Certified Professional Category Analyst (CPCA) 2025 – 400 Free Practice Questions to Pass the Exam

Question: 1 / 400

Which of the following can lead to out-of-stock situations?

Labor rates in the warehouse

In-store shelving issues

Store ordering and forecasting issues

All of the above

Out-of-stock situations can occur due to a variety of factors that disrupt the supply chain and inventory management processes. Each of the options presented contributes to the likelihood of stockouts in different ways.

Labor rates in the warehouse can influence the efficiency of inventory management and order fulfillment. If labor is not adequately staffed or if high labor costs lead to cutbacks in workforce hours, it can result in slower processing times for picking and packing products. This inefficiency can create delays in restocking shelves or fulfilling customer orders, ultimately leading to stockouts.

In-store shelving issues refer to the physical arrangement and management of products on the sales floor. If products are not shelved properly or if there are inefficient processes in place for maintaining stock on the shelves, customers may find items missing when they try to purchase them. Proper merchandising and shelf management are crucial for preventing lost sales due to out-of-stocks.

Store ordering and forecasting issues are also critical factors in maintaining adequate inventory levels. If a store inaccurately forecasts demand for certain products, it can lead to ordering errors. Overestimating demand may lead to excess inventory, while underestimating it will cause stockouts. Effective ordering and accurate demand forecasting practices are essential for ensuring that products are consistently available for customers.

Considering

Get further explanation with Examzify DeepDiveBeta
Next Question

Report this question

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy