse management module in Dynamics 365 Supply Chain Management.
The company will receive an item in three units of measure (UOM): each, case, and pallet. The item must be counted from a mobile device in each UOM or case UOM only by the warehouse worker.
You must configure the item.
What should you configure? A. Create a reservation hierarchy and define the rules. B. Set the default inventory unit of measure to each and the default purchase and sell unit to case. C. Create one unit sequence group and enable counting per unit of measure. D. Set the default inventory unit of measure to each and assign the default item set up to case. E. Create separate unit sequence groups, one for case counting and one for each counting.
HOTSPOT -
A company implementing Dynamics 365 Supply Chain Management has multiple warehouses, some of which are Warehouse Management-enabled.
The company must hold inventory for the following purposes:
• On-hand inventory available for all transactions except for sales orders.
• Automatic hold on inbound purchase order inventory.
• Damaged on-hand inventory that can be transferred from a mobile device, leaving the undamaged inventory available.
You need to determine the feature that applies to each company requirement.
Which features should you use? To answer, select the appropriate options in the answer area.
NOTE: Each correct selection is worth one point. 2-3-1 1-2-3 2-1-2 3-2-1.
A company is using advanced warehouse functionality in Dynamics 365 Supply Chain Management.
A batch-tracked item in high-demand caused delays on sales orders. The vendor delivery is expected today.
Sales orders must be held until the items are checked for quality.
You need to set up batch attributes to allow for warehouse processing but hold sales orders.
What should you configure? A. Unavailable status, block reservation, picking and shipping B. Unavailable status, block shipping C. Available status, block shipping D. Unavailable status, block picking and shipping E. Available status, block reservation, picking and shipping.
A warehouse picks and ships product.
The warehouse completes work immediately upon automatic release to the warehouse.
You need to configure waves to allow for automatic work creation.
What should you do? A. Select the wave template and attribute to automatically process. B. Select the wave template and assign it to recurring batch job. C. Automate wave creation and process the wave at release to warehouse. D. Select the wave template and process the wave at release to warehouse.
You are the logistics manager at a distribution company.
Your primary carrier service provides rates for transportation between New York City and Colorado. These rates are a flat rate depending on the city or general area of pickup as follows:
• New York City = $500
• Colorado = $450
You need to set up Transportation Management to calculate the rate from New York City to Colorado.
What should you do? A. Use a Point-to-Point engine based on weight and miles. Assign rates from New York City as the starting location and Colorado as the ending location and break the rates out based on the weight of the package. B. Using the Point-to-Point engine with an empty break master, assign rates based on starting and ending locations. C. Create a Shipping carrier and service. Create carrier accessorial charges to represent the rates for each location. D. Set up A Transit Time Engine to track days from New York City to Colorado. Set up rates in the Rate Master tied to day breaks.
A warehouse picks and ships product.
The warehouse completes work immediately upon automatic release to the warehouse.
You need to configure waves to allow for automatic work creation.
What should you do? A. Select the wave template and assign it to recurring batch job. B. Release to warehouse and process the work. C. Automate wave creation and process the wave automatically at threshold. D. Automate replenishment and process the wave at release.
You are the logistics manager at a distribution company.
Your primary carrier service provides rates for transportation between New York City and Colorado. These rates are a flat rate depending on the city or general area of pickup as follows:
• New York City = $500
• Colorado = $450
You need to set up Transportation Management to calculate the rate from New York City to Colorado.
What should you do? A. Use a Point-to-Point engine based on weight and miles. Assign rates from New York City as the starting location and Colorado as the ending location and break the rates out based on the weight of the package. B. Using the Point-to-Point engine with an empty break master, assign rates based on starting and ending locations C. Create a Point-to-Point based Rate Master with the rates broken out by pieces. D. Set up A Transit Time Engine to track days from New York City to Colorado. Set up rates in the Rate Master tied to day breaks.
HOTSPOT
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Case study
-
This is a case study. Case studies are not timed separately. You can use as much exam time as you would like to complete each case. However, there may be additional case studies and sections on this exam. You must manage your time to ensure that you are able to complete all questions included on this exam in the time provided.
To answer the questions included in a case study, you will need to reference information that is provided in the case study. Case studies might contain exhibits and other resources that provide more information about the scenario that is described in the case study. Each question is independent of the other questions in this case study.
At the end of this case study, a review screen will appear. This screen allows you to review your answers and to make changes before you move to the next section of the exam. After you begin a new section, you cannot return to this section.
