1. The major drivers of supply chain performance are customers, facilities, inve
ID: 466371 • Letter: 1
Question
1. The major drivers of supply chain performance are customers, facilities, inventory, transportation, and
information.
a. True
b. False
2. The degree of supply chain responsiveness does not need to be consistent with the implied uncertainty.
a. True
b. False
3. Tailored postponement allows a firm to increase its profitability by only postponing the uncertain part of the demand
and producing the predictable part at a lower cost without postponement.
a. True
b. False
4. The bullwhip effect enables different stages of the supply chain to have a consistent estimate of what demand
looks like.
a. True
b. False
5. Compared to a business with many retail outlets, an online seller with aggregated inventories tends to have
lower per unit transportation costs across the entire supply chain.
a. True
b. False
6. Sourcing processes include the selection of suppliers, design of supplier contracts, product design
collaboration, procurement of material, and evaluation of supplier performance.
a. True
b. False
7. Pull processes can also be referred to as speculative processes.
a. True
b. False
8. A company's ability to find a balance between responsiveness and efficiency that best matches the needs of
the customer it is targeting is the key to achieving strategic fit.
a. True
b. False
9. The basic trade-off to consider during overbooking is between having a shortage capacity (or inventory)
because of few cancellations or having wasted of capacity (or inventory) because of excessive cancellations.
a. True
b. False
Name: K_number:
10. A company's supply chain strategy determines the nature of procurement and transportation of materials as
well as the manufacture and distribution of the product.
a. True
b. False
Multiple Choice
Indicate the answer choice that best completes the statement or answers the question.(3 points each)
1. Economies of scale in purchasing and ordering motivate a manager to
A) increase the lot size and cycle inventory.
B) decrease the lot size and cycle inventory.
C) eliminate inventory.
D) increase the lot size and reduce cycle inventory.
2. The opportunities from globalization are often accompanied by
A) a lack of domestic opportunities.
B) the need to eliminate the accounting function.
C) significant additional risk.
D) the need to eliminate the logistics function.
3. Total logistics costs for a supply chain network are a sum of
A) inventory and facility costs.
B) inventory, facility, and distributor costs.
C) facility, transportation, and distributor costs.
D) inventory, transportation, and facility costs.
4. In tailored sourcing, firms use a combination of two supply sources,
A) one focusing on cost but unable to handle uncertainty well, and the other focusing on flexibility to handle
uncertainty, but at a higher cost.
B) one focusing on cost and able to handle uncertainty well, and the other focusing on flexibility to handle
uncertainty, but at a higher cost.
C) one focusing on cost but unable to handle uncertainty well, and the other focusing on flexibility to handle
uncertainty at a lower cost.
D) one focusing on cost and able to handle uncertainty well, and the other focusing on flexibility to handle
uncertainty at a lower cost.
5. A supply chain needs to achieve a balance between the level of availability and the cost of inventory that
A) maximizes supply chain revenues.
B) minimizes supply chain costs.
C) maximizes supply chain profitability.
D) maximizes supply chain availability.
6. Supply chain profitability is
A) not correlated to the value generated by the various stages of the supply chain.
B) the total profit to be shared across all supply chain stages.
C) the difference between the revenue generated from the customer and the overall cost across the supply chain.
D) the total revenue generated by the distributor stage of the supply chain.
E) B and C only
Name: K_number:
7. The trend corrected exponential smoothing (Holt's Model) forecast method is appropriate when
A) demand has observable trend or seasonality.
B) demand has no observable trend or seasonality.
C) demand has observable trend but no seasonality.
D) demand has no observable level or seasonality.
8. The decision to have a third party perform a supply chain function is called
A) insourcing.
B) outsourcing.
C) offshoring.
D) onshoring.
9. Aggregate planning is concerned with determining
A) the production level, sales level, and capacity for each period.
B) the demand level, inventory level, and capacity for each period.
C) the production level, inventory level, and capacity for each period.
D) the production level, staffing level, and capacity for each period.
10. An effective revenue management tactic when faced with seasonal peaks is to charge a
A) high price during the peak period and a higher price during off-peak periods.
B) low price during the peak period and a lower price during off-peak periods.
C) lower price during the peak period and a higher price during off-peak periods.
D) higher price during the peak period and a lower price during off-peak periods.
Explanation / Answer
1. Supply chain performance of a company depends upon several major drivers including customers, facilities, inventory, transportation, and information. The reason being these major drivers play a crucial role in determining the efficiency and effectiveness of the supply chain performance. Hence, correct option is “TRUE”.
2.
False
The degree of supply chain responsiveness should be consistent with the implied uncertainty.
3. True
Postponement is valuable for a firm that sells a large variety of products with demand that is independent and comparable in size
4. False
The bullwhip effect negatively impacts performance at every stage and thus hurts the relationships between different stages of the supply chain.
5. False
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.