Exam 13: Supply-Chain Management

Toyota's policy of having two suppliers per component after its experience with fire and earthquakes is similar to Hark Rock Café's franchising in societies that have significant cultural or environmental barriers because

The objective of the make-or-buy decision is to help identify the products and services that can be obtained externally.

The __________ is an organization that has published principles and standards for ethical supply management conduct.

Which of the following is an aspect of environmental risk in supply-chain management?

Operations managers are finding online auctions a fertile area for disposing of discontinued inventory

What opportunities exist for reducing the "bullwhip" effect, and improving the supply chain?

Waterways are an attractive distribution system when speed is more important than shipping cost.

A carpet manufacturer has delivered carpet directly to the end consumer rather than to the carpet dealer. The carpet manufacturer is practicing

Which of the following statements is true regarding the leverage of supply-chain savings?

Even though a firm may have a low cost strategy, supply-chain strategy can select suppliers primarily on response or differentiation.

A disadvantage of the "few suppliers" strategy is

A regional grocery chain spends 70 percent of its sales in the supply chain, and has a net profit margin of 2 percent. They have just initiated an Internet-based inventory management program that is expected to save the chain $500,000 per year. What is the equivalent increase in sales to this saving? Use Table 11.3, reproduced below.

The supply chain for a brewery would include raw ingredients such as hops and barley but not the manufactured goods such as bottles and cans.

A firm that employs a "response strategy" should minimize inventory throughout the supply chain.

__________ involves reducing the number of variations in materials and components as an aid to cost management.

A grocery store is trying to find a new vendor for carrots. Its three criteria are 1. Freshness, 2. Lot Size, and 3. Cost with factor weights of .6, .1, and .3 respectively. What would a vendor with ratings of 6, 8, and 10 in the three respective categories score as a weighted total?

The __________ decision involves choosing between producing a component or a service internally and purchasing it externally.

What is the average capacity utilization in the motor carrier (trucking) industry?

Which of the following supply-chain strategies creates value by allowing suppliers to have economies of scale?

Which of the following is not a condition that favors the success of vertical integration?