Deck 13: Supply Chain Management

Question 1

In the ________ component of SCM, supply chain managers must create a responsive and flexible network to support customers who have problems with delivered products.

A) Delivering
B) Making
C) Planning
D) Returning
E) Sourcing

Answer 1

D

Question 2

Your company builds cars in Texas. You purchase metal from a company in Wisconsin. You are part of the _________ segment of the supply chain and the metal company is ______.

A) internal; downstream
B) internal; upstream
C) upstream; internal
D) upstream; downstream

Answer 2

B

Question 3

Retailers are __________ in a typical supply chain.

A) Downstream
B) Internal
C) Upstream
D) Not involved

Answer 3

A

Question 4

Munchery does NOT keep costs down by _________.

A) decreasing the time pressure on delivery by delivering chilled food
B) encouraging customers to have a slightly longer delivery window
C) reducing food costs through supplier negotiations
D) using Wi-Fi enabled smart ovens to prepare meals in bulk

Question 5

Suppliers are __________ in a typical supply chain.

A) Downstream
B) Internal
C) Upstream
D) Not involved

Question 6

Which of the following is TRUE of supply chains?

A) Information is generated by RFID tags, GPS, etc.
B) Information is processed in periodic batches.
C) They rely on labor-based tracking and monitoring.
D) Supply chain visibility is as accurate as it has always been.

Question 7

Which of the following is FALSE?

A) Customers can use the mobile app or the Web to see the current menu.
B) Munchery has a storefront in larger cities so customers can watch the chefs.
C) Munchery offers fresher, healthier food that is in season.
D) Munchery's menu changes daily.

Question 8

Walmart is a ___________ in the __________ segment of the supply chain.

A) Distributor; downstream
B) Distributor; upstream
C) Retailer; downstream
D) Retailer; upstream

Question 9

Distributors are __________ in a typical supply chain.

A) Downstream
B) Internal
C) Upstream
D) Not involved

Question 10

Manufacturers are __________ in a typical supply chain.

A) Downstream
B) Internal
C) Upstream
D) Not involved

Question 11

Customers are __________ in a typical supply chain.

A) Downstream
B) Internal
C) Upstream
D) Not involved

Question 12

Amazon is a ________ in the __________ segment of the supply chain.

A) Distributor/retailer; downstream
B) Distributor/retailer; upstream
C) Supplier; downstream
D) Supplier; upstream

Question 13

______________ involves developing a set of metrics (measurable deliverables) to monitor the organization's supply chain to ensure that it is efficient and it delivers high quality and value to customers for the lowest cost.

A) Delivering
B) Making
C) Planning
D) Returning
E) Sourcing

Question 14

The __________ component of SCM is also called logistics.

A) Delivering
B) Making
C) Planning
D) Returning
E) Sourcing

Question 15

Supply chain _____________________ refers to the ability of all organizations within a supply chain to access or view relevant data on purchased materials as these materials move through their suppliers' production processes and transportation networks to their receiving docks.

A) velocity
B) viability
C) viewability
D) visibility

Question 16

Munchery delivers ________ meals to your door.

A) cold, almost ready-to-eat
B) cold, preparation-required
C) hot, ready-to-eat
D) hot, some preparation required

Question 17

In the __________ component of SCM, organizations choose suppliers to deliver the goods and services they need to create their product or service.

A) Delivering
B) Making
C) Planning
D) Returning
E) Sourcing

Question 18

The _____ component of SCM is the most metric-intensive part of the supply chain, where organizations measure quality levels, production output, and worker productivity.

A) Delivering
B) Making
C) Planning
D) Returning
E) Sourcing

Question 19

To increase customer satisfaction, a company should work toward increasing inventory ______ to deliver products more quickly.

A) veracity
B) variety
C) velocity
D) volume

Question 20

The goal of Munchery is to provide high-quality, chef-prepared, fresh, almost ready-to-eat meals, delivered right to the customer's door, for __________ per entrée. This _______ currently the price as of 2016.

