Question 1

Which of the following would NOT be considered (in addition to delivery speed)when choosing a mode of transportation?

Accepted Answer

A) on-time delivery 
B) coordinating shipments to maintain a schedule 
C) getting new products to market 
D) keeping a customer happy 
E) All of the above may be considered. 
A) on-time delivery 
B) coordinating shipments to maintain a schedule 
C) getting new products to market 
D) keeping a customer happy 
E) All of the above may be considered.

Question 2

Which of the following elements of the factor weighting technique in supplier selection analysis does NOT contain a certain degree of subjectivity?

Accepted Answer

A) the formula used to calculate the total weighted score for each supplier 
B) the weights applied to each supplier criterion 
C) the scores for each potential supplier on each criterion 
D) the set of supplier criteria 
E) the numerical scale used to rate suppliers 
A) the formula used to calculate the total weighted score for each supplier 
B) the weights applied to each supplier criterion 
C) the scores for each potential supplier on each criterion 
D) the set of supplier criteria 
E) the numerical scale used to rate suppliers

Question 3

Under the disaster risk decision tree model,which of the following conditions would create the HIGHEST incentive to use MORE suppliers?

Accepted Answer

A) lower S,lower U 
B) lower S,higher U 
C) higher S,lower U 
D) higher S,higher U 
E) higher S,higher U,higher C 
A) lower S,lower U 
B) lower S,higher U 
C) higher S,lower U 
D) higher S,higher U 
E) higher S,higher U,higher C

Question 4

Describe how the U.S.Cash for Clunkers program unintentionally contributed to the bullwhip effect in the automobile industry.

Accepted Answer

In an effort to stimulate the economy an

Question 5

The overarching solution to the bullwhip effect is simply for supply chain members to share information and work together.

Accepted Answer

A) True 
 B)False

Question 6

Suppose that the manager of a company has estimated the probability of a super-event sometime during the next three years that will disrupt all suppliers as 2%.In addition,the firm currently uses four suppliers for its main component,and the manager estimates the probability of a unique-event that would disrupt one of them sometime during the next three years to be 20%.Supplier management costs during this period are $50,000 per supplier.The financial cost incurred if all four suppliers are disrupted at the same time is estimated to be $10,000,000.What is the expected monetary value (cost)of the current supplier diversification arrangement?

Accepted Answer

A) $412,800 
B) $415,680 
C) $10,200,000 
D) $215,680 
E) $8,240,000 
A) $412,800 
B) $415,680 
C) $10,200,000 
D) $215,680 
E) $8,240,000

Question 7

A shipment of parts valued at $75,000 needs to be shipped from Tampa,FL,to Chicago,IL.They could be shipped by rail,taking 15 days at a cost of $1,575,or by truck,taking 4 days at a cost of $2,640.The annual holding cost rate for this type of item has been estimated at 22%.What option is more economical?

Accepted Answer

Daily cost of holding the item is .22(75

Question 8

What technique does the text use to determine the best number of suppliers to manage disaster risk?

Accepted Answer

A) linear programming 
B) factor weighting technique 
C) transportation model 
D) decision tree 
E) simulation 
A) linear programming 
B) factor weighting technique 
C) transportation model 
D) decision tree 
E) simulation

Question 9

The bullwhip effect can occur when orders decrease as well as when they increase.

Accepted Answer

A) True 
 B)False

Question 10

Briefly describe how to conduct the factor weighting approach to supplier evaluation.

Accepted Answer

The factor weighting technique simultane

Question 11

Which of the following is NOT an element of the disaster risk decision tree model?

Accepted Answer

A) the buyer's financial loss incurred in a supply cycle if supplier i were disrupted 
B) the marginal cost of managing a supplier 
C) the buyer's financial loss incurred in a supply cycle if all suppliers were disrupted 
D) the probability of a "super-event" that would disrupt all suppliers simultaneously 
E) the probability of a "unique-event" that would disrupt only one supplier 
A) the buyer's financial loss incurred in a supply cycle if supplier i were disrupted 
B) the marginal cost of managing a supplier 
C) the buyer's financial loss incurred in a supply cycle if all suppliers were disrupted 
D) the probability of a "super-event" that would disrupt all suppliers simultaneously 
E) the probability of a "unique-event" that would disrupt only one supplier

Question 12

What value of the bullwhip measure would indicate that the bullwhip effect exists?

Accepted Answer

A) greater than 1 
B) greater than 0 
C) less than 0 
D) less than 1 
E) 1 
A) greater than 1 
B) greater than 0 
C) less than 0 
D) less than 1 
E) 1

Question 13

A bullwhip measure value greater than zero indicates that the bullwhip effect exists.

