Questions: Effective use of Supply Chain Management software is generally expected to provide all of the following benefits except. Multiple Choice Reduced inventory carrying costs. Lower payroll costs. Better communications with suppliers. Lower production costs.

Effective use of Supply Chain Management software is generally expected to provide all of the following benefits except.

Multiple Choice
Reduced inventory carrying costs.
Lower payroll costs.
Better communications with suppliers.
Lower production costs.
Transcript text: Effective use of Supply Chain Management software is generally expected to provide all of the following benefits except. Multiple Choice Reduced inventory carrying costs. Lower payroll costs. Better communications with suppliers. Lower production costs.
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Solution

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The answer is the second one (B): Lower payroll costs.

Explanation for each option:

A. Reduced inventory carrying costs: This is a common benefit of effective Supply Chain Management (SCM) software. By optimizing inventory levels and improving demand forecasting, SCM software helps reduce the costs associated with holding and managing inventory.

B. Lower payroll costs: While SCM software can streamline operations and improve efficiency, it does not directly impact payroll costs. Payroll costs are more closely related to human resources management and labor efficiency rather than supply chain management.

C. Better communications with suppliers: SCM software often includes features that enhance communication and collaboration with suppliers, such as real-time data sharing and integrated communication platforms. This leads to improved supplier relationships and more efficient supply chain operations.

D. Lower production costs: Effective SCM software can contribute to lower production costs by optimizing the supply chain, reducing waste, and improving resource allocation. This can lead to more efficient production processes and cost savings.

Summary: The benefit that is generally not expected from effective use of Supply Chain Management software is lower payroll costs.

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