A) $7-8; is
B) $7-8; is not
C) $10-12; is
D) $10-12; is not

Question 21

VMI occurs when the ___________ manages the entire inventory process for a particular product or group of products.

A) Customer
B) Manufacturer
C) Retailer
D) Supplier

Question 22

A problem with the ________ model is you could have too much or too little inventory.

A) Foresight
B) Hindsight
C) Pull
D) Push

Question 23

SCM systems increase _________.

A) Cycle time
B) Inventory levels
C) Inventory velocity
D) Uncertainty

Question 24

Apple had problems with a supplier in ________ for its Apple Watch sales, so it switched to a supplier in _________.

A) China; India
B) China; Japan
C) India; China
D) India; the US

Question 25

A problem with the ________ model is that it doesn't work well for really complicated or expensive products.

A) Foresight
B) Hindsight
C) Pull
D) Push

Question 26

Vertical integration is a business strategy in which a company purchases its ____________ suppliers.

A) Downstream
B) Internal
C) Upstream
D) Most useful

Question 27

____________ is a communication standard that enables business partners to exchange routine documents.

A) An Extranet
B) A Web service
C) EDI
D) VMI

Question 28

In the ______ model, the production process begins with a forecast.

A) Foresight
B) Hindsight
C) Pull
D) Push

Question 29

An ___________ links business partners over the _______ by providing them access to certain areas of each other's corporate ________.

A) extranet; internet; intranet
B) extranet; intranet; internet
C) intranet; internet; extranet
D) intranet; extranet; internet

Question 30

A problem with ______________ is it shifts inventory to upstream suppliers.

A) horizontal integration
B) JIT
C) vertical integration
D) VMI

Question 31

_____________ refers to erratic shifts in orders up and down the supply chain.

A) Cycle time
B) Inventory velocity
C) The bullwhip effect
D) Uncertainty

Question 32

A problem with _______________ is the purchasing business may not understand how the purchased business works.

A) horizontal integration
B) JIT
C) vertical integration
D) VMI

Question 33

Apple used a _________ model for its Apple Watch sales.

A) Foresight
B) Hindsight
C) Pull
D) Push

Question 34

Apple addressed the uncertainty in its demand forecast for the Apple Watch by ___________________.

A) allowing its vendors to manage their inventory
B) producing the maximum number of watches that were predicted
C) taking preorders to estimate potential demand
D) vertically integrating the supply chain

Question 35

You are a purchasing agent at Widgets R Us. You use predictive analytics to approximate how many widgets you will sell that year. This is an example of a _____ model.

A) Foresight
B) Hindsight
C) Pull
D) Push

Question 36

You work for a food distributor. One of the local grocery stores that purchases from you sometimes orders 50 cases of soda, sometimes 30 cases, and sometimes 100 cases. You want to ensure you can always meet their demand, so you keep 150 cases in stock in your warehouse. This is an example of ___________.

A) a low inventory velocity
B) proper management of cycle time
C) the bullwhip effect
D) the pull model

Question 37

SCM systems are a type of __________-organizational information system.

A) inner
B) inter
C) intra
D) intre

Question 38

In the ______ model, the production process begins with a customer order.

A) Foresight
B) Hindsight
C) Pull
D) Push

Question 39

_____________ links business partners over the internet by providing them access to certain areas of each other's corporate intranets.

A) An Extranet
B) A Web service
C) EDI
D) VMI

Question 40

The _________ model is closely aligned with mass customization.

A) Foresight
B) Hindsight
C) Pull
D) Push

Question 41

The teak furniture industry requires the use of _________ to ensure sustainable practices.

A) CRM
B) ERP
C) SCM
D) VMI

Question 42

Extranets use _________ technology to make communication over the internet more secure.

