Question 1

Design collaboration ensures that any design changes are communicated effectively to all parties involved with designing and manufacturing the product.

Accepted Answer

A) True 
 B)False

Question 2

Sales efforts and orders peak near the end of any month, quarter, or other evaluation period. This is commonly referred to as

Accepted Answer

A)  the hockey stick phenomenon. 
B)  the student syndrome. 
C)  Murphy's Law. 
D)  the Central Limit Theorem. 
A)  the hockey stick phenomenon. 
B)  the student syndrome. 
C)  Murphy's Law. 
D)  the Central Limit Theorem.

Question 3

Supplier performance analysis should be used to build a portfolio of suppliers with similar strengths.

Accepted Answer

A) True 
 B)False

Question 4

Scoring the performance of suppliers in terms of replenishment lead time thus allows the firm to evaluate the impact each supplier has on

Accepted Answer

A)  the cost of holding cycle inventory. 
B)  the cost of holding replacement inventory. 
C)  the purchase price of material. 
D)  the cost of holding safety inventory. 
A)  the cost of holding cycle inventory. 
B)  the cost of holding replacement inventory. 
C)  the purchase price of material. 
D)  the cost of holding safety inventory.

Question 5

W.W. Grainger and McMaster Carr stock products from more than a thousand manufacturers each to sell to hundreds of thousands of customers and are sterling examples of

Accepted Answer

A)  transportation aggregation by transportation intermediaries. 
B)  inventory aggregation. 
C)  warehouse aggregation. 
D)  transportation aggregation by storage intermediaries. 
A)  transportation aggregation by transportation intermediaries. 
B)  inventory aggregation. 
C)  warehouse aggregation. 
D)  transportation aggregation by storage intermediaries.

Question 6

Good design collaboration for manufacturability and supply chain can

Accepted Answer

A)  reduce product cost. 
B)  increase required inventories. 
C)  increase transportation cost. 
D)  decrease manufacturability. 
A)  reduce product cost. 
B)  increase required inventories. 
C)  increase transportation cost. 
D)  decrease manufacturability.

Question 7

Sourcing processes include the selection of suppliers, design of supplier contracts, product design collaboration, procurement of material, and evaluation of supplier performance.

Accepted Answer

A) True 
 B)False

Question 8

Why should replenishment lead time be considered in supplier selection decisions?

Accepted Answer

As the replenishment lead time from a su

Question 9

An third party can increase the supply chain surplus if it has a lower collection cost than the firm. This is called

Accepted Answer

A)  receivables aggregation. 
B)  procurement aggregation. 
C)  information aggregation. 
D)  relationship aggregation. 
A)  receivables aggregation. 
B)  procurement aggregation. 
C)  information aggregation. 
D)  relationship aggregation.

Question 10

Which contract increases the margin for the dealer as sales cross certain levels?

Accepted Answer

A)  Buyback or returns contract 
B)  Revenue-sharing contract 
C)  Quantity flexibility contract 
D)  Threshold contract 
A)  Buyback or returns contract 
B)  Revenue-sharing contract 
C)  Quantity flexibility contract 
D)  Threshold contract

Question 11

The viability of suppliers is especially important for suppliers who

Accepted Answer

A)  provide mission-critical products that would be easy to replace. 
B)  provide mission-critical products that would be difficult to replace. 
C)  provide non-critical products that would be difficult to replace. 
D)  provide non-critical products that would be easy to replace. 
A)  provide mission-critical products that would be easy to replace. 
B)  provide mission-critical products that would be difficult to replace. 
C)  provide non-critical products that would be difficult to replace. 
D)  provide non-critical products that would be easy to replace.

Question 12

The decision to move a production facility outside of domestic boundaries and still maintain ownership is called

Accepted Answer

A)  insourcing. 
B)  outsourcing. 
C)  offshoring. 
D)  onshoring. 
A)  insourcing. 
B)  outsourcing. 
C)  offshoring. 
D)  onshoring.

Question 13

Price has traditionally been the only dimension that suppliers have been compared on during the process of

Accepted Answer

A)  procurement. 
B)  sourcing. 
C)  supplier scoring and assessment. 
D)  supplier selection. 
A)  procurement. 
B)  sourcing. 
C)  supplier scoring and assessment. 
D)  supplier selection.

