Exam 12: Supply Chain Design

An efficient supply chain should be preferred when:

Channel assembly is the process of using members of the distribution channel as if they were assembly stations in the factory.

A responsive supply chain typically has:

What are some financial measures of supply chain performance? Which one is the most important and why?

________ is an inventory measure obtained by dividing the average aggregate inventory value by sales per week at cost.

Figure 10-1 This figure represents the impact of supply chain performance on total costs. -Refer to Figure 10-1.The movement from point A to point B indicates the:

When a customer orders an item that is a completely new and different product,the company's supply chain must be able to deliver an item that is ________-to-order.

The objective of a firm in a responsive supply chain is likely to be realized if it has a:

The purpose of supply chain design is to shape a firm's supply chain to meet the competitive priorities of its operations strategies.

Scenario 12.2 SAGE Inc.receives too many applications each year for the Global MBA program so they turn to their network of partners for assistance.Nothing in this world is free,of course,so their partners provide quotes that include a per student cost as well as a facilities cost that SAGE would pay regardless of the number of students they sent there.The costs in Rupees (₹)are elegantly summarized in the table below. -Use Scenario 12.2 to answer the question.Which student makes England a more attractive option than Wisconsin for SAGE?

________,the annual sales at cost divided by the average aggregate inventory value,is the number of times a year that a firm completely replenishes its inventory.

Discuss the major differences between supply chains for services and manufacturing.Which supply chain is easier to coordinate effectively?

________ is the synchronization of a firm's process with those of its suppliers and customers to match flow of materials,services and information with demand.

Responsive supply chains work best when frequent product introduction exists.

There was no reason to build a new call center and hire hundreds of customer service representatives when there were perfectly viable options thousands of miles away.Hence,the company decided to ________ this process.

Which of the following is not a benefit of outsourcing?

It is desirable for a firm in a responsive supply chain to have:

Shipments of Product Q from a plant to a wholesaler are made in lots of 400.The wholesaler's average demand for Q is 150 units per week.Lead time from plant to wholesaler is 5 weeks.The wholesaler pays for the shipments when they leave the plant.The plant has proposed several new lead time and lot size options to the wholesaler (see table below).If the wholesaler's goal is to minimize total cycle plus pipeline inventories,which option should the wholesaler select?

________ is the process of using members of the distribution channel as if they were assembly stations in the factory.

Champion Cooling Company remanufactures window air conditioners during the off-season months for sales during the scorching months of June,July,and August in the Oklahoma City area.Their average inventory of air conditioners is shown in the following table.The company operates 50 weeks a year and has average weekly sales of $3,750 and expects to sell $135,000 worth of product in a year. a.What is their average aggregate inventory value? b.What is their total inventory (measured as weeks of supply)? c.What is their inventory turnover?