Question 1

Facility location analysis considers the competitive imperative to be close to customers as to timeliness of deliveries.

Accepted Answer

A) True 
 B)False  True

Question 2

One of the objectives of facility location analysis is to select a site with the lowest total cost. Which of the following costs should be excluded from the analysis?

Accepted Answer

A)  Historical costs 
B)  Inbound distribution costs 
C)  Land 
D)  Construction 
E)  Regional costs 
A)  Historical costs 
B)  Inbound distribution costs 
C)  Land 
D)  Construction 
E)  Regional costs A

Question 3

One of the objectives in facility location analysis is to select a site with the lowest total cost. Which of the following costs are hidden costs that should be included in the analysis?

Accepted Answer

A)  Infrastructure costs 
B)  Movement of preproduction material between locations 
C)  Taxes 
D)  Construction costs 
E)  Bribery costs 
A)  Infrastructure costs 
B)  Movement of preproduction material between locations 
C)  Taxes 
D)  Construction costs 
E)  Bribery costs B

Question 4

Which of the following is not mentioned in the text as a technique for identifying potential sites for plants or other types of facilities?

Accepted Answer

A)  The centroid method 
B)  Factor-rating systems 
C)  Linear programming 
D)  The transportation method of decision analysis 
E)  Regression analysis 
A)  The centroid method 
B)  Factor-rating systems 
C)  Linear programming 
D)  The transportation method of decision analysis 
E)  Regression analysis

Question 5

Very few products are moved without at least part of their journey being by which mode of transportation?

Accepted Answer

A)  Highway 
B)  Rail 
C)  Water 
D)  Pipeline 
E)  Air 
A)  Highway 
B)  Rail 
C)  Water 
D)  Pipeline 
E)  Air

Question 6

The objective of facility location analysis is to select the site with the lowest total cost.

Accepted Answer

A) True 
 B)False

Question 7

In facility location decision making, the factor-rating system is one of the least used general location techniques.

Accepted Answer

A) True 
 B)False

Question 8

Cross-docking is a practice used in the international shipping industry that facilitates port utilization.

Accepted Answer

A) True 
 B)False

Question 9

How many free trade zones are there in the United States?

Accepted Answer

A)  Less than 50 
B)  Less than 100 
C)  About 260 
D)  More than 412 
E)  About 310 
A)  Less than 50 
B)  Less than 100 
C)  About 260 
D)  More than 412 
E)  About 310

Question 10

In facility location decision making the educational and skill levels of the labor pool must match the company's needs.

Accepted Answer

A) True 
 B)False

Question 11

Facility location analysis considers the competitive imperative of locating near the appropriate labor pool to take advantage of high technical skills.

Accepted Answer

A) True 
 B)False

Question 12

A major problem in a plant location decision based on the factor-rating system is that simple point-rating schemes do not account for the wide variance of costs that may occur within each factor used in the analysis.

Accepted Answer

A) True 
 B)False

Question 13

A favorable business climate in facility location decision making might include local government providing basic skill training for prospective members of the workforce.

Accepted Answer

A) True 
 B)False

Question 14

An example of a trading bloc is which of the following?

Accepted Answer

A)  Central American Free Trade Agreement countries 
B)  Free trade zones 
C)  ISO-9000 companies 
D)  American Production and Inventory Control Society 
E)  Wal-Mart and its suppliers 
A)  Central American Free Trade Agreement countries 
B)  Free trade zones 
C)  ISO-9000 companies 
D)  American Production and Inventory Control Society 
E)  Wal-Mart and its suppliers

Question 15

DHL and United Parcel Service are transportation companies that are prohibited from functioning as a third-party logistics company the way Federal Express does.

Accepted Answer

A) True 
 B)False

Question 16

One of the objectives of facility location analysis is to select a site with the lowest total cost. Which of the following costs should not be included in the analysis?

Accepted Answer

A)  Outbound distribution costs 
B)  Incidental costs 
C)  Energy costs 
D)  Hidden costs 
E)  Taxes 
A)  Outbound distribution costs 
B)  Incidental costs 
C)  Energy costs 
D)  Hidden costs 
E)  Taxes

Question 17

Which of the following is not a criterion that influences manufacturing plant or warehouse facility location decisions?

Accepted Answer

A)  Suppliers 
B)  Free trade zones 
C)  Political risk 
D)  Gross national product 
E)  Tariffs and customs duties 
A)  Suppliers 
B)  Free trade zones 
C)  Political risk 
D)  Gross national product 
E)  Tariffs and customs duties

Question 18

An example of a positive business climate that might influence a facility location decision is increasing governmental costs and increasing property taxes.