Question 14

The role of sourcing planning and analysis is

Accepted Answer

A)  to analyze spending across various suppliers and component categories to identify opportunities for decreasing the total cost. 
B)  to analyze spending across various suppliers and component categories to identify opportunities for increasing the total cost. 
C)  to enable orders to be placed and delivered on schedule at the lowest possible overall cost. 
D)  to enable orders to be placed and delivered on schedule regardless of cost. 
A)  to analyze spending across various suppliers and component categories to identify opportunities for decreasing the total cost. 
B)  to analyze spending across various suppliers and component categories to identify opportunities for increasing the total cost. 
C)  to enable orders to be placed and delivered on schedule at the lowest possible overall cost. 
D)  to enable orders to be placed and delivered on schedule regardless of cost.

Question 15

The procurement process for direct materials should focus on

Accepted Answer

A)  improving coordination and visibility with the supplier. 
B)  decreasing the transaction cost for each order. 
C)  consolidation of orders to take advantage of economies of scale and quantity discounts. 
D)  minimizing communication with the supplier. 
A)  improving coordination and visibility with the supplier. 
B)  decreasing the transaction cost for each order. 
C)  consolidation of orders to take advantage of economies of scale and quantity discounts. 
D)  minimizing communication with the supplier.

Question 16

Quantity discounts lower the unit cost and tend to increase the required batch size.

Accepted Answer

A) True 
 B)False

Question 17

Buyback contracts counter double marginalization by lowering the cost of overstocking for the retailer.

Accepted Answer

A) True 
 B)False

Design collaboration ensures that any design changes are communicated effectively to all parties involved with designing and manufacturing the product.

Sales efforts and orders peak near the end of any month, quarter, or other evaluation period. This is commonly referred to as

Supplier performance analysis should be used to build a portfolio of suppliers with similar strengths.

Scoring the performance of suppliers in terms of replenishment lead time thus allows the firm to evaluate the impact each supplier has on

W.W. Grainger and McMaster Carr stock products from more than a thousand manufacturers each to sell to hundreds of thousands of customers and are sterling examples of

Good design collaboration for manufacturability and supply chain can

Sourcing processes include the selection of suppliers, design of supplier contracts, product design collaboration, procurement of material, and evaluation of supplier performance.

Why should replenishment lead time be considered in supplier selection decisions?

An third party can increase the supply chain surplus if it has a lower collection cost than the firm. This is called

Which contract increases the margin for the dealer as sales cross certain levels?

The viability of suppliers is especially important for suppliers who

The decision to move a production facility outside of domestic boundaries and still maintain ownership is called

Price has traditionally been the only dimension that suppliers have been compared on during the process of

The role of sourcing planning and analysis is

The procurement process for direct materials should focus on

Quantity discounts lower the unit cost and tend to increase the required batch size.

Buyback contracts counter double marginalization by lowering the cost of overstocking for the retailer.

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

Network Design in the Supply Chain

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

Pricing and Revenue Management in a Supply Chain

Sustainability and the Supply Chain

Filters

Exam 15: Sourcing Decisions in a Supply Chain

Design collaboration ensures that any design changes are communicated effectively to all parties involved with designing and manufacturing the product.

Sales efforts and orders peak near the end of any month, quarter, or other evaluation period. This is commonly referred to as

Supplier performance analysis should be used to build a portfolio of suppliers with similar strengths.

Scoring the performance of suppliers in terms of replenishment lead time thus allows the firm to evaluate the impact each supplier has on

W.W. Grainger and McMaster Carr stock products from more than a thousand manufacturers each to sell to hundreds of thousands of customers and are sterling examples of

Good design collaboration for manufacturability and supply chain can

Sourcing processes include the selection of suppliers, design of supplier contracts, product design collaboration, procurement of material, and evaluation of supplier performance.

Why should replenishment lead time be considered in supplier selection decisions?

An third party can increase the supply chain surplus if it has a lower collection cost than the firm. This is called

Which contract increases the margin for the dealer as sales cross certain levels?

The viability of suppliers is especially important for suppliers who

The decision to move a production facility outside of domestic boundaries and still maintain ownership is called

Price has traditionally been the only dimension that suppliers have been compared on during the process of

The role of sourcing planning and analysis is

The procurement process for direct materials should focus on

Quantity discounts lower the unit cost and tend to increase the required batch size.

Buyback contracts counter double marginalization by lowering the cost of overstocking for the retailer.

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

Network Design in the Supply Chain

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

Pricing and Revenue Management in a Supply Chain

Sustainability and the Supply Chain

Filters