Question 1

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  True

Question 2

An important issue in facility location analysis is business climate.An unfavorable business climate could be indicated by which of the following?

Accepted Answer

A) Similar-sized businesses nearby 
B) The willingness of local politicians to provide favorable treatment for a consideration 
C) The presence of other foreign companies in the case of international locations 
D) The local presence of companies in the same industry 
E) An established educational institution nearby 
A) Similar-sized businesses nearby 
B) The willingness of local politicians to provide favorable treatment for a consideration 
C) The presence of other foreign companies in the case of international locations 
D) The local presence of companies in the same industry 
E) An established educational institution nearby B

Question 3

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 C

Question 4

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 5

Because the world is becoming more highly interconnected, the proximity of an important supplier's plants is not crucial in supporting lean production methods.

Accepted Answer

A) True 
 B)False

Question 6

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 7

A third-party logistics company is a firm that manages all or part of another company's product delivery operations.

Accepted Answer

A) True 
 B)False

Question 8

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

Accepted Answer

A) Proximity to customers 
B) Historical cost 
C) Infrastructure of a country 
D) Quality of labor 
E) Business climate 
A) Proximity to customers 
B) Historical cost 
C) Infrastructure of a country 
D) Quality of labor 
E) Business climate

Question 9

Plant A is located at the (X, Y) coordinates of (100, 200) and has a volume of shipping of 500 units a day. Plant B is located at the (X, Y) coordinates of (150, 400) and has a volume of shipping of 200 units a day.Using the centroid method, which of the following is the X coordinate for the new plant location?

Accepted Answer

A) About 100 
B) About 114 
C) About 130 
D) About 150 
E) X coordinate cannot be computed from the data given 
A) About 100 
B) About 114 
C) About 130 
D) About 150 
E) X coordinate cannot be computed from the data given

Question 10

Cross-docking is an approach used in consolidation warehouses, where large shipments are broken down into small shipments for local delivery in an area.

Accepted Answer

A) True 
 B)False

Question 11

The local government's willingness to invest in upgrading infrastructure to the levels required by a company is an important issue in a company's decision of where to locate a new facility.

Accepted Answer

A) True 
 B)False

Question 12

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

Accepted Answer

A) True 
 B)False

Question 13

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 14

Governmental barriers to enter and locate in many countries are increasing through restrictive protectionist legislation.

Accepted Answer

A) True 
 B)False

Question 15

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 16

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 17

Quality of life in a host community is not a major factor in making the facility location decision.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following is not an infrastructure criteria used in facility location analysis?

Accepted Answer

A) Adequate school system 
B) Adequate health care 
C) Adequate transportation 
D) Adequate low cost labor 
E) Adequate public utility systems 
A) Adequate school system 
B) Adequate health care 
C) Adequate transportation 
D) Adequate low cost labor 
E) Adequate public utility systems

Question 19

Issues of product mix and capacity are strongly interconnected to the facility location decision.

Accepted Answer

A) True 
 B)False

Question 20

A favorable business climate in facility location decision-making might include local government intervention to facilitate businesses locating in an area via subsidies.

Accepted Answer

A) True 
 B)False

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

An important issue in facility location analysis is business climate.An unfavorable business climate could be indicated by which of the following?

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

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.

Because the world is becoming more highly interconnected, the proximity of an important supplier's plants is not crucial in supporting lean production methods.

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?

A third-party logistics company is a firm that manages all or part of another company's product delivery operations.

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

Cross-docking is an approach used in consolidation warehouses, where large shipments are broken down into small shipments for local delivery in an area.

The local government's willingness to invest in upgrading infrastructure to the levels required by a company is an important issue in a company's decision of where to locate a new facility.

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

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

Governmental barriers to enter and locate in many countries are increasing through restrictive protectionist legislation.

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

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

Quality of life in a host community is not a major factor in making the facility location decision.

Which of the following is not an infrastructure criteria used in facility location analysis?

Issues of product mix and capacity are strongly interconnected to the facility location decision.

A favorable business climate in facility location decision-making might include local government intervention to facilitate businesses locating in an area via subsidies.

Operations and Supply Chain Management

Strategy and Sustainability

Product and Service Design

Strategic Capacity Management

Process Analysis

Production Processes

Service Processes

Health Care Processes

Six-Sigma Quality

Projects

Global Sourcing and Procurement

Lean and Sustainable Supply Chains

Enterprise Resource Planning Systems

Demand Management and Forecasting

Sales and Operations Planning

Inventory Control

Material Requirements Planning

Scheduling

Constraint Management

Filters

Exam 12: Location, Logistics and Distribution

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

An important issue in facility location analysis is business climate.An unfavorable business climate could be indicated by which of the following?

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

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.

Because the world is becoming more highly interconnected, the proximity of an important supplier's plants is not crucial in supporting lean production methods.

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?

A third-party logistics company is a firm that manages all or part of another company's product delivery operations.

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

Cross-docking is an approach used in consolidation warehouses, where large shipments are broken down into small shipments for local delivery in an area.

The local government's willingness to invest in upgrading infrastructure to the levels required by a company is an important issue in a company's decision of where to locate a new facility.

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

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

Governmental barriers to enter and locate in many countries are increasing through restrictive protectionist legislation.

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

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

Quality of life in a host community is not a major factor in making the facility location decision.

Which of the following is not an infrastructure criteria used in facility location analysis?

Issues of product mix and capacity are strongly interconnected to the facility location decision.

A favorable business climate in facility location decision-making might include local government intervention to facilitate businesses locating in an area via subsidies.

Operations and Supply Chain Management

Strategy and Sustainability

Product and Service Design

Strategic Capacity Management

Process Analysis

Production Processes

Service Processes

Health Care Processes

Six-Sigma Quality

Projects

Global Sourcing and Procurement

Lean and Sustainable Supply Chains

Enterprise Resource Planning Systems

Demand Management and Forecasting

Sales and Operations Planning

Inventory Control

Material Requirements Planning

Scheduling

Constraint Management

Filters