Exam 13: Global Operations and Supply-Chain Management

Of the following, which is NOT an advantage of global procurement?

__________ refers to a property of ERP systems to handle the accounting standards of multiple countries.

A company that only completes product design and outsources all other production process functions is called a __________.

The sites where production takes place are called __________.

"Fortunately, ERP does not affect global supply chain management." Do you agree with this statement. Defend your position.

__________ occurs when components and raw materials are produced in-house and purchased from suppliers.

Boeing buying from thousands of suppliers in more than 100 countries, but only having production facilities in the U.S. is an example of global procurement and domestic production.

Scenario - Jenkins and Jones Corporation Michael Jenkins and Emma Jones started the Jenkins and Jones Corporation in 1976 in Kansas, USA. The initial goal of this company was to serve customers throughout the United States. Since the company's inception it has grown at an outstanding rate. It now serves online customers as well as customers in ten foreign nations. Jenkins and Jones is now looked at as the industry's benchmark company due to its superior supply chain management skills. Its practices and techniques are used by many other organizations in the industry to improve their own supply chain management skills. -As the Jenkins and Jones Corporation continues to grow and expand, one of the strategic decisions it must face is that of location of its facilities. Which one of the following does not relate to the problem of location?

Some advantages of making components and raw materials in-house are: cost, control over quality, more control over deliveries, secure the supply source, and is not required to honor protections of intellectual property.

Toddler Toys operates a massive research and development facility in Missouri, USA. The company designs its toys in the United States but outsources all other production process functions. Toddler Toys can be described as a

When a firm has been making goods and services in-house, and then decides to buy these goods and services from suppliers, it is called _____.

Differentiate between outsourcing and insourcing using a company example.

__________ occurs when the firm has been buying goods and services from suppliers, and then decides to make these goods and services in-house.

Which of these is responsible for the transformations required by the production process?

__________ occurs when the firm doing the outsourcing and the supplier that will provide the outsourced goods and services are located in different countries; also called offshoring.

__________ refers to software packages designed to integrate the majority of a firm's business processes, execute all transactions related to the firm's business processes being integrated, store each piece of data only once in an enterprise-wide database, allow access to data and information in real time, and operate in a client-server environment, traditional or web-based.

__________ refers to the linking of separate networks into an interconnected network, where each network retains its own identity.

One advantage of global procurement is that the firm can maximize its flexibility by allocating its orders among suppliers in a dynamic way and the firm has access to more suppliers that can generally provide lower costs than domestic suppliers.

Describe the advantages and disadvantages of global procurement.

In operations management, the acquisition of goods and services is referred to as logistics.