Question 1

Duties that must be paid when products and/or equipment are moved across international, state, or city boundaries are referred to as

Accepted Answer

A)  taxes. 
B)  tax incentives. 
C)  tariffs. 
D)  incentives. 
A)  taxes. 
B)  tax incentives. 
C)  tariffs. 
D)  incentives.

Question 2

A facility that creates new products, processes, and technologies for the entire network is

Accepted Answer

A)  a lead facility. 
B)  a source facility. 
C)  a server facility. 
D)  an outpost facility. 
A)  a lead facility. 
B)  a source facility. 
C)  a server facility. 
D)  an outpost facility.

Question 3

A manufacturer of cat towers wishes to locate a super assembly facility to meet their cat tower assembly needs for the next millennium. Currently, carpet, cylinders, yarn and fasteners are purchased in bulk from suppliers in North Haverbrook, Ogden, and Springfield in the quantities shown in the table. The super assembly facility would ship to distribution centers located in Seattle, Lubbock, Nashville, and Philadelphia. The locations of all of these cities on an x-y grid, transportation costs on a ton per mile basis, and total tonnage are all contained in the table. Formulate and solve a model that will minimize the shipping costs to the super assembly center.
 $\begin{array} { | l | c | c | c | c | } 
\hline \text { Sources/Markets } & \begin{array} { c } 
\text { Transportation } \
\text { Cost } \$ / \text { ton mile } \
\left( \mathbf { F } _ { \mathbf { n } } \right)
\end{array} & \begin{array} { c } 
\text { Quantity } \
\text { in Tons } \
\left( \mathrm { D } _ { \mathbf { n } } \right)
\end{array} & \mathbf { X } _ { \mathbf { n } } & \mathbf { Y } _ { \mathbf { n } } \
\hline \text { Supply } & & & & \
\hline \text { North Haverbrook } & 1.1 & 650 & 700 & 1200 \
\hline \text { Ogden } & 1.2 & 450 & 250 & 600 \
\hline \text { Springfield } & 1.4 & 400 & 225 & 825 \
\hline \text { Market } & & & & \
\hline \text { Seattle } & 2.25 & 300 & 50 & 1200 \
\hline \text { Lubbock } & 2.25 & 200 & 450 & 300 \
\hline \text { Nashville } & 2.25 & 500 & 800 & 250 \
\hline \text { Philadelphia } & 2.25 & 500 & 950 & 1100 \
\hline
\end{array}$
Where should the new plant be located and what is the total system shipping cost?

Accepted Answer

The model requires that the weighted rec

Question 4

Decisions concerning the role of each facility are significant because

Accepted Answer

A)  they determine the amount of flexibility the supply chain has in demanding change. 
B)  they determine the amount of flexibility the supply chain has in changing the way it meets demand. 
C)  they determine the amount of capacity the supply chain has in changing the way it meets demand. 
D)  they determine the amount of inventory the supply chain has in demanding change. 
A)  they determine the amount of flexibility the supply chain has in demanding change. 
B)  they determine the amount of flexibility the supply chain has in changing the way it meets demand. 
C)  they determine the amount of capacity the supply chain has in changing the way it meets demand. 
D)  they determine the amount of inventory the supply chain has in demanding change.

Question 5

Firms focusing on cost leadership tend to

Accepted Answer

A)  locate facilities close to the market they serve. 
B)  locate facilities very far from the market they serve. 
C)  find the lowest cost location for their manufacturing facilities. 
D)  select a high-cost location to be able to react quickly. 
A)  locate facilities close to the market they serve. 
B)  locate facilities very far from the market they serve. 
C)  find the lowest cost location for their manufacturing facilities. 
D)  select a high-cost location to be able to react quickly.

Question 6

When faced with a network design decision, the goal of a manager is to design a network that minimizes the firm's costs while satisfying customer needs in terms of demand and responsiveness.

Accepted Answer

A) True 
 B)False

Question 7

Managers making facility location decisions should carefully consider tariffs and tax incentives, because

Accepted Answer

A)  network designers can use this fact to influence the role of the new facility and the focus of people working there. 
B)  facilities last a long time and have an enduring impact on a firm's performance. 
C)  it is astounding how often tax incentives drive the choice of location. 
D)  the location of a facility has a significant impact on the extent and form of communication that develops in the supply chain network. 
A)  network designers can use this fact to influence the role of the new facility and the focus of people working there. 
B)  facilities last a long time and have an enduring impact on a firm's performance. 
C)  it is astounding how often tax incentives drive the choice of location. 
D)  the location of a facility has a significant impact on the extent and form of communication that develops in the supply chain network.

Question 8

Firms focusing on cost leadership tend to find the lowest cost location for their manufacturing facilities, but only if that means locating very far from the markets they serve.