Accepted Answer

A) True 
 B)False

Question 14

Consider the disaster risk decision tree model.
(a)Derive a formula to represent the amount that the probability of all suppliers being disrupted simultaneously,P(n),will increase if the super-event probability S is doubled.
(b)Test your formula by computing the amount of increase if the original S equals 1% and there are two suppliers,each with U = 4%.

Accepted Answer

(a)Formula (S11 - 1)can be rewritten as:

Question 15

Unfortunately,not many supply chain metrics exist that can be effectively used to evaluate performance within a company and for its supply chain partners.

Accepted Answer

A) True 
 B)False

Question 16

Suppose that the manager of a company has estimated the probability of a super-event sometime during the next five years that will disrupt all suppliers as 0.23%.In addition,the firm currently uses three suppliers for its main component,and the manager estimates the probability of a unique-event that would disrupt one of them sometime during the next five years to be 1.4%.What is the probability that all three suppliers will be disrupted at the same time at some point during the next five years?

Accepted Answer

A) 4.4203% 
B) 0.2300% 
C) 4.4300% 
D) 0.2297% 
E) 0.2303% 
A) 4.4203% 
B) 0.2300% 
C) 4.4300% 
D) 0.2297% 
E) 0.2303%

Question 17

Suppose that a firm incurs a demand variance of 400 units per week,and the variance of orders that it places equals 750 per week.What is the value of the bullwhip measure for this company?

Accepted Answer

Variance of orders /

Question 18

The ________ model adds objectivity to decision making when selecting suppliers.

Accepted Answer

The answer of The ________ model adds objectivity to decision...

Question 19

Suzy Jones is trying to decide whether to use one or two suppliers for the motors than go into the chain saws that her company produces.She wants to use local suppliers because her firm runs a JIT operation.Her factory is located in a coastal town that is prone to hurricanes.She estimates that the probability in any year of a "super-event" that might shut down all suppliers at the same time for at least two weeks is 5%.Such a total shutdown would cost the company approximately $100,000.She estimates the "unique-event" risk for any of the suppliers to be 10%.Assuming that the marginal cost of managing an additional supplier is $12,000 per year,should Suzy use one or two suppliers?

Accepted Answer

S = 0.05,U = 0.10,L = $100,000,C = $12,0

Question 20

For the disaster risk decision tree model,explain why an increase in S and an increase in U have the opposite impact on the choice of how many suppliers to use.What is the implication of these two phenomena taken together?

Accepted Answer

From formula (S11-1),we notice that when

Exam 21: Supply Chain Management Analytics

Which of the following would NOT be considered (in addition to delivery speed)when choosing a mode of transportation?

Which of the following elements of the factor weighting technique in supplier selection analysis does NOT contain a certain degree of subjectivity?

Under the disaster risk decision tree model,which of the following conditions would create the HIGHEST incentive to use MORE suppliers?

Describe how the U.S.Cash for Clunkers program unintentionally contributed to the bullwhip effect in the automobile industry.

The overarching solution to the bullwhip effect is simply for supply chain members to share information and work together.

What technique does the text use to determine the best number of suppliers to manage disaster risk?

The bullwhip effect can occur when orders decrease as well as when they increase.

Briefly describe how to conduct the factor weighting approach to supplier evaluation.

Which of the following is NOT an element of the disaster risk decision tree model?

What value of the bullwhip measure would indicate that the bullwhip effect exists?

A bullwhip measure value greater than zero indicates that the bullwhip effect exists.

Unfortunately,not many supply chain metrics exist that can be effectively used to evaluate performance within a company and for its supply chain partners.

Suppose that a firm incurs a demand variance of 400 units per week,and the variance of orders that it places equals 750 per week.What is the value of the bullwhip measure for this company?

The ________ model adds objectivity to decision making when selecting suppliers.

For the disaster risk decision tree model,explain why an increase in S and an increase in U have the opposite impact on the choice of how many suppliers to use.What is the implication of these two phenomena taken together?

Operations and Productivity

Operations Strategy in a Global Environment

Project Management

Forecasting

Design of Goods and Services

Managing Quality

Process Strategy

Capacity and Constraint Management

Location Strategies

Layout Strategies

Human Resources, job Design, and Work Measurement

Supply Chain Management

Inventory Management

Aggregate Planning and Sop

Material Requirements Planning Mrpand Erp

Short-Term Scheduling

Jit, tps, and Lean Operations

Maintenance and Reliability

Sustainability in the Supply Chain

Statistical Process Control

Decision-Making Tools

Linear Programming

Transportation Models

Waiting-Line Models

Learning Curves

Simulation

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