A) GPS
B) JIT
C) RFID
D) VPN

Question 43

SCM is critical to ____________'s success.

A) Amazon
B) Facebook
C) Google
D) Twitter

Question 44

EDI increases _________.

A) Cycle time
B) Message length
C) Paper usage
D) Productivity

Question 45

Munchery's target market is upper-class, health-food focused individuals in smaller cities.

Question 46

EDI decreases _________.

A) Customer service
B) Data entry errors
C) Productivity
D) Security

Question 47

Caribou was experiencing growing pains with its _____________ demand forecasting and subsequent __________ supply chain management.

A) downstream; internal
B) downstream; upstream
C) internal; downstream
D) internal; upstream

Question 48

Teak wood growers are a part of the _________ segment in a supply chain.

A) Downstream
B) Internal
C) Upstream
D) Not involved

Question 49

The flow of information and goods in a supply chain is unidirectional.

Question 50

Every industry should use the pull model to reduce inventory costs.

Question 51

IT has improved supply chain visibility through the use of things like RFID and GPS.

Question 52

Caribou Coffee originally allowed/used a(n) ____________ to manage its inventory.

A) FAIS
B) Spreadsheet
C) TPS
D) Vendor

Question 53

The push model is also known as make-to-order.

Question 54

The bullwhip effect is caused by lack of communication along the supply chain.

Question 55

The Forestry Trust identifies ___________ as a key to establishing sustainability in the teak wood furniture industry.

A) managing customer requirements
B) preventing the harvesting of trees
C) replanting trees as soon as possible
D) transparency in the supply chain

Question 56

The pull model is closely aligned with mass customization.

Question 57

After the 2013 holiday season, Amazon has __________ control over its delivery system.

A) less
B) more
C) the same
D) it is too variable to judge

Question 58

Amazon has contracted with the USPS to deliver _________.

A) even on holidays
B) in the middle of the night
C) on Sundays
D) within 10 minutes in big cities

Question 59

Caribou Coffee implemented a(n) _________ system to address its business needs.

A) CRM
B) EDI
C) ERP
D) SCM

Question 60

Customers do not fall within the supply chain; instead, they are only part of customer relationship management.

Question 61

In the push model, the production process begins with a _________________________.

Question 62

The Apple Watch case illustrates how problems with one supplier can cause problems along the entire supply chain.

Question 63

Extranets use EDI technology to make communication over the internet possible.

Question 64

Given the different degrees of digitization for e-commerce, how could the supply chain information flows differ?

Question 65

SCM can be used to ensure sustainable business practices.

Question 66

In the ____________ model, the production process begins with a forecast.

Question 67

Supply chain _____________________ refers to the ability of all organizations within a supply chain to access or view relevant data on purchased materials as these materials move through their suppliers' production processes and transportation networks to their receiving docks.

Question 68

Define the bullwhip effect. Draw a supply chain and the impact of the bullwhip effect in the downstream segment of the supply chain. How can organizations mitigate the bullwhip effect? Provide an example of an organization that successfully manages the bullwhip effect.

Question 69

The bullwhip effect is a result of uncertainties in the demand forecast.

Question 70

Caribou replaced its spreadsheet inventory management with an off-the-shelf cloud-based system.

Question 71

JIT eliminates excess inventory along the supply chain.

Question 72

A ________________________________ is the flow of materials, information, money, and services from raw material suppliers, through factories and warehouses, to the end customers.

Question 73

How can a company set-up an extranet? List, describe, and provide an example of the three major types of extranets.

Question 74

EDI may require the restructuring of business processes.

Question 75

The pull model is also known as __________________________________.

Question 76

Amazon's contract with the USPS has provided a sustainable competitive advantage.

Question 77

Explain the difference between the push and pull models. Why is the push model better in some industries? Describe two industries that would benefit more from the push model and explain why. Why is the pull model better in some industries? Describe two industries that would benefit more from the pull model and explain why.