Accepted Answer

A) True 
 B)False

Question 9

A manufacturer of cat towers wishes to locate a super assembly facility to meet their cat tower assembly needs for the next millennium. Currently, carpet, cylinders, yarn and fasteners are purchased in bulk from suppliers in North Haverbrook, Ogden, and Springfield in the quantities shown in the table. The super assembly facility would ship to distribution centers located in Seattle, Lubbock, Nashville, and Philadelphia. The locations of all of these cities on an x-y grid, outbound transportation costs on a ton per mile basis, and total tonnage are all contained in the table. $\begin{array} { | l | c | c | c | c | } 
\hline \text { Sources/Markets } & \begin{array} { c } 
\text { Transportation } \
\text { Cost } \$ / \text { ton mile } \
\left( \mathbf { F } _ { \mathbf { n } } \right)
\end{array} & \begin{array} { c } 
\text { Quantity } \
\text { in Tons } \
\left( \mathrm { D } _ { \mathbf { n } } \right)
\end{array} & \mathbf { X } _ { \mathbf { n } } & \mathbf { Y } _ { \mathbf { n } } \
\hline \text { Supply } & & & & \
\hline \text { North Haverbrook } & 1.1 & 650 & 700 & 1200 \
\hline \text { Ogden } & 1.2 & 450 & 250 & 600 \
\hline \text { Springfield } & 1.4 & 400 & 225 & 825 \
\hline \text { Market } & & & & \
\hline \text { Seattle } & 2.25 & 300 & 50 & 1200 \
\hline \text { Lubbock } & 2.25 & 200 & 450 & 300 \
\hline \text { Nashville } & 2.25 & 500 & 800 & 250 \
\hline \text { Philadelphia } & 2.25 & 500 & 950 & 1100 \
\hline
\end{array}$
-What is the cost to transport 500 tons of material between the Springfield and Seattle locations?

Accepted Answer

A)  $325,000 
B)  $192,500 
C)  $682,500 
D)  $437,500 
A)  $325,000 
B)  $192,500 
C)  $682,500 
D)  $437,500

Question 10

Capacity allocation decisions have a significant impact on supply chain performance because they tend to stay in place for several years.

Accepted Answer

A) True 
 B)False

Question 11

Customer order entry is

Accepted Answer

A)  the point in time when the customer has access to choices and makes a decision regarding a purchase. 
B)  the customer informing the retailer of what they want to purchase and the retailer allocating product to the customer. 
C)  the process where product is prepared and sent to the customer. 
D)  the process where the customer receives the product and takes ownership. 
A)  the point in time when the customer has access to choices and makes a decision regarding a purchase. 
B)  the customer informing the retailer of what they want to purchase and the retailer allocating product to the customer. 
C)  the process where product is prepared and sent to the customer. 
D)  the process where the customer receives the product and takes ownership.

Question 12

Supply chain network design decisions include

Accepted Answer

A)  only the location of manufacturing, storage, or transportation-related facilities. 
B)  only the allocation of capacity and roles to each facility. 
C)  both the location of manufacturing, storage, or transportation-related facilities and the allocation of capacity and roles to each facility. 
D)  neither the location of manufacturing, storage, or transportation-related facilities nor the allocation of capacity and roles to each facility. 
A)  only the location of manufacturing, storage, or transportation-related facilities. 
B)  only the allocation of capacity and roles to each facility. 
C)  both the location of manufacturing, storage, or transportation-related facilities and the allocation of capacity and roles to each facility. 
D)  neither the location of manufacturing, storage, or transportation-related facilities nor the allocation of capacity and roles to each facility.

Question 13

A facility that also has low cost as its primary objective, but its strategic role is broader than that of an offshore facility is

Accepted Answer

A)  an offshore facility. 
B)  a source facility. 
C)  a contributor facility. 
D)  an outpost facility. 
A)  an offshore facility. 
B)  a source facility. 
C)  a contributor facility. 
D)  an outpost facility.

Question 14

Tariffs, economies of scale and aggregate factor costs mostly affect which of the four Global Network Design Decisions?

Accepted Answer

A)  Phase I - Supply Chain Strategy 
B)  Phase II - Regional Facility Configuration 
C)  Phase III - Desirable Sites 
D)  Phase IV - Location Choices 
A)  Phase I - Supply Chain Strategy 
B)  Phase II - Regional Facility Configuration 
C)  Phase III - Desirable Sites 
D)  Phase IV - Location Choices

Question 15

Facility location decisions have a long-term impact on a supply chain's performance because it is cost effective to shut down a facility or move it to a different location.

Accepted Answer

A) True 
 B)False

Question 16

Describe the factors that influence supply chain network design decisions.

Accepted Answer

Strategic Factors. Firms focusing on cos

Question 17

Describe the four phases in the framework for network design decisions.

Accepted Answer

@#LAT-DLM&
The objective of the first phase of net

Question 18

Available infrastructure, skill needs and response time mostly affect which of the four Global Network Design Decisions?

Accepted Answer

A)  Phase I - Supply Chain Strategy 
B)  Phase II - Regional Facility Configuration 
C)  Phase III - Desirable Sites 
D)  Phase IV - Location Choices 
A)  Phase I - Supply Chain Strategy 
B)  Phase II - Regional Facility Configuration 
C)  Phase III - Desirable Sites 
D)  Phase IV - Location Choices

Question 19

The facilities in a supply chain network must

Accepted Answer

A)  at least maximize total logistics cost. 
B)  at least equal the number that maximizes total logistics cost. 
C)  at least equal the number that minimizes total logistics cost. 
D)  at least minimize total logistics cost. 
A)  at least maximize total logistics cost. 
B)  at least equal the number that maximizes total logistics cost. 
C)  at least equal the number that minimizes total logistics cost. 
D)  at least minimize total logistics cost.

