Question 1

One of the major reasons for a company to adopt third-party logistics is to concentrate on one's core business.

Accepted Answer

A) True 
 B)False

Question 2

Gatekeeping contracts with 3PLs to minimize the cost of shipping returned goods.

Accepted Answer

A) True 
 B)False

Question 3

Vendor analysis is the process that evaluates the source of supply in terms of price, quality, reputation, and service.

Accepted Answer

A) True 
 B)False

Question 4

Delayed differentiation is a means of increasing product variety without building the customized product from scratch or keeping large inventories of custom products.

Accepted Answer

A) True 
 B)False

Question 5

One important role of purchasing is to:

Accepted Answer

A)  set quality standards for purchased items from suppliers. 
B)  be knowledgeable about new products from suppliers. 
C)  maintain numerous sources of supply. 
D)  obtain the lowest prices on all purchased items. 
E)  determine the processes that should be used by suppliers. 
A)  set quality standards for purchased items from suppliers. 
B)  be knowledgeable about new products from suppliers. 
C)  maintain numerous sources of supply. 
D)  obtain the lowest prices on all purchased items. 
E)  determine the processes that should be used by suppliers.

Question 6

Outsourcing logistics gives a company less flexibility because it forces them to focus more on core businesses.

Accepted Answer

A) True 
 B)False

Question 7

Scheduling operations and shipping are operational responsibilities in supply chain management.

Accepted Answer

A) True 
 B)False

Question 8

Which of the following is not true of vendor analysis?

Accepted Answer

A)  It involves an examination of the function of purchased parts or raw materials. 
B)  Its purpose is to reduce costs and/or improve performance of purchased goods or services. 
C)  It is usually performed only periodically. 
D)  Representatives from design and operations may work with purchasing. 
E)  If improvements are identified, purchasing implements those that purchasing agrees are justified. 
A)  It involves an examination of the function of purchased parts or raw materials. 
B)  Its purpose is to reduce costs and/or improve performance of purchased goods or services. 
C)  It is usually performed only periodically. 
D)  Representatives from design and operations may work with purchasing. 
E)  If improvements are identified, purchasing implements those that purchasing agrees are justified.

Question 9

The optimization of the supply chain uses a mathematical model to determine the optimal number of business organizations to be included in the chain.

Accepted Answer

A) True 
 B)False

Question 10

A given inventory item has a per-year holding cost of $500. One method of shipping this item is three days faster than the other, but it is $2.50 more per unit. Using the slower method would be __________ more expensive overall than using the faster method.

Accepted Answer

A)  $1.08 
B)  $1.16 
C)  $2.37 
D)  $2.73 
E)  $1.61 
A)  $1.08 
B)  $1.16 
C)  $2.37 
D)  $2.73 
E)  $1.61

Question 11

The design of the supply chain and establishing partnerships with vendors and distributors are examples of operational issues in a supply chain.

Accepted Answer

A) True 
 B)False

Question 12

After outsourcing to global suppliers, __________ is not simple.

Accepted Answer

A)  integration 
B)  unionization 
C)  back-shoring 
D)  computerization 
E)  just-in-time 
A)  integration 
B)  unionization 
C)  back-shoring 
D)  computerization 
E)  just-in-time

Question 13

A 30 percent reduction in product and service variety will not affect the efficiency of a supply chain.

Accepted Answer

A) True 
 B)False

Question 14

An advantage of decentralized purchasing is the attention given to local needs.

Accepted Answer

A) True 
 B)False

Question 15

Vendor analysis examines the function of purchased parts and materials with a view toward improvement or cost reduction.

Accepted Answer

A) True 
 B)False

Question 16

It is especially the case for small businesses that closer interactions and increased agility make __________ relatively more attractive.

Accepted Answer

A)  domestic suppliers 
B)  centralized purchasing 
C)  global suppliers 
D)  decentralized purchasing 
E)  risk transfer 
A)  domestic suppliers 
B)  centralized purchasing 
C)  global suppliers 
D)  decentralized purchasing 
E)  risk transfer

Question 17

To avoid temporary storage in a warehouse, cross-docking can be used.

Accepted Answer

A) True 
 B)False

Question 18

One disadvantage to RFID is that it requires a clear "line of sight" to operate.

Accepted Answer

A) True 
 B)False

Question 19

The goal of supply chain management is to synchronize supply and demand of all of the organizations that are part of the chain.

Accepted Answer

A) True 
 B)False

Question 20

The service function of purchasing interfaces with many areas, including legal, accounting, and engineering functions.

Accepted Answer

A) True 
 B)False

Exam 21: Supply Chain Management

One of the major reasons for a company to adopt third-party logistics is to concentrate on one's core business.

Gatekeeping contracts with 3PLs to minimize the cost of shipping returned goods.

Vendor analysis is the process that evaluates the source of supply in terms of price, quality, reputation, and service.

Delayed differentiation is a means of increasing product variety without building the customized product from scratch or keeping large inventories of custom products.

One important role of purchasing is to:

Outsourcing logistics gives a company less flexibility because it forces them to focus more on core businesses.

Scheduling operations and shipping are operational responsibilities in supply chain management.

Which of the following is not true of vendor analysis?

The optimization of the supply chain uses a mathematical model to determine the optimal number of business organizations to be included in the chain.

A given inventory item has a per-year holding cost of $500. One method of shipping this item is three days faster than the other, but it is $2.50 more per unit. Using the slower method would be __________ more expensive overall than using the faster method.

The design of the supply chain and establishing partnerships with vendors and distributors are examples of operational issues in a supply chain.

After outsourcing to global suppliers, __________ is not simple.

A 30 percent reduction in product and service variety will not affect the efficiency of a supply chain.

An advantage of decentralized purchasing is the attention given to local needs.

Vendor analysis examines the function of purchased parts and materials with a view toward improvement or cost reduction.

It is especially the case for small businesses that closer interactions and increased agility make __________ relatively more attractive.

To avoid temporary storage in a warehouse, cross-docking can be used.

One disadvantage to RFID is that it requires a clear "line of sight" to operate.

The goal of supply chain management is to synchronize supply and demand of all of the organizations that are part of the chain.

The service function of purchasing interfaces with many areas, including legal, accounting, and engineering functions.

Introduction to Operations Management

Competitiveness

Forecasting

Product and Service Design

RELIABILITY – Static

Strategic Capacity Planning for Products and Services

Decision Theory– Static

Process Selection and Facility Layout

Work Design and Measurement

learning curve– Static

Location Planning and Analysis

The Transportation Model– Static

Management of Quality

Quality Control

Acceptance Sampling– Static

Aggregate Planning and Master Scheduling

MRP and ERP

Inventory Management

JIT and Lean Operations

Maintenance– Static

Scheduling

Project Management

Management of Waiting Lines

Linear Programming

Filters