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NEW QUESTION 1
Direct shipment distribution typically offers which of the following advantages?

  • A. Risk pooling is facilitated.
  • B. Demand variability is reduced.
  • C. Service levels are increased.
  • D. Lead times are reduced.

Answer: D

NEW QUESTION 2
Which of the following measures typically would be considered an aspect of the environmental impact of a supply chain?

  • A. Amount of funds invested in infrastructure improvements
  • B. Hours of employee education about environmental stewardship
  • C. Weight and volume of packaging materials used
  • D. Total number of people making a living wage

Answer: C

NEW QUESTION 3
Compared to mass-media marketing, customer relationship management has the advantage of allowing the organization to:

  • A. compete for customers based on service.
  • B. reach a larger number of potential customers.
  • C. reduce inventory to improve cash flow.
  • D. focus on attracting new customers.

Answer: A

NEW QUESTION 4
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 5
Which of the following statements best identifies the value of using a supplier rating system?

  • A. It provides an objective means for a company to determine outstanding suppliers.
  • B. It allows customers to post chargebacks to suppliers.
  • C. It offers a company an effective way to control suppliers' delivery processes.
  • D. It ensures that all suppliers are using the same quality standards to manufacture products.

Answer: A

NEW QUESTION 6
When trying to decide whether to outsource its customer relationship management function, a company primarily should consider which of the following factors?

  • A. Location of the service provider
  • B. Internal controls of the company
  • C. Compatibility of computer hardware
  • D. Transaction costs

Answer: B

Explanation: A grocery store found that ground beef sales increased when buns were a featured sales item. This customer relationship management technique is called:
A. data mining.
B. data tracking.
C. contact management.
A. D. order entry. Answer: A

NEW QUESTION 7
Which of the following situations is an example of postponement?

  • A. Shipments are broken down into small groups for reshipment.
  • B. Shipments are consolidated immediately for reshipment.
  • C. Production begins after a customer order is received.
  • D. Partially assembled goods are assembled at a later stage.

Answer: D

NEW QUESTION 8
A return material authorization (RMA) policy is used in reverse logistics to:

  • A. physically transport returned items by using an efficient transportation mode.
  • B. minimize the number of returned items by involving product design and demand forecasting.
  • C. reduce the cost of returned items by refusing to accept items that should not be returned.
  • D. reclaim substantial value from returned items by recycling.

Answer: C

NEW QUESTION 9
Which of the following supply chain attributes is most appropriate for products with wide variety and highly variable demand?

  • A. Efficient
  • B. Responsive
  • C. Short
  • D. Virtual

Answer: B

NEW QUESTION 10
When multiple warehouses are combined into one centralized warehouse, the requirement for safety stock is reduced because:

  • A. there is less in-transit inventory.
  • B. the total variability of demand is reduced.
  • C. average cycle stock is reduced.
  • D. safety stock becomes available-to-promise.

Answer: B

NEW QUESTION 11
Which of the following variables is the most appropriate customer-facing goal used to determine the target inventory level?

  • A. Inventory turns
  • B. Level of service
  • C. Total delivery cost
  • D. Delivery lead time

Answer: B

NEW QUESTION 12
Which of the following actions typically would be the first step in implementing the philosophy of customer relationship management?

  • A. Creating a customer-centric organization
  • B. Developing a map of the customer segments
  • C. Documenting the objectives for implementation
  • D. Selecting an information technology solution

Answer: A

NEW QUESTION 13
Maintaining a long-term collaborative relationship with a trading partner requires:

  • A. formal and informal communication.
  • B. interconnected information systems.
  • C. one partner regularly exercising power.
  • D. standardized terms of agreement.

Answer: A

NEW QUESTION 14
A company ships from its manufacturing facilities directly to its warehouses. If the number of warehouses increases, transportation costs between manufacturing facilities and warehouses most likely will:

  • A. increase.
  • B. decrease.
  • C. not change.
  • D. become less predictable.

Answer: A

NEW QUESTION 15
On-time delivery performance in the supply chain can best be improved by aligning required capacity with what type of capacity?

  • A. Demonstrated
  • B. Rated
  • C. Budgeted
  • D. Theoretical

Answer: A

NEW QUESTION 16
Which of the following corporate strategies is most consistent with a flexible supply chain strategy?

  • A. Being the low-price leader
  • B. Providing the highest-quality service
  • C. Providing mature products with stable sales
  • D. Emphasizing the quality of the product

Answer: B

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