Accepted Answer

A) True 
 B)False

Question 19

In facility location decision making, the factor-rating system is based on linear programming.

Accepted Answer

A) True 
 B)False

Question 20

The Association for Operations Management defines logistics as "the art and science of obtaining, producing, and distributing material and product in the proper place and in proper quantities."

Accepted Answer

A) True 
 B)False

Facility location analysis considers the competitive imperative to be close to customers as to timeliness of deliveries.

One of the objectives of facility location analysis is to select a site with the lowest total cost. Which of the following costs should be excluded from the analysis?

One of the objectives in facility location analysis is to select a site with the lowest total cost. Which of the following costs are hidden costs that should be included in the analysis?

Which of the following is not mentioned in the text as a technique for identifying potential sites for plants or other types of facilities?

Very few products are moved without at least part of their journey being by which mode of transportation?

The objective of facility location analysis is to select the site with the lowest total cost.

In facility location decision making, the factor-rating system is one of the least used general location techniques.

Cross-docking is a practice used in the international shipping industry that facilitates port utilization.

How many free trade zones are there in the United States?

In facility location decision making the educational and skill levels of the labor pool must match the company's needs.

Facility location analysis considers the competitive imperative of locating near the appropriate labor pool to take advantage of high technical skills.

A major problem in a plant location decision based on the factor-rating system is that simple point-rating schemes do not account for the wide variance of costs that may occur within each factor used in the analysis.

A favorable business climate in facility location decision making might include local government providing basic skill training for prospective members of the workforce.

An example of a trading bloc is which of the following?

DHL and United Parcel Service are transportation companies that are prohibited from functioning as a third-party logistics company the way Federal Express does.

One of the objectives of facility location analysis is to select a site with the lowest total cost. Which of the following costs should not be included in the analysis?

Which of the following is not a criterion that influences manufacturing plant or warehouse facility location decisions?

An example of a positive business climate that might influence a facility location decision is increasing governmental costs and increasing property taxes.

In facility location decision making, the factor-rating system is based on linear programming.

The Association for Operations Management defines logistics as "the art and science of obtaining, producing, and distributing material and product in the proper place and in proper quantities."

Operations and Supply Chain Management

Strategy and Sustainability

Forecasting

Strategic Capacity Management

Projects

Manufacturing Processes

Service Processes

Sales and Operations Planning

Material Requirements Planning

Quality Management and Six Sigma

Inventory Management

Lean Supply Chains

Global Sourcing and Procurement

Filters

Exam 14: Location, Logistics, and Distribution

Facility location analysis considers the competitive imperative to be close to customers as to timeliness of deliveries.

One of the objectives of facility location analysis is to select a site with the lowest total cost. Which of the following costs should be excluded from the analysis?

One of the objectives in facility location analysis is to select a site with the lowest total cost. Which of the following costs are hidden costs that should be included in the analysis?

Which of the following is not mentioned in the text as a technique for identifying potential sites for plants or other types of facilities?

Very few products are moved without at least part of their journey being by which mode of transportation?

The objective of facility location analysis is to select the site with the lowest total cost.

In facility location decision making, the factor-rating system is one of the least used general location techniques.

Cross-docking is a practice used in the international shipping industry that facilitates port utilization.

How many free trade zones are there in the United States?

In facility location decision making the educational and skill levels of the labor pool must match the company's needs.

Facility location analysis considers the competitive imperative of locating near the appropriate labor pool to take advantage of high technical skills.

A major problem in a plant location decision based on the factor-rating system is that simple point-rating schemes do not account for the wide variance of costs that may occur within each factor used in the analysis.

A favorable business climate in facility location decision making might include local government providing basic skill training for prospective members of the workforce.

An example of a trading bloc is which of the following?

DHL and United Parcel Service are transportation companies that are prohibited from functioning as a third-party logistics company the way Federal Express does.

One of the objectives of facility location analysis is to select a site with the lowest total cost. Which of the following costs should not be included in the analysis?

Which of the following is not a criterion that influences manufacturing plant or warehouse facility location decisions?

An example of a positive business climate that might influence a facility location decision is increasing governmental costs and increasing property taxes.

In facility location decision making, the factor-rating system is based on linear programming.

The Association for Operations Management defines logistics as "the art and science of obtaining, producing, and distributing material and product in the proper place and in proper quantities."

Operations and Supply Chain Management

Strategy and Sustainability

Forecasting

Strategic Capacity Management

Projects

Manufacturing Processes

Service Processes

Sales and Operations Planning

Material Requirements Planning

Quality Management and Six Sigma

Inventory Management

Lean Supply Chains

Global Sourcing and Procurement

Filters