Deck 22: Supply Chain Management

Question 1

The ________ of information can be transactional,such as orders and order returns,or it can be informational,such as the sharing of inventory and customer order data.

A)purpose
B)means
C)availability
D)direction

Answer 1

A

Question 2

Because of the nature of the bullwhip effect,________ face maximum variation in demand.

A)suppliers
B)manufacturers
C)distributors
D)retailers

Answer 2

A

Question 3

Which of the following refers to a network of organizations and facilities that transforms raw materials into products delivered to customers?

A)supply chain
B)distribution channel
C)strategic business unit
D)collaboration system

Answer 3

A

Question 4

Every supply chain has four basic components: suppliers,manufacturers,distributors,and retailers.

Question 5

Which of the following refers to the way organizations share their information?

A)means
B)purpose
C)availability
D)intent

Question 6

________ refers to the methods by which information is transmitted.

A)Direction
B)Means
C)Purpose
D)Availability

Question 7

________ is the difference between the sum of the revenue generated by the supply chain and the sum of the costs that all organizations in the supply chain incur to obtain that revenue.

A)Supply chain sustainability
B)Supply chain optimization
C)Supply chain profitability
D)Supply chain analytics

Question 8

Which of the following is an example of inventory?

A)machinery
B)factories
C)raw materials
D)capital

Question 9

Information systems ________.

A)reduce the supply chain speed
B)only partially eliminate the bullwhip effect
C)reduce the cost of inventories but increase their size
D)do not optimize supply chain profitability

Question 10

In a supply chain,distributors order products from ________.

A)retailers
B)manufacturers
C)customers
D)suppliers

Question 11

An interorganizational system is one in which process activities occur in two or more independent organizations.

Question 12

The Automated Clearing House system among banks is an example of an interorganizational system.

Question 13

The three factors of information related to the supply chain are ________.

A)source,channel,and receiver
B)purpose,availability,and means
C)source,purpose,and outcome
D)purpose,means,and outcome

Question 14

The phenomenon in which the variability in the size and timing of orders increases at each stage up the supply chain is referred to as the ________.

A)synergistic effect
B)flanging effect
C)stack effect
D)bullwhip effect

Question 15

Which of the following is an example of interorganizational process?

A)sales force automation system
B)enterprise resource planning system
C)Automated Clearing House system among banks
D)customer relationship management system

Question 16

Which of the following statements about supply chains is correct?

A)Supply chains consist only of customers,retailers,distributors,manufacturers,and suppliers.
B)Not every supply chain has distributors and retailers.
C)Each element in the supply chain is connected to only one entity up and down.
D)The only source of revenue in a supply chain is the retailer.

Question 17

The ________ is used as the measure of supply chain speed.

A)dollar value of goods exchanged in a given period of time
B)amount of goods exchanged in a given period of time
C)total profit generated by the components of supply chain
D)time taken to transport goods from one component to another

Question 18

Which of the following is true about the bullwhip effect?

A)Small changes in demand at the supplier are amplified at each stage of the supply chain.
B)It is a natural dynamic that occurs because of the multistage nature of the supply chain.
C)It is strongly associated with erratic consumer demand.
D)It increases the overall profitability of the supply chain.

Question 19

Which of the following statements about inventory is true?

A)Managing an inventory requires balancing between availability and cost.
B)Inventory includes raw materials and excludes finished goods.
C)Inventory management decisions are limited to the size of the inventory.
D)Managing inventory focuses on order frequency and not the size of reorders.

Question 20

The four major drivers that affect supply chain performance are ________.

A)suppliers,inventory,distributors,and information
B)facilities,working capital,transportation,and storage
C)suppliers,facilities,transportation,and distribution
D)facilities,inventory,transportation,and information

Question 21

Explain the bullwhip effect with an example.

Question 22

Profitability of the supply chain can be maximized only if all the organizations in the supply chain operate at their maximum profitability.

Question 23

The bullwhip effect reveals that retailers face the highest variations in demand.

Question 24

Raw materials are not considered as inventory in the supply chain.

Question 25

In the term supply chain,each organization is connected to just one company up (toward the supplier)and down (toward the customer)the chain.

Question 26

How do information systems affect supply chain performance?

Question 27

The bullwhip effect explains the amplification of demand at various stages of the supply chain.

Question 28

Supply chain profitability is the difference between the sum of the revenue generated by the supply chain and the sum of the costs that all organizations in the supply chain incur to obtain that revenue.

Question 29

As a factor affecting supply chain performance,facilities concern the location,size,and operations methodology of the places where products are fabricated,assembled,or stored.

Question 30

The bullwhip effect helps to increase the overall profitability of the supply chain.

Question 31

What is a supply chain? What are the four drivers that are crucial to the success of supply chain?

Question 32

What are interorganizational business systems?

Question 33

Erratic consumer demand is the major reason for the bullwhip effect.

Question 34

Use of information systems can increase the bullwhip effect.

Question 35

The only source of revenue in the supply chain is the customer.

Question 36

Define supply chain profitability.How is it different from individual organizational profitability?

Question 37

All supply chains have distributors and retailers.

Question 38

Supply chain speed refers to the dollar value of goods exchanged in a given period of time.

Question 39

The bullwhip effect can be reduced by giving all participants in the supply chain access to consumer-demand information from the retailer.

Question 40

True demand is the demand from the only party that introduces money into the system.