Question 1

Which of the following is an advantage of retail storage with customer pickup?

Accepted Answer

A) Inventory cost is higher than all other options. 
B) Transportation cost is lower than all other options. 
C) Facilities and handling costs are higher than other options. 
D) Product variety is lower than all other options.

Question 2

Which distribution network design is similar to pure drop-shipping,except that pieces of the order coming from different locations are combined so that the customer gets a single delivery?

Accepted Answer

A) Manufacturer storage with direct shipping 
B) Manufacturer storage with direct shipping and in-transit merge 
C) Distributor storage with package carrier delivery 
D) Distributor storage with manufacturer pickup

Question 3

Total logistics costs are the sum of inventory,transportation,and facility costs for a supply chain network.What occurs as the number of facilities increases?

Accepted Answer

The answer of Total logistics costs are the sum of...

Question 4

Omni-channel retailing refers to an interaction between a customer and a retailer in terms of three flows -information,product and funds.

Accepted Answer

A) True 
 B)False

Question 5

Improvement in supply chain performance as a result of distributors occurs for which of the following reasons?

Accepted Answer

A) Reduction in transportation cost because of LTL shipments from manufacturers to distributor. 
B) Reduction in outbound transportation cost because the distributor combines products from many customers into a single outbound shipment. 
C) Reduction in inventory costs because distributor disaggregates safety inventory rather than aggregating at each retailer. 
D) A more stable order stream from distributor to manufacturer (compared to erratic orders from each retailer)allows manufacturers to lower cost by planning production more effectively.

Question 6

What type of distribution network is shown in this diagram?

Accepted Answer

A) Distributor storage with carrier delivery 
B) Manufacturer/distributor storage with customer pickup 
C) Distributor storage with last-mile delivery 
D) Manufacturer storage with direct shipping

Question 7

Which of the following is a disadvantage of distributor storage with last mile delivery?

Accepted Answer

A) Transportation cost is higher than any other distribution option. 
B) Information cost is similar to distributor storage with package carrier delivery. 
C) Customer experience is very good,particularly for bulky items. 
D) Returnability is easier to implement than other options.

Question 8

Figure 1: Consider the four quadrant depiction of the alternatives in omni-channel retail.
 
-In Figure 1,what type of shopping experience is found in Quadrant C?

Accepted Answer

A) Most furniture stores 
B) Amazon.com 
C) Traditional retail 
D) Grocery industry in the U.K.and Walmart in the U.S.

Question 9

Distribution is a key driver of the overall profitability of a firm because

Accepted Answer

A) the addition of distributors only adds cost to the supply chain. 
B) it directly impacts both the supply chain cost and the customer experience. 
C) it slows down the responsiveness of the supply chain. 
D) it cannot be developed as a part of supply chain strategy.

Question 10

A well-structured omni-channel supply chain can be both cost effective and responsive to customer needs.

Accepted Answer

A) True 
 B)False

Question 11

The ease with which a supplier can take delivery of product a customer is dissatisfied with is

Accepted Answer

A) order visibility. 
B) time to market. 
C) product returnability. 
D) response time.

Question 12

Consumers prefer purchasing commoditized products at a one-stop shop.

Accepted Answer

A) True 
 B)False

Question 13

Distributors add value to a supply chain between a supply stage and a customer stage

Accepted Answer

A) if there is a small number of customers requiring a large amount of product. 
B) if there is a large number of customers requiring a large amount of product. 
C) if there are many small players at the customer stage,each requiring a small amount of the product at a time. 
D) if there are a few large players at the customer stage,each requiring a large amount of the product at a time.

Question 14

The number of different products/configurations that a customer desires from the distribution network is

Accepted Answer

A) response time. 
B) product variety. 
C) product availability. 
D) customer experience.

Question 15

Which of these statements about distribution networks is best?

Accepted Answer

A) A manufacturer that owns their own distribution network cannot control the network's actions. 
B) Customers are willing to have a relationship built around high value,specialized products. 
C) Distribution networks that have identical physical flows but different ownership structures have identical performance. 
D) It is important to have static distribution networks.

Question 16

Outbound transportation costs per unit tend to be lower than inbound costs,because inbound lot sizes are typically larger.

Accepted Answer

A) True 
 B)False

Question 17

________ is a service factor performance characteristic of Manufacturer or Distributor Storage with Customer Pickup that is lower than other options because of the lack of home delivery.Experience is very sensitive to capability of pickup location.

Accepted Answer

A) Response time 
B) Product variety 
C) Customer experience 
D) Time to market

Question 18

Companies in the same industry often select very different distribution networks,because the choice of the distribution network can be used to achieve a variety of supply chain objectives ranging from low cost to high responsiveness.

Accepted Answer

A) True 
 B)False

Question 19

Which of the following is a disadvantage of retail storage with customer pickup?

Accepted Answer

A) Returnability is easier than other options given that pickup location can handle returns. 
B) Inventory cost is higher than all other options. 
C) Transportation cost is lower than all other options. 
D) Facilities and handling costs are lower than other options.

Question 20

Which of the following is an advantage of distributor storage with carrier delivery?

Accepted Answer

A) Inventory cost is higher than with manufacturer storage. 
B) Product variety is lower than with manufacturer storage. 
C) Order visibility for the customer is easier than with manufacturer storage. 
D) Higher cost to provide the same level of product availability as manufacturer storage.

Exam 4: Designing Distribution Networks and Applications to E-Business

Which of the following is an advantage of retail storage with customer pickup?

Which distribution network design is similar to pure drop-shipping,except that pieces of the order coming from different locations are combined so that the customer gets a single delivery?

Total logistics costs are the sum of inventory,transportation,and facility costs for a supply chain network.What occurs as the number of facilities increases?

Omni-channel retailing refers to an interaction between a customer and a retailer in terms of three flows -information,product and funds.

Improvement in supply chain performance as a result of distributors occurs for which of the following reasons?

What type of distribution network is shown in this diagram?

Which of the following is a disadvantage of distributor storage with last mile delivery?

Figure 1: Consider the four quadrant depiction of the alternatives in omni-channel retail. -In Figure 1,what type of shopping experience is found in Quadrant C?

Distribution is a key driver of the overall profitability of a firm because

A well-structured omni-channel supply chain can be both cost effective and responsive to customer needs.

The ease with which a supplier can take delivery of product a customer is dissatisfied with is

Consumers prefer purchasing commoditized products at a one-stop shop.

Distributors add value to a supply chain between a supply stage and a customer stage

The number of different products/configurations that a customer desires from the distribution network is

Which of these statements about distribution networks is best?

Outbound transportation costs per unit tend to be lower than inbound costs,because inbound lot sizes are typically larger.

________ is a service factor performance characteristic of Manufacturer or Distributor Storage with Customer Pickup that is lower than other options because of the lack of home delivery.Experience is very sensitive to capability of pickup location.

Companies in the same industry often select very different distribution networks,because the choice of the distribution network can be used to achieve a variety of supply chain objectives ranging from low cost to high responsiveness.

Which of the following is a disadvantage of retail storage with customer pickup?

Which of the following is an advantage of distributor storage with carrier delivery?