Deck 5: The Supply Chain Management Concept

Question 1

The ____________ is organized around 12 cross-enterprise operating and management processes.

A)Supply Chain Operations Reference Model
B)Process Classification Framework
C)Global Supply Chain Forum Model
D)Supply Chain Efficiency Model

Answer 1

B

Question 2

According to the text,____________ has been at the center of the changes taking place that affect the supply chain.

A)logistics
B)warehousing
C)technology
D)customer power

Answer 2

C

Question 3

A ____________ encompasses all activities associated with the flow and transformation of goods from the raw material stage,through to the end user,as well as the associated information flows.

A)production line
B)supply chain
C)marketing channel
D)warehouse

Answer 3

B

Question 4

Which of the following is not one of the processes in the SCOR model?

A)sell
B)plan
C)make
D)return

Question 5

____ refers to focusing part of one's supply chain on a timely response to fluctuating customer orders and/or product variety and another part of the supply chain on leveling out the planning requirements to smooth production output.

A)Supply chain management
B)Fourth-party logistics
C)Flexibility
D)Leagility

Question 6

Although nearly any organization can be part of a supply chain,supply chain management requires:

A)the involvement of third-party logistics companies
B)overt management efforts by the organizations in a supply chain
C)the participation of world-class organizations
D)at least one organization to be a multinational company

Question 7

Which of the following are not key attributes of supply chain management?

A)inventory control
B)leveraging technology
C)customer power
D)a long-term orientation
E)all are key attributes

Question 8

Which of the following is not a way to reduce inventory levels?

A)supply-push replenishment
B)smaller,more frequent orders
C)use of premium transportation
D)elimination of slower moving products

Question 9

Which of the following are not an attribute of partnerships?

A)Mutual trust
B)Compatible goals
C)High interdependence among supply chain participants
D)Shared information
E)All are attributes of partnerships

Question 10

The two key factors that have sparked much of the technological change affecting supply chains are ____________ and ____________.

A)EDI; ERP
B)Computing power; ERP
C)EDI; Internet
D)Computing power; Internet

Question 11

The supply chain management philosophy emerged in which decade?

A)1960s
B)1970s
C)1980s
D)1990s

Question 12

Three of the most prominent supply chain management frameworks are the Supply-Chain Operations Reference

A)Council of Supply Chain Management Professionals
B)Supply Chain Efficiency
C)The Process Classification Framework
D)Penn State University

Question 13

An underperforming supply chain is defined as one that exhibits poor service,unproductive assets,and

A)High variable operating costs
B)Outdated information technology
C)Poor communication
D)Too many organizations

Question 14

The current Global Supply Chain Forum

A)five
B)six
C)seven
D)eight

Question 15

What is a perfect order?

A)simultaneous achievement of relevant customer metrics
B)an order that arrives on time
C)an order that arrives undamaged
D)an order that is easy for the receiver to fill

Question 16

An organization's ability to respond to changes in demand with respect to volume and variety refers to ____.

A)responsiveness
B)leanness
C)agility
D)relevancy

Question 17

Positive,long-term relationships between supply chain participants refer to:

A)co-opetition
B)tailored logistics
C)partnerships
D)supply chain management

Question 18

Contemporary supply chains should be fast and ____________.

A)lean
B)agile
C)interactive
D)relevant

Question 19

The variability in demand orders among supply chain participants:

A)cannot be controlled
B)refers to the bullwhip effect
C)can be controlled with electronic order placement
D)is more pronounced in relational exchanges

Question 20

According to Professor Mentzer and colleagues,the supply chain concept originated in what discipline?

A)marketing
B)operations
C)logistics
D)production

Question 21

What is a fourth-party logistics provider?

A)a third-party logistics provider that has been in existence for at least 25 years
B)a third-party logistics provider that has achieved ISO 9000 certification
C)a logistics intermediary that specializes in one logistics activity
D)a company that ensures that various 3PLs are working toward the relevant supply chain goals and objectives

Question 22

What concept refers to where one organization owns multiple participants in the supply chain?

A)Third-party logistics
B)Supply chain management
C)Vertical integration
D)Intensive distribution

Question 23

Customers are not included as part of supply chains.

Question 24

____ refers to "how we do things around here" and reflects an organization's vision,values,and strategic plans.

A)Supply chain management
B)Organizational behavior
C)A mission statement
D)Corporate culture

Question 25

Which of the following is not a barrier to supply chain management?

A)regulatory and political considerations
B)lack of top management commitment
C)reluctance to share,or use,relevant data
D)incompatible corporate cultures
E)all are barriers

Question 26

Which of the following is not a name/term for a long-term mutually beneficial supply chain agreement?

A)Partnerships
B)Third-party arrangements
C)Contract logistics
D)Rhocrematics
E)All are names/terms for a long-term mutually beneficial supply chain agreement

Question 27

____ collaborations offer the best opportunity for improving supply chain performance.

A)Transactional
B)Strategic
C)Tactical information sharing
D)Operational

Question 28

Supply chain management requires overt management efforts by the organizations within the supply chain.

Question 29

Supply chain collaboration can be classified as transactional,strategic,or ____ in nature.

A)operational
B)superorganizational
C)managerial
D)tactical information sharing

Question 30

The supply chain concept originated in the logistics literature.

Question 31

Research on underperforming supply chains suggests that logistics can be crucial to achieving desired levels of performance.

Question 32

Supply chains are a new concept in the sense that they were first identified in the 1980s and 1990s.

Question 33

There are three primary methods that organizations can pursue when attempting to integrate their supply chains.Which of the following is not one of them?