To start the case study
-
To display the first question in this case study, click the Next button. Use the buttons in the left pane to explore the content of the case study before you answer the questions. Clicking these buttons displays information such as business requirements, existing environment, and problem statements. If the case study has an All Information tab, note that the information displayed is identical to the information displayed on the subsequent tabs. When you are ready to answer a question, click the Question button to return to the question.
Background
-
Trey Research is a multinational manufacturer of health and dietary supplements based in Seattle, Washington. The company is experiencing a rapid expansion not only in its supplements but as a lifestyle brand that also sells apparel. The supplements and apparel businesses operate independently but manufacture and operate in the same legal entity.
Current environment
-
Current environment. Technology
Trey Research is migrating from an outdated, on-premises version of Dynamics AX to Dynamics 365 Supply Chain Management. The company wants to retain a lot of its current data structures and processes but adopt new efficiencies when the benefit is obvious. The company uses a third-party e-commerce site that is custom developed by an internal developer.
Current environment. Items
-
Product numbering
-
All items are numbered by using a smart numbering format: [Product SKU+Size+Color+Style]. For reporting, items are queried for sales and inventory reports by using the first six digits of the item number or until the first dash is encountered.
• A t-shirt could be 01001-S-Red for item 1001 in a size small with the color red.
• A single energy drink could be 02001-12oz or 02001-20oz for the different sizes that product 02001 is sold in.
Product attributes
-
• All clothing shares the same set of product attributes.
• Supplements may share the same Product SKU but can have different attributes for the different size, color, or style variations of the product.
• Product attributes that are unnecessary for an item should be excluded from the item.
Pricing
-
• All items always have a default price. This price will not expire.
• An item will have four different prices created for it every month, one for each customer tier, as detailed later in this section. The pricing expires at the end of the month. If no special pricing is created, the default item price will be used.
• The monthly sales price in which the additional price breaks are determined is based on the estimated cost of the manufactured items.
• Customers are categorized into four pricing tiers (A, B, C, and D) based on sales volume over the past 12 months.
• Customers can negotiate special pricing for items in 30-day, 60-day, and 90-day increments. Quantity restrictions may be placed, depending on the item discount and promotion.
• Promotional pricing is not used today. Pricing is restricted to monthly prices and customer-specific contract pricing.
Cost
-
Items use a FIFO costing model today in their current Dynamics AX 2009 environment; however, using the FIFO costing method has created problems.
Current environment. Warehouse and inventory
• Warehouse requirements are simplistic. There is only one site. The site has two warehouses.
• Trey Research needs to make sure that any energy drinks and nutritional supplements are manufactured and packaged with the highest standards. Trey Research automatically inspects products when all products are reported as finished. All products are inspected again when the items are picked.
• Energy drinks require independent tests to check for dents in packaging, carbonation levels, and fill level.
• Nutritional supplements require separate tests for packaging, expiration date, product seal, and product labeling.
• Government compliancy and consistency testing are handled outside of the Enterprise Resource Planning (ERP) system.
• Resalable products are placed on one of two racks in the warehouse.
Requirements
-
Requirements. Technology
-
• Trey Research will integrate all pricing and discount capabilities to its e-commerce website.
Requirements. Items
-
• Reporting on products should be streamlined as much as possible.
• The item numbering does not have to equate to the actual item number.
• The future costing methods adopted must be commonly accepted for manufacturers.
• Inventory costing should be done after a full inventory valuation is complete. It should take into consideration the direct materials, direct labor, and overhead that goes into an item.
• Any costing method used needs the ability to track cost records about an item, cost categories, and calculation formulas for indirect costs.
• The profitability for nutritional supplements manufacturing processes needs to be expressed in terms of the cost categories for routing operations and the calculation formulas for manufacturing overheads.
• If a vendor can no longer deliver the raw materials for the energy drinks due to supply chain issues, the costs for using an alternative vendor to source the raw materials should be used to determine the impact on profits.
• Apparel items will not be upgraded to the new costing method until after the go-live date due to resourcing and implementation limitations from the apparel team.
Requirements. Pricing
-
• Trey Research plans to do promotional pricing. Certain products will receive special pricing during the hours of extreme sporting events that Trey Research sponsors. Before or after the event, normal pricing will resume.
Requirements. White labeling
-
• Trey Research wants to start white labeling its products under the brands of major nutritional retail store brands. These products would only be sold to specific customers.
• Trey Research will provide and maintain a 'Compare to' price for customers to use to compare the white-labeled products. This Compare to price will also be the default item price for the customer if the customer accidentally lets a contract price expire.