Question 20

Supply chain network design decisions classified as market and supply allocation are concerned with

Accepted Answer

A)  what processes are performed at each facility. 
B)  where facilities should be located. 
C)  how much capacity should be allocated to each facility. 
D)  what markets each facility should serve and which supply sources should feed each facility. 
A)  what processes are performed at each facility. 
B)  where facilities should be located. 
C)  how much capacity should be allocated to each facility. 
D)  what markets each facility should serve and which supply sources should feed each facility.

Duties that must be paid when products and/or equipment are moved across international, state, or city boundaries are referred to as

A facility that creates new products, processes, and technologies for the entire network is

Decisions concerning the role of each facility are significant because

Firms focusing on cost leadership tend to

When faced with a network design decision, the goal of a manager is to design a network that minimizes the firm's costs while satisfying customer needs in terms of demand and responsiveness.

Managers making facility location decisions should carefully consider tariffs and tax incentives, because

Firms focusing on cost leadership tend to find the lowest cost location for their manufacturing facilities, but only if that means locating very far from the markets they serve.

Capacity allocation decisions have a significant impact on supply chain performance because they tend to stay in place for several years.

Customer order entry is

Supply chain network design decisions include

A facility that also has low cost as its primary objective, but its strategic role is broader than that of an offshore facility is

Tariffs, economies of scale and aggregate factor costs mostly affect which of the four Global Network Design Decisions?

Facility location decisions have a long-term impact on a supply chain's performance because it is cost effective to shut down a facility or move it to a different location.

Describe the factors that influence supply chain network design decisions.

Describe the four phases in the framework for network design decisions.

Available infrastructure, skill needs and response time mostly affect which of the four Global Network Design Decisions?

The facilities in a supply chain network must

Supply chain network design decisions classified as market and supply allocation are concerned with

Understanding the Supply Chain

Supply Chain Performance: Achieving Strategic Fit and Scope

Supply Chain Drivers and Metrics

Designing Distribution Networks and Applications to e-Business

Designing Global Supply Chain Networks

Demand Forecasting in a Supply Chain

Aggregate Planning in a Supply Chain

Sales and Operations Planning: Planning Supply and Demand in a Supply Chain

Coordination in a Supply Chain

Managing Economies of Scale in the Supply Chain: Cycle Inventory

Managing Uncertainty in a Supply Chain: Safety Inventory

Determining the Optimal Level of Product Availability

Transportation in a Supply Chain

Sourcing Decisions in a Supply Chain

Pricing and Revenue Management in a Supply Chain

Sustainability and the Supply Chain

Filters

Exam 5: Network Design in the Supply Chain

Duties that must be paid when products and/or equipment are moved across international, state, or city boundaries are referred to as

A facility that creates new products, processes, and technologies for the entire network is

Decisions concerning the role of each facility are significant because

Firms focusing on cost leadership tend to

When faced with a network design decision, the goal of a manager is to design a network that minimizes the firm's costs while satisfying customer needs in terms of demand and responsiveness.

Managers making facility location decisions should carefully consider tariffs and tax incentives, because

Firms focusing on cost leadership tend to find the lowest cost location for their manufacturing facilities, but only if that means locating very far from the markets they serve.

Capacity allocation decisions have a significant impact on supply chain performance because they tend to stay in place for several years.

Customer order entry is

Supply chain network design decisions include

A facility that also has low cost as its primary objective, but its strategic role is broader than that of an offshore facility is

Tariffs, economies of scale and aggregate factor costs mostly affect which of the four Global Network Design Decisions?

Facility location decisions have a long-term impact on a supply chain's performance because it is cost effective to shut down a facility or move it to a different location.

Describe the factors that influence supply chain network design decisions.

Describe the four phases in the framework for network design decisions.

Available infrastructure, skill needs and response time mostly affect which of the four Global Network Design Decisions?

The facilities in a supply chain network must

Supply chain network design decisions classified as market and supply allocation are concerned with

Understanding the Supply Chain

Supply Chain Performance: Achieving Strategic Fit and Scope

Supply Chain Drivers and Metrics

Designing Distribution Networks and Applications to e-Business

Designing Global Supply Chain Networks

Demand Forecasting in a Supply Chain

Aggregate Planning in a Supply Chain

Sales and Operations Planning: Planning Supply and Demand in a Supply Chain

Coordination in a Supply Chain

Managing Economies of Scale in the Supply Chain: Cycle Inventory

Managing Uncertainty in a Supply Chain: Safety Inventory

Determining the Optimal Level of Product Availability

Transportation in a Supply Chain

Sourcing Decisions in a Supply Chain

Pricing and Revenue Management in a Supply Chain

Sustainability and the Supply Chain

Filters