A)vertical integration
B)intensive distribution
C)formal contracts
D)informal agreements

Question 34

____ combines technology with manual employee effort to identify trends,perform comparisons,and highlight opportunities in supply chain processes,even when large amounts of data are involved.

A)Data mining
B)Supply chain analytics
C)Benchmarking
D)Environmental scanning

Question 35

In a

A)single integrator
B)captive customer
C)information outsourcing
D)customer centric

Question 36

Which of the following is not a routine occurrence in global supply chains?

A)documentation errors
B)incomplete shipments
C)packaging errors
D)failure to follow order guidelines
E)all of the above are routine occurrences

Question 37

Which of the following is false?

A)top management commitment is essential if supply chain efforts are to have any chance of success
B)some companies are uncomfortable with the concept of customer power in supply chains
C)senior management commitment to supply chain management occurs in one of every two organizations
D)some companies are hesitant to enter into long-term relationships because such relationships might be perceived as limiting a company's operational flexibility
E)all are true statements

Question 38

Cooperative supply chain relationships developed to enhance the overall business performance of both parties is a definition of:

A)third-party logistics
B)supply chain collaboration
C)dovetailing
D)relationship marketing

Question 39

The general idea behind ____ is that one company allows a specialist company to provide it with one or more logistics functions.

A)Supply chain management
B)Multichannel marketing
C)Third-party logistics
D)Cross-organizational collaboration

Question 40

Which of the following statements is true?

A)3PL customers demand only a few activities from third-party logistics providers
B)The decision to use third-party logistics can only be strategic in nature
C)Third-party logistics is synonymous with fourth-party logistics
D)A common cause of 3PL failure is unreasonable and unrealistic expectations
E)None of the above are true

Question 41

A primary objective of supply chain management is to optimize the performance of the supply chain as a whole.

Question 42

Because customer needs and wants change relatively quickly,supply chains should be fast and lean.

Question 43

Relational exchanges cannot be successful without information sharing among various participants.

Question 44

With respect to supply chains,relevancy focuses on an organization's ability to respond to changes in demand with respect to volume and variety.

Question 45

The Internet has been referred to as the greatest force of commodization known to man,for both goods and services.

Question 46

Leagility refers to a supply chain that combines the lean and agile paradigms.

Question 47

Regulatory considerations present a bigger obstacle than political considerations to supply chain management.

Question 48

The general idea behind third-party logistics is that one company allows a specialist company to provide it with one or more logistics functions.

Question 49

A fourth-party logistics provider should be viewed as a company whose primary purpose is to insure that third-party logistics providers are working toward relevant supply chain goals.

Question 50

The GSCF model identifies eight relevant processes associated with supply chain management.

Question 51

Tactical information sharing offers the best opportunity for improving supply chain performance.

Question 52

Three of the more prominent supply chain management frameworks are the Supply-Chain Operations Reference

Question 53

The decision to use third-party logistics companies can be driven by strategic or tactical considerations.

Question 54

Variability in demand orders among supply chain participants is known as the bubble effect.

Question 55

Power retailers have been at the center of changes taking place that affect the supply chain.

Question 56

Partnerships are part and parcel of transactional exchanges.

Question 57

A perfect order simultaneously achieves relevant customer metrics.

Question 58

Shipment routing and reverse logistics are common activities demanded by third-party logistics customers.

Question 59

The SCOR model identifies four key processes associated with supply chain management.

Question 60

Enhanced communications across organizations in a supply chain is only dependent on the technological capabilities of the organizations.

Question 61

A best-of-breed approach chooses the best software application for a particular function.

Question 62

Supply chain integration tends to be more challenging in global,as opposed to domestic,supply chains.

Question 63

Assume that it is decided to prepare a statement on returns to be distributed to all retailers and that it should be less than a single double-spaced page.Prepare such a statement.

Question 64

From the standpoint of an individual concerned with accounting controls,discuss and evaluate Johnson Toy Company's present policies for handling returned items.

Question 65

Corporate cultures should not be considered when designing a supply chain.

Question 66

Propose a policy for handling returns that should be adopted by the Johnson Toy Company.Be certain to list circumstances under which exceptions would be allowed.Should it apply to the Jungle Jim dolls?

Question 67

One cause of the bullwhip effect is asymmetrical information among supply chain participants.

Question 68

Today,computer hardware is a larger barrier than computer software to interorganizational collaboration.

Question 69

The overall global climate for business has shifted toward allowing more cooperation among firms-which should help supply chain management.

Question 70

Actual senior management commitment to supply chain management occurs in one of every two organizations.

Question 71

Top management is sometimes hesitant to fully commit to supply chain management.

Question 72

On the basis of the policy in your answer to question 3,develop instructions for the Johnson Toy Company distribution and accounting departments with respect to their roles and procedures in the handling of returns.

Question 73

Intensive distribution refers to where one organization owns multiple participants in a supply chain.

Question 74

Until the policy you recommend in your answer to question 3 takes effect,how would you handle the immediate problem of retailers wanting to return unsold Jungle Jim the Jogger dolls?

Question 75

Supply chain agreements should be designed to reward all participants when collaborative ventures are successful and all participants should share the consequences when these ventures are less successful than desired.

Question 76

Broadly speaking,organizations can pursue three primary methods-vertical integration,formal contracts,informal agreements-when attempting to integrate their supply chains.

Question 77

Supply chain analytics combines technology with manual employee effort to identify trends,perform comparisons,and highlight opportunities in supply chain processes,even when large amounts of data are involved.

Question 78

An individual firm can only be involved in one supply chain at a time.