• The configuration of these restrictions must be applied automatically when creating new products for those customers.
Requirements. Warehouse and inventory
• If products in the warehouse must be blocked from transactions for a specific reason, such as a health and safety review, warehouse users should be able to block the products quickly from the ERP system.
• All product quality tests should be processed in a uniform and consistent manner.
• Creation of any quality processes for products inbound to the warehouse, from the production line, or outbound from the warehouse to consumers should be automatically created to facilitate execution.
• Testing requirements:
◦ Requirement 1: 100 percent of all nutritional supplements and 50 percent of all energy drinks must be tested when production orders are completed. After a product is in testing, 100 percent of all tests must be completed.
◦ Requirement 2: 75 percent of all nutritional supplements and energy drinks should be tested against their required tests during an outbound process.
◦ Damaged products must be placed in one of four bins (based on product type) during the inspection process.
◦ You must define quarantine zones to optimize product visibility throughout the testing process.
You need to configure the pricing for the white-labeled products.
Which system object should you configure? To answer, select the appropriate options in the answer area.
NOTE: Each correct selection is worth one point.
1-4-4 1-2-3.
Case study -
This is a case study. Case studies are not timed separately. You can use as much exam time as you would like to complete each case. However, there may be additional case studies and sections on this exam. You must manage your time to ensure that you are able to complete all questions included on this exam in the time provided.
To answer the questions included in a case study, you will need to reference information that is provided in the case study. Case studies might contain exhibits and other resources that provide more information about the scenario that is described in the case study. Each question is independent of the other questions in this case study.
At the end of this case study, a review screen will appear. This screen allows you to review your answers and to make changes before you move to the next section of the exam. After you begin a new section, you cannot return to this section.
To start the case study -
To display the first question in this case study, click the Next button. Use the buttons in the left pane to explore the content of the case study before you answer the questions. Clicking these buttons displays information such as business requirements, existing environment, and problem statements. If the case study has an All Information tab, note that the information displayed is identical to the information displayed on the subsequent tabs. When you are ready to answer a question, click the Question button to return to the question.
Background -
Trey Research is a multinational manufacturer of health and dietary supplements based in Seattle, Washington. The company is experiencing a rapid expansion not only in its supplements but as a lifestyle brand that also sells apparel. The supplements and apparel businesses operate independently but manufacture and operate in the same legal entity.
Current environment -
Current environment. Technology -
Trey Research is migrating from an outdated, on-premises version of Dynamics AX to Dynamics 365 Supply Chain Management. The company wants to retain a lot of its current data structures and processes but adopt new efficiencies when the benefit is obvious. The company uses a third-party e-commerce site that is custom developed by an internal developer.
Current environment. Items -
Product numbering -
All items are numbered by using a smart numbering format: [Product SKU+Size+Color+Style]. For reporting, items are queried for sales and inventory reports by using the first six digits of the item number or until the first dash is encountered.
• A t-shirt could be 01001-S-Red for item 1001 in a size small with the color red.
• A single energy drink could be 02001-12oz or 02001-20oz for the different sizes that product 02001 is sold in.
Product attributes -
• All clothing shares the same set of product attributes.
• Supplements may share the same Product SKU but can have different attributes for the different size, color, or style variations of the product.
• Product attributes that are unnecessary for an item should be excluded from the item.
Pricing -
• All items always have a default price. This price will not expire.
• An item will have four different prices created for it every month, one for each customer tier, as detailed later in this section. The pricing expires at the end of the month. If no special pricing is created, the default item price will be used.
• The monthly sales price in which the additional price breaks are determined is based on the estimated cost of the manufactured items.
• Customers are categorized into four pricing tiers (A, B, C, and D) based on sales volume over the past 12 months.
• Customers can negotiate special pricing for items in 30-day, 60-day, and 90-day increments. Quantity restrictions may be placed, depending on the item discount and promotion.
• Promotional pricing is not used today. Pricing is restricted to monthly prices and customer-specific contract pricing.
Cost -
Items use a FIFO costing model today in their current Dynamics AX 2009 environment; however, using the FIFO costing method has created problems.
Current environment. Warehouse and inventory
• Warehouse requirements are simplistic. There is only one site. The site has two warehouses.
• Trey Research needs to make sure that any energy drinks and nutritional supplements are manufactured and packaged with the highest standards. Trey Research automatically inspects products when all products are reported as finished. All products are inspected again when the items are picked.
• Energy drinks require independent tests to check for dents in packaging, carbonation levels, and fill level.
• Nutritional supplements require separate tests for packaging, expiration date, product seal, and product labeling.
• Government compliancy and consistency testing are handled outside of the Enterprise Resource Planning (ERP) system.
• Resalable products are placed on one of two racks in the warehouse.
Requirements -
Requirements. Technology -
• Trey Research will integrate all pricing and discount capabilities to its e-commerce website.
Requirements. Items -
• Reporting on products should be streamlined as much as possible.
• The item numbering does not have to equate to the actual item number.
• The future costing methods adopted must be commonly accepted for manufacturers.
• Inventory costing should be done after a full inventory valuation is complete. It should take into consideration the direct materials, direct labor, and overhead that goes into an item.
• Any costing method used needs the ability to track cost records about an item, cost categories, and calculation formulas for indirect costs.
• The profitability for nutritional supplements manufacturing processes needs to be expressed in terms of the cost categories for routing operations and the calculation formulas for manufacturing overheads.
• If a vendor can no longer deliver the raw materials for the energy drinks due to supply chain issues, the costs for using an alternative vendor to source the raw materials should be used to determine the impact on profits.
• Apparel items will not be upgraded to the new costing method until after the go-live date due to resourcing and implementation limitations from the apparel team.
Requirements. Pricing -
• Trey Research plans to do promotional pricing. Certain products will receive special pricing during the hours of extreme sporting events that Trey Research sponsors. Before or after the event, normal pricing will resume.
Requirements. White labeling -
• Trey Research wants to start white labeling its products under the brands of major nutritional retail store brands. These products would only be sold to specific customers.
• Trey Research will provide and maintain a 'Compare to' price for customers to use to compare the white-labeled products. This Compare to price will also be the default item price for the customer if the customer accidentally lets a contract price expire.
• The configuration of these restrictions must be applied automatically when creating new products for those customers.
Requirements. Warehouse and inventory
• If products in the warehouse must be blocked from transactions for a specific reason, such as a health and safety review, warehouse users should be able to block the products quickly from the ERP system.
• All product quality tests should be processed in a uniform and consistent manner.
• Creation of any quality processes for products inbound to the warehouse, from the production line, or outbound from the warehouse to consumers should be automatically created to facilitate execution.
• Testing requirements:
◦ Requirement 1: 100 percent of all nutritional supplements and 50 percent of all energy drinks must be tested when production orders are completed. After a product is in testing, 100 percent of all tests must be completed.
◦ Requirement 2: 75 percent of all nutritional supplements and energy drinks should be tested against their required tests during an outbound process.
◦ Damaged products must be placed in one of four bins (based on product type) during the inspection process.
◦ You must define quarantine zones to optimize product visibility throughout the testing process.
You need to configure automated testing for the following tasks:
• inbound processes from manufacturing
• outbound processed from the warehouse picking process
How many processes should you configure? A. 2 B. 3 C. 4 D. 10.
DRAG DROP
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Case study
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This is a case study. Case studies are not timed separately. You can use as much exam time as you would like to complete each case. However, there may be additional case studies and sections on this exam. You must manage your time to ensure that you are able to complete all questions included on this exam in the time provided.
To answer the questions included in a case study, you will need to reference information that is provided in the case study. Case studies might contain exhibits and other resources that provide more information about the scenario that is described in the case study. Each question is independent of the other questions in this case study.
At the end of this case study, a review screen will appear. This screen allows you to review your answers and to make changes before you move to the next section of the exam. After you begin a new section, you cannot return to this section.
To start the case study
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To display the first question in this case study, click the Next button. Use the buttons in the left pane to explore the content of the case study before you answer the questions. Clicking these buttons displays information such as business requirements, existing environment, and problem statements. If the case study has an All Information tab, note that the information displayed is identical to the information displayed on the subsequent tabs. When you are ready to answer a question, click the Question button to return to the question.
Background
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School of Fine Art is a distribution company that sells school supply items to primary and secondary schools. These include items such as pens, pencils, paper, notebooks, chalk, desks, acrylic paints, blackboards, dry erase markers, and whiteboard paint. Due to increased demand for colored pencils, lead times are longer for these pencils. School of Fine Art plans to expand sales into this market.
School of Fine Art plans to implement Dynamics 365 Supply Chain Management to manage the business.
Current environment. Company structure
School of Fine Art consists of two legal entities.
Primary company
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• Located in Dublin, Ireland.
• Has a single named warehouse.
