ITSS 4343 (EXAM REVIEW) UTD EXAM
QUESTIONS AND ANSWERS 2026
VERIFIED.
COMSUMPTION Based Planning - ANS SECTION 1
Consumption Based Planning (CBP) - ANS a generic term for the procedure within Material
Requirements
Planning (MRP) - ANS replenishment planning is based upon the consumption of inventory.
Classical Re-Order Point - ANS ROP= Demand During RLT + Safety Stock
Manual Re-Order Point - ANS -Demand is relatively constant and we have a good historical
data.
-Replenishment lead times are predictable and we have a
good historical data.
material is withdrawn - ANS from the warehouse, the system checks whether this withdrawal
has caused stock levels to fall below the reorder point.
@2026/2027 ALLRIGHTS RESERVED.
,Backward Scheduling In Manual Re- Order Point - ANS 1. Opening Period
2. Processing time for Purchasing
3. Planned Delivery time
4. Goods receipt processing time
automatic re-order point planning
SAP will automatically calculate the two important parameters: - ANS - Re-order level (i.e. re-
order point)
- Safety stock
Automatic Re-Order Point - ANS ROP = DDLT + SS
DDLT = W * Demand During Period
W = RLT/Demand Period
--------------- DEMAND Management - ANS SECTION 2 <-----------
Demand Management - ANS Planning of requirement quantities and requirement dates for
finished products and important assemblies
definition of the strategy for planning and producing or procuring a particular finished product
different types of independent demand - relevant to Material Requirements Planning - ANS -
Customer demand (Sales Orders)
- Planned Independent Requirements (Forecast)
- Stock transport request
@2026/2027 ALLRIGHTS RESERVED.
, The result or output of Demand Management - ANS Net Requirement to MRP
Demand Management - ANS directed and governed by fields in the Material Master,
primarily the Requirement Strategy field
(Production Types) - Make to stock - ANS in a make-to-stock strategy, inventories must be on-
hand before the demand arrives. The retail industry and many other industries use this strategy.
(Production Types) - Make to order - ANS in a make-to-order strategy inventories are not
planned until an order arrives. The Aerospace & Defense industry uses this strategy.
(Production Types) - Assemble to order - ANS in a assemble-to-order strategy, semi-finished
and raw material inventories must be on hand prior to the arrival of actual demand.
The planning strategy - ANS the procedure for what triggers quantity and timing of
production of a material.
material production - ANS - A forecast only
- A combination of a forecast and a customer order
- A customer order only
Forecast Consumption - ANS the process of automatically adjusting the forecast to reflect
actual customer orders that have been received.
The objective the forecast consumption is to reduce the possibility of over-producing.
@2026/2027 ALLRIGHTS RESERVED.
QUESTIONS AND ANSWERS 2026
VERIFIED.
COMSUMPTION Based Planning - ANS SECTION 1
Consumption Based Planning (CBP) - ANS a generic term for the procedure within Material
Requirements
Planning (MRP) - ANS replenishment planning is based upon the consumption of inventory.
Classical Re-Order Point - ANS ROP= Demand During RLT + Safety Stock
Manual Re-Order Point - ANS -Demand is relatively constant and we have a good historical
data.
-Replenishment lead times are predictable and we have a
good historical data.
material is withdrawn - ANS from the warehouse, the system checks whether this withdrawal
has caused stock levels to fall below the reorder point.
@2026/2027 ALLRIGHTS RESERVED.
,Backward Scheduling In Manual Re- Order Point - ANS 1. Opening Period
2. Processing time for Purchasing
3. Planned Delivery time
4. Goods receipt processing time
automatic re-order point planning
SAP will automatically calculate the two important parameters: - ANS - Re-order level (i.e. re-
order point)
- Safety stock
Automatic Re-Order Point - ANS ROP = DDLT + SS
DDLT = W * Demand During Period
W = RLT/Demand Period
--------------- DEMAND Management - ANS SECTION 2 <-----------
Demand Management - ANS Planning of requirement quantities and requirement dates for
finished products and important assemblies
definition of the strategy for planning and producing or procuring a particular finished product
different types of independent demand - relevant to Material Requirements Planning - ANS -
Customer demand (Sales Orders)
- Planned Independent Requirements (Forecast)
- Stock transport request
@2026/2027 ALLRIGHTS RESERVED.
, The result or output of Demand Management - ANS Net Requirement to MRP
Demand Management - ANS directed and governed by fields in the Material Master,
primarily the Requirement Strategy field
(Production Types) - Make to stock - ANS in a make-to-stock strategy, inventories must be on-
hand before the demand arrives. The retail industry and many other industries use this strategy.
(Production Types) - Make to order - ANS in a make-to-order strategy inventories are not
planned until an order arrives. The Aerospace & Defense industry uses this strategy.
(Production Types) - Assemble to order - ANS in a assemble-to-order strategy, semi-finished
and raw material inventories must be on hand prior to the arrival of actual demand.
The planning strategy - ANS the procedure for what triggers quantity and timing of
production of a material.
material production - ANS - A forecast only
- A combination of a forecast and a customer order
- A customer order only
Forecast Consumption - ANS the process of automatically adjusting the forecast to reflect
actual customer orders that have been received.
The objective the forecast consumption is to reduce the possibility of over-producing.
@2026/2027 ALLRIGHTS RESERVED.
