Free Practice Questions for Oracle 1z0-1163-1 Exam

Real-time Supplier Collaboration (C)in Oracle Fusion Cloud SCM ensures supply planning reflects the latest supplier information by integrating live data—e.g., lead times, inventory availability—via tools like the Supplier Portal. If a supplier updates a lead time from 5 to 7 days, planning adjusts instantly. Option A (increasing reorder points) is a static fix, not real-time. Option B (manual verification) contradicts automation goals. Option D (separate models) fragments planning, reducing accuracy. For example, real-time updates might prevent a stockout by rescheduling a delayed shipment, enhancing agility and precision in supply plans.

Manufacturing Execution in Oracle Fusion Cloud SCM is a critical function that tracks and manages real-time production processes on the shop floor, ensuring visibility and control over activities like work order execution, material consumption, and labor tracking. It captures data as production occurs—e.g., when a worker completes an assembly step or uses raw materials—allowing managers to monitor progress, identify bottlenecks, and ensure quality. Option A is incorrect because supplier coordination remains essential for raw material supply; Manufacturing Execution does not eliminate this need but integrates with it. Option C is wrong as financial reporting is handled by Cost Accounting, not Manufacturing Execution, though the latter providesdata that feeds into cost calculations. For example, if a factory produces 100 units, Manufacturing Execution records the exact time, resources, and issues (e.g., machine downtime), enabling proactive adjustments. This real-time oversight improves efficiency, reduces waste, and ensures production aligns with planned schedules.

Contract Fulfillment Automation (C)in Oracle Fusion Cloud Procurement automates the creation of purchase orders (POs) directly from contract terms, streamlining the procurement process. This feature uses predefined contract details—such as items, quantities, pricing, and delivery schedules—to generate POs without manual intervention. For example, if a contract stipulates 1,000 units of a product at $10 each over six months, Contract Fulfillment Automation triggers POs as needed (e.g., 200 units monthly), ensuring accuracy and compliance with the agreement. Option A (Receipt Accounting) records goods received, not PO creation. Option B (Supplier Portal) enables supplier interaction but doesn’t automate PO generation from contracts. Option D (IDR) extracts data from documents like invoices, not contracts for PO creation. This automation reduces errors (e.g., mismatched quantities), saves time, and ensures procurement aligns with negotiated terms, enhancing efficiency and supplier relationships.

Inventory Management in Oracle Fusion Cloud SCM ensures optimal inventory levels by tracking stock movement, availability, and replenishment needs across warehouses and supply chains. It monitors quantities on hand, in transit, and on order, using real-time data to prevent overstocking or stockouts. For instance, if a product’s stock drops below a reorder point, the system triggers a replenishment alert. Option A is incorrect—reducing supplier costs is a procurement goal, not Inventory Management’s focus, which is stock optimization. Option B is wrong as it manages warehouse stock, not just supplier shipments. This function balances inventory costs with service levels, supporting efficient operations and customer satisfaction by ensuring products are available when needed without tying up excess capital.

Replenishment Planning (C)in Oracle Fusion Cloud SCM ensures optimal inventory levels by predicting demand and adjusting supply plans proactively. Using forecasts—e.g., expecting 300 units next month—it triggers replenishments to maintain stock (e.g., ordering 250 units when levels hit 50), avoiding overstock or shortages. Option A (Cost Accounting) tracks costs, not inventory levels. Option B (Supplier Qualification) evaluates suppliers, not stock planning. Option D (Manufacturing Execution) manages production, not replenishment. This feature balances cost and availability, reducing waste (e.g., $5,000 in excess stock) and ensuring service continuity.