Question 1

Revenue-sharing contracts usually result in

Accepted Answer

A) the supply chain producing to consumer demand. 
B) higher cost of returns. 
C) lower retailer profit. 
D) lower retailer effort. 
A) the supply chain producing to consumer demand. 
B) higher cost of returns. 
C) lower retailer profit. 
D) lower retailer effort.

Question 2

Without an intermediary,connecting a thousand sellers to a million buyers requires

Accepted Answer

A) a thousand relationships. 
B) a million relationships. 
C) a billion relationships. 
D) a trillion relationship. 
A) a thousand relationships. 
B) a million relationships. 
C) a billion relationships. 
D) a trillion relationship.

Question 3

Supplier performance should be compared based on

Accepted Answer

A) purchase price alone. 
B) its impact on total cost. 
C) the supplier's quality of material. 
D) the ability of the supplier to coordinate forecasting and planning. 
A) purchase price alone. 
B) its impact on total cost. 
C) the supplier's quality of material. 
D) the ability of the supplier to coordinate forecasting and planning.

Question 4

The goal of procurement is to enable orders to be placed and delivered on schedule at the lowest possible price.

Accepted Answer

A) True 
 B)False

Question 5

A contract that charges the retailer a lower wholesale price but requires the retailer to deposit some portion of their sale price with the manufacturer is a

Accepted Answer

A) buyback or returns contract. 
B) revenue-sharing contract. 
C) quantity flexibility contract. 
D) quantity discount contract. 
A) buyback or returns contract. 
B) revenue-sharing contract. 
C) quantity flexibility contract. 
D) quantity discount contract.

Question 6

It is difficult to quantify the management cost of a good.

Accepted Answer

A) True 
 B)False

Question 7

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 8

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 9

A steady pace of sales throughout any sales period is known as the hockey stick phenomenon.

Accepted Answer

A) True 
 B)False

Question 10

Scenario 15.1 - The Jerk Store
George takes an eclectic mix of spices to make his authentic jerk seasoning as a rub for chicken,pork,and fish.The ingredients and packaging cost $1.50 and he sells the packets by the case to Jerk Stores in the Caribbean for $2.50 per packet.Tourists to the islands gladly pay $8.75 for these packets,eager to host their friends for an authentic Caribbean meal and bore them with vacation photos upon their return.The demand for the packets is normally distributed,with a mean of 2500 packets and a standard deviation of 600.
-If George and a single Jerk Store act as a vertically integrated supply chain,what is the total supply chain expected profit if an optimal order quantity is placed?

Accepted Answer

A) $16,462 
B) $16,571 
C) $16,680 
D) $16,789 
A) $16,462 
B) $16,571 
C) $16,680 
D) $16,789

Question 11

The decision to have a third party perform a supply chain function is called

Accepted Answer

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

Question 12

Scenario 15.2 - The Hilltop
Gregory and his followers scavenge the countryside for anything of value and with minimal investment,make it ready to provide for any customer visiting their compound.Their average investment in a product is $3,and one popular product,body armor,is in high demand.Residents of The Kingdom and Alexandria in particular,are eager to procure The Hilltop's body armor for $65 and sell it to anyone left in the world at an average price of $650.The demand for the body armor is normally distributed,with a mean of 250 units and a standard deviation of 50.
-If Gregory and a single retailer - say Alexandria - act as a vertically integrated supply chain,what is the optimal quantity for Alexandria to order?

Accepted Answer

A) 284 
B) 306 
C) 314 
D) 380 
A) 284 
B) 306 
C) 314 
D) 380

Question 13

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 14

Scenario 15.1 - The Jerk Store
George takes an eclectic mix of spices to make his authentic jerk seasoning as a rub for chicken,pork,and fish.The ingredients and packaging cost $1.50 and he sells the packets by the case to Jerk Stores in the Caribbean for $2.50 per packet.Tourists to the islands gladly pay $8.75 for these packets,eager to host their friends for an authentic Caribbean meal and bore them with vacation photos upon their return.The demand for the packets is normally distributed,with a mean of 2500 packets and a standard deviation of 600.
-If each Jerk Store location is acting independently,what is their expected understock quantity if they order the optimal quantity?

Accepted Answer

A) 89 
B) 95 
C) 101 
D) 107 
A) 89 
B) 95 
C) 101 
D) 107

Revenue-sharing contracts usually result in

Without an intermediary,connecting a thousand sellers to a million buyers requires

Supplier performance should be compared based on

The goal of procurement is to enable orders to be placed and delivered on schedule at the lowest possible price.

A contract that charges the retailer a lower wholesale price but requires the retailer to deposit some portion of their sale price with the manufacturer is a

It is difficult to quantify the management cost of a good.

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

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

A steady pace of sales throughout any sales period is known as the hockey stick phenomenon.

The decision to have a third party perform a supply chain function is called

The viability of suppliers is especially important for suppliers who

Understanding the Supply Chain

Achieving Strategic Fit in a Supply Chain

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

Coordination in a Supply Chain

Managing Economies of Scale in a Supply Chain: Cycle Inventory

Managing Uncertainty in a Supply Chain: Safety Inventory

Linking Product Availability to Profits

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

Revenue-sharing contracts usually result in

Without an intermediary,connecting a thousand sellers to a million buyers requires

Supplier performance should be compared based on

The goal of procurement is to enable orders to be placed and delivered on schedule at the lowest possible price.

A contract that charges the retailer a lower wholesale price but requires the retailer to deposit some portion of their sale price with the manufacturer is a

It is difficult to quantify the management cost of a good.

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

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

A steady pace of sales throughout any sales period is known as the hockey stick phenomenon.

The decision to have a third party perform a supply chain function is called

The viability of suppliers is especially important for suppliers who

Understanding the Supply Chain

Achieving Strategic Fit in a Supply Chain

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

Coordination in a Supply Chain

Managing Economies of Scale in a Supply Chain: Cycle Inventory

Managing Uncertainty in a Supply Chain: Safety Inventory

Linking Product Availability to Profits

Transportation in a Supply Chain

Pricing and Revenue Management in a Supply Chain

Sustainability and the Supply Chain

Filters