• Is the primary distribution center for both companies.
Second company
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• Is located in Glasgow, Scotland.
• Includes the following warehouses: Glasgow1, Glasgow2.
○ Glasgow1 is used primarily to supply items regionally.
○ Glasgow2 serves as local storage for vendor-owned inventory and bulk storage for School of Fine Art's inventory.
Current environment. General processes
School of Fine Art uses a combination of spreadsheets and paper forms to manage the business.
• All sales, purchases, and inventory are tracked in spreadsheets that are password protected by managers.
• Managers frequently share spreadsheet passwords so that other users can make edits on their behalf. Inventory quantities and values are unreliable.
• The spreadsheets are often incorrectly updated, have entry errors, and broken formulas for calculations.
• Purchase order receipts, picking lists, packing slips, and invoices are all handwritten on pre-printed, three-part forms.
• Late summer is the company's busiest time. During this time, workers are typically on the warehouse floor or making rush deliveries to schools to meet last-minute needs.
Current environment. Inventory and warehousing
• School of Fine Art values inventory by using FIFO costing methods.
• Inventory in the warehouses cannot be distinguished as available inventory or inventory that is sold to a customer and waiting to be picked. This creates inventory inflation during cycle counts and later shortages because warehouse workers count items that are already promised to customers and waiting to be shipped.
• Glasgow2 space is fully allocated to vendors.
• Due to space constraints, school orders for photocopiers are shipped from the vendor to the school.
• Crayons are stored as separate item numbers depending on whether they are in a box or a case. This creates issues when counting inventory to determine the total number of crayons in stock.
• Lack of inventory controls has led to shortages on sales orders, creating backorders and unhappy schools.
• Inventory is ordered quarterly due to the seasonality of the business.
• Items can change annually based on popular sizes, colors, and styles for each new school season. The creation of the different configurations is a manual process, which creates so much overhead that temporary workers are brought in to do the data entry.
Current environment. Purchasing
• Reordering is manually managed by the buyers looking at the seasonal spikes for the start of the school year, slowing around the end-of-year holidays until the following school year.
• Pens are readily available products that are rarely discounted for sale.
• Photocopiers are only available for sale on the Glasgow region.
• Photocopy paper and construction paper are ordered by the pallet into Dublin1 and must be broken down into smaller sizes. The pallets are typically broken down and then split between what stays in Dublin1 and what is shipped to Glasgow1.
• Chalk and blackboards are slower sellers, so many vendors do not carry these items. School of Fine Art purchases these products from a single vendor. There are no alternative vendors available.
• School of Fine Art agrees to purchase a new line of smartboards from a vendor. The agreed-upon smartboard purchase prices will have a cost price per 55-inch, 75-inch, or 85-inch smartboard.
• The company purchases pencils for the following warehouses:
○ Glasgow1:
• standard pencils from Vendor A
• colored pencils from Vendor B
○ Dublin1:
• standard pencils from Vendor A
• colored pencils from Vendor A
• As whiteboard paint grows in popularity, so does the demand. This causes supply shortages. Whiteboard paint is ordered six months in advance.
Current environment. Customer sales
• The company contractually agrees to prices for some items with schools prior to the start of each school year.
• Schools may order bulk cases of products and choose to distribute further breakdowns, such as a case of crayons, which are then distributed to classrooms by the box.
• Pens do not require contracts with schools because they are low margin and do not have supply chain shortages.
• Painting supplies such as acrylic paint, canvases, and easels do not require a special contract and are sold at regular list price to all schools.
• Schools that offer painting classes are part of a program that provides special pricing on the painting supplies.
• Chalk and blackboards are ordered less frequently than they were in past years. Schools are choosing to use whiteboard paint, which is a lower cost than ordering and installing the whiteboards.
Requirements. Customers and sales
• The system must have the ability to limit product purchase amounts by a single school to prevent stock shortages for other schools.
• Schools are obligated to purchase the agreed amount for specific items per the school year.
• Customer service must be able to easily enter items for sales orders and identify stock shortages.
• Sales of whiteboard paint must be limited so that one school does not buy all the inventory and force backorders for other schools.
• Schools must agree to the amount of whiteboard paint they will purchase for the whole school year.
Requirements. Inventory costing
• Inventory must have associated costs except for the vendor storage in Glasgow2.
• The vendor storage must still contain quantities but not include cost in inventory valuations.
• At the end of each month, the costing manager must be able to identify how many items will not be fully settled.
• Annual configuration changes to items must be automatically created where possible.
• The company must be able to track costs for colored pencils and standard pencils separately.
Requirements. Inventory
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• Warehouse workers must be able to use their mobile phones and the mobile app to take calls and create transactions in the warehouse.
• The desks must use a single item number and barcode regardless of year manufactured and the vendor.
• Water-based paints from the vendor must be received in pails.
• Acrylic paint must be managed by batches and expiration dates.
• Pencils must be categorized as colored pencils or standard pencils. The individual colors of each colored pencil (such as red, green, and blue) will not be tracked.
• The creation of unique smartboard items must be kept to a minimum.
Issues
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• WarehouseWorker1 works in Glasgow2. The worker receives a request to ship pallets of paper from the warehouse to Glasgow1 and Dublin1. WarehouseWorker1 must create the shipments in the system to transfer the pallets of paper from Glasgow1 to Dublin1.
• The number of backorders for desks has increased. Customer service representatives struggle to select a desk item number that has inventory on hand. The desks are the same item, but the manufacturer vendor and year differ.
• A school calls customer service to report that its photocopier is broken. The school needs expedited shipment of a replacement.
• A school that is part of the special paint program reports that a sale price on canvas last month was a better price than its paint program price. The school requests a price adjustment.
• A school reports that different shipments of acrylic paints are slightly different in color.
• The sales team decides to have a flash sale on pens for one month only. The person entering the Sales order line should be able to communicate the information to the customer on the Sales order line.
• Schools are reporting that chalk and blackboards are broken upon receipt. A worker in Dublin1 opens some cases of these products in the warehouse and finds that they are also broken. You must implement processes to enforce inventory inspection for a percentage of each purchase order line received. You must block all inventory for a purchase order line if the inspection fails.
You must meet the requirement for WarehouseWorker1.
Which process should you use? To answer, drag the appropriate processes to the correct locations. Each process may be used once, more than once, or not at all. You may need to drag the split bar between panes or scroll to view content.
NOTE: Each correct selection is worth one point 1-4 2-3 3-1 4-2.
A company uses Dynamics 365 Supply Chain Management to manage procurement operations.
The company sources the majority of items from foreign vendors based in different countries/regions. Each country/region has different exporters. Exporter details for every shipment is required for compliance.
You need to report shipments by exporters.
What should you configure?
A. Shipping container B. Vessel C. Voyage D. Folio E. Purchase order.
A company uses Dynamics 365 Supply Chain Management.
A customer placed multiple sales orders. The customer requires the orders to ship on a single truck.
You need to configure the system to consolidate the multiple outbound sales orders onto a single truck for delivery.
What should you configure? A. Vessel B. Voyage C. Load D. Legs.
A company with two legal entities uses Dynamics 365 Supply Chain Management. You are creating new products and learn that CompanyA plans to use Warehouse management (WMS) but CompanyB will not.
Each storage, tracking, and production dimension name and configuration must be identical in each company.
You need to set up the dimensions that affect the WMS for the new products.
Which two actions should you perform? Each correct answer presents a complete solution.
NOTE: Each correct selection is worth one point. A. Assign a tracking group to the product and release it to both companies, changing one tracking group after release. B. Leave storage group blank on the product and assign after release to both companies. C. Assign storage group to the product and release to both companies, changing one after release. D. Create a product master and assign configuration technology.
A company uses Dynamics 365 Supply Chain Management. The company acquired a multinational food packaging business that has 30 facilities operating in multiple countries/regions.
Packaging machines must be systematically registered and tracked across all facilities.
You need to create the packing machine assets to meet the tracking requirements.
What should you create? A. functional location type B. functional location lifecycle state C. functional location D. functional location lifecycle model.
A company is implementing Dynamics 365 Supply Chain Management and is exploring the various capabilities.
The company has the following requirements:
• Track a single inbound vessel containing multiple shipping containers
• Track the path from the origin to the destination
You need to determine which landed cost functionality can be used to meet the requirements.
Which landed cost function should you use? A. Container B. Route segments C. Journey D. Load.
An e-commerce retail company is implementing Dynamics 365 Supply Chain Management.
The company often has scenarios where additional freight charges are incurred due to weight discrepancies and fuel surcharges but doesn't always want to review minimal variations to expected charges. The company wants to utilize the capabilities of the system for reconciling freight charges.
You need to configure the system to accommodate for the freight charge discrepancies.
What should you configure? A. Freight bill type B. Set freight match required to ‘Yes’ C. Freight bill type assignment D. Freight bill audit master.
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