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NEW QUESTION 1
The best way to manage a business relationship is to measure performance to:
- A. cost of ownership metrics.
- B. quality targets.
- C. on-time delivery.
- D. agreed-upon metrics.
Answer: D
NEW QUESTION 2
Turning the request-for-quotes process into a real-time auction setting most likely will:
- A. improve product quality.
- B. increase process costs.
- C. reduce cycle time.
- D. reduce bid cost.
Answer: C
NEW QUESTION 3
Implementation of supply chain applications based on which of the following technologies is most likely to have the lowest fixed costs?
- A. Best of breed packages
- B. One integrated package
- C. Service-oriented architecture
- D. Software-as-a-service
Answer: D
NEW QUESTION 4
Which of the following actions is most likely to increase total supply chain risk?
- A. Standardizing components used in a product family
- B. Expanding operations to multiple locations
- C. Consolidating manufacturing locations
- D. Reducing the supplier base for commodity-type components
Answer: C
NEW QUESTION 5
A manufacturer of consumer goods has purchased one of its distributors. The distributor's inventory system is archaic and will not integrate into the manufacturer's enterprise resources planning (ERP) system. Which of the following approaches is the most appropriate long-term solution for the manufacturer?
- A. Buy a complete ERP system that includes seamlessly integrated distribution.
- B. Buy a warehouse management system that integrates into the ERP system.
- C. Run the existing warehouse inventory system and update the ERP system manually.
- D. Hire a software contractor to write an interface with batch update to the ERP system.
Answer: B
NEW QUESTION 6
Supply chains delivering products or services are most able to respond quickly to changing market requirements when:
- A. products have been standardized.
- B. products have a modular design.
- C. production processes have been standardized.
- D. production processes have been simplified.
Answer: B
NEW QUESTION 7
Which of the following factors typically is most important in successfully implementing sales and operations planning (S&OP)?
- A. Involvement of specialists from all functional groups within an organization
- B. Creation of a dedicated S&OP organizational unit
- C. Involvement and accountability at senior management level
- D. Focus on 3 months to 18 months in the future
Answer: C
NEW QUESTION 8
Point-of-sale information fails to measure actual demand most likely because:
- A. holidays interrupt typical sales patterns.
- B. inventory levels are inaccurate.
- C. there is lag time in the system.
- D. data about lost sales cannot be captured.
Answer: D
NEW QUESTION 9
A firm has captured the following information for a product family:
The cash-to-cash cycle time is how many days?
- A. 41
- B. 44
- C. 62
- D. 74
Answer: C
NEW QUESTION 10
The implementation of major enterprise-wide changes to eliminate or significantly reduce waste is related to which of the following concepts?
- A. Kaizen
- B. Kanban
- C. Six Sigma
- D. Lean
Answer: D
NEW QUESTION 11
The most important challenge to consider when sourcing globally is:
- A. the identification of sources capable of producing the materials.
- B. the availability of low-cost labor and energy.
- C. complying with specific import/export issues.
- D. balancing the difference between piece price and total cost.
Answer: D
NEW QUESTION 12
A primary reason for enhancing supply chain security is to:
- A. meet government requirements.
- B. reduce insurance costs.
- C. improve lead time.
- D. protect brand image.
Answer: D
NEW QUESTION 13
Bar codes and radio frequency identification systems are key technologies in supply chain systems because they perform which of the following functions?
- A. Tracking truck locations on cross-country deliveries
- B. Facilitating timely and accurate data acquisition
- C. Providing paperless invoicing of goods
- D. Producing schedule broadcasts for suppliers
Answer: B
NEW QUESTION 14
Electronic data interchange reduces costs primarily through:
- A. standardization of trading document formats.
- B. adaptability across hardware platforms.
- C. simplified software development.
- D. replacement of proprietary systems.
Answer: A
NEW QUESTION 15
Which of the following costs is an example of ordering cost?
- A. Inspection labor
- B. Obsolesence
- C. Cost of capital invested
- D. Insurance
Answer: A
NEW QUESTION 16
Outsourcing is most appropriate when a product is:
- A. modular and independent of knowledge and capacity.
- B. modular and dependent on knowledge and capacity.
- C. integral and independent of knowledge and capacity.
- D. integral and dependent on knowledge and capacity.
Answer: A
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