ISO 22318:2021 - Supply Chain Continuity Management Professional Free Practice Test — 30 Questions

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Question 1 of 30

An organization specializing in the manufacture of critical medical components has identified a significant risk of disruption to its primary overseas supplier of a unique raw material. The potential impact of this disruption includes a complete halt in production for an extended period, leading to severe reputational damage and potential regulatory non-compliance. The organization\'s risk assessment indicates a high likelihood of this specific supplier-related disruption occurring within the next five years, and its risk appetite statement suggests a low tolerance for prolonged operational interruptions. Considering the principles of ISO 22318:2021, which of the following continuity strategies would be most appropriate for this scenario?

Establishing a secondary, geographically diverse supplier for the critical raw material, coupled with maintaining a strategic buffer stock of the material.
Implementing a comprehensive communication plan to manage stakeholder expectations during a potential supply disruption, with no immediate changes to sourcing or inventory.
Investing in research and development to identify and qualify alternative, domestically sourced raw materials that could be substituted in the event of an overseas supply failure.
Negotiating extended payment terms with existing customers to improve cash flow, thereby enabling a quicker recovery once a disruption has occurred.

About the ISO 22318:2021 - Supply Chain Continuity Management Professional Certification

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