Question 1

A computer-to-computer exchange of business documents in a standard format established by ANSI and ISO is&#10;A)UPC&#10;B)RFID&#10;C)BTO&#10;D)EDI

Accepted Answer

The acronym EDI stands for Electronic Data Interchange, which involves the computer-to-computer exchange of business documents in a standard format established by ANSI and ISO. UPC is a barcode used to identify consumer products, RFID is a technology used to track and identify objects, and BTO is not a recognized acronym in this context.

Question 2

For the first time,the latest version of ISO 9001:2015 which establishes the requirements of a quality management system incorporates&#10;A)the bullwhip effect&#10;B)value chains&#10;C)sustainability&#10;D)risk

Accepted Answer

ISO 9001:2015 now includes a new clause on risk-based thinking (Clause 6.1), which requires organizations to identify, analyze and address risks and opportunities in their quality management system. This is in line with the increasing importance placed on risk management in modern business practices. While value chains and sustainability are important concepts in contemporary management, they are not specifically included in ISO 9001:2015. The bullwhip effect is a phenomenon in supply chain management that refers to the amplification of demand fluctuations as they move upstream in the supply chain, and is not relevant to quality management systems.

Question 3

&#34;Meeting present needs without comprising the ability of future generations to meet their needs&#34; is the U.N.definition of&#10;A)the environment&#10;B)social consciousness&#10;C)sustainability&#10;D)green manufacturing

Accepted Answer

The definition in question refers to the concept of sustainability, which involves using resources and making choices in a way that will not harm future generations' ability to do the same. The other choices do not accurately capture this definition.

Question 4

The thing that ties business processes together and integrates them into a supply chain is&#10;A)quality&#10;B)value&#10;C)procurement&#10;D)information

Accepted Answer

Information is the key to integrating business processes into a supply chain. Sharing information among various parties such as suppliers, manufacturers, and retailers is essential to coordinating and optimizing the flow of goods and services. It helps ensure timely delivery of products, reduces inventories, minimizes costs, and enhances customer satisfaction. Therefore, information technology (IT) plays a critical role in supporting supply chain management (SCM) by enabling real-time visibility, collaboration, analytics, and automation.

Question 5

The key element in achieving supply chain integration is&#10;A)quality management&#10;B)ISO certification&#10;C)information technology&#10;D)EDI

Accepted Answer

Information technology plays a crucial role in achieving supply chain integration by enabling efficient and real-time communication between different supply chain partners, tracking inventory levels, and managing logistics operations. Technologies such as cloud computing, IoT, and blockchain have also emerged as key enablers for achieving end-to-end supply chain visibility and collaboration. Quality management and ISO certification are important aspects of supply chain management but are not the key element in achieving integration. EDI or electronic data interchange is an important technology for exchanging information but has limitations in terms of interconnectivity and real-time data exchange.

Question 6

A KPI that is the fraction of orders placed by a customer with a supplier that are filled within one day is called a&#10;A)inventory turn&#10;B)days of supply&#10;C)order fulfillment&#10;D)fill rate

Accepted Answer

The KPI described in the question is the "fill rate," which measures the percentage of orders that are filled within a specific time frame. A high fill rate is essential to maintaining customer satisfaction and the supplier's reputation. Choices A and B relate to inventory management, while choice C describes a general concept that includes multiple KPIs.

Question 7

Companies cope with uncertainty and attempt to avoid delays with&#10;A)integration of processes&#10;B)inventory&#10;C)quality&#10;D)value creation

Accepted Answer

Companies use inventory as a buffer to cope with uncertainty in supply and demand, helping to avoid delays by ensuring that materials and products are available when needed.

Question 8

A process for two or more companies in a supply chain to synchronize their individual demand forecasts in order to develop a single plan for meeting customer demand is&#10;A)ERP&#10;B)BTO&#10;C)EDI&#10;D)CPFR

Accepted Answer

The process described is Collaborative Planning, Forecasting, and Replenishment (CPFR). It involves multiple companies sharing data and working together to create a coordinated plan for meeting customer demand. ERP (Enterprise Resource Planning) is a software system used for managing business processes like accounting, inventory, and customer information. BTO (Build-to-Order) is a manufacturing strategy where products are only made once an order from a customer is received. EDI (Electronic Data Interchange) is a method for exchanging business documents electronically between different companies. None of these options match the description of the process in the question as closely as CPFR does.

Question 9

The integrated group of business processes that form a supply chain are&#10;A)marketing,manufacturing and finance&#10;B)procurement,production and distribution&#10;C)manufacturing and service&#10;D)demand,value,and quality

Accepted Answer

The procurement, production, and distribution processes are the key components of a supply chain. Procurement is the process of acquiring raw materials or finished products from suppliers. Production is the process of transforming those materials into finished goods, and distribution involves getting those goods to the end customer. These three processes are interconnected and collectively form the supply chain, which is responsible for delivering products or services to customers. Marketing, finance, manufacturing, and service are all important functions in a business, but they are not specific to the supply chain. Demand, value, and quality are all important factors to consider in the supply chain, but they are not the actual processes involved.

Question 10

If a company's cost of goods sold is $15 million and its average aggregate value of inventory is $6 million its inventory turns are&#10;A)90&#10;B)3.0&#10;C)2.5&#10;D)6.0

Accepted Answer

Inventory turnover ratio = Cost of Goods Sold (COGS) / Average Aggregate Value of Inventory

Given, COGS = $15 million
Average Aggregate Value of Inventory = $6 million

Inventory Turnover Ratio = $15 million / $6 million = 2.5

Therefore, the inventory turns are 2.5.

Question 11

Upstream supply chain members are&#10;A)retailers&#10;B)manufacturers&#10;C)end-use customers&#10;D)suppliers

Accepted Answer

The answer of Upstream supply chain members are&#10;A)retailers&#10;B)manufacturers&#10;C)end-use customers&#10;D)suppliers...

Question 12

The first company to use a build-to-order models for direct sales to customer over the Internet was&#10;A)Walmart&#10;B)IBM&#10;C)Dell&#10;D)Apple

Accepted Answer

The answer of The first company to use a build-to-order...

Question 13

A type of software that integrates most of a company's supply chain processes by sharing and organizing information among supply chain members is&#10;A)CPFR&#10;B)ERP&#10;C)EDI&#10;D)EPC

Accepted Answer

The answer of A type of software that integrates most...

Question 14

Purchasing goods and services from suppliers is known as&#10;A)buying&#10;B)acquiring&#10;C)purchasing&#10;D)procurement

Accepted Answer

The answer of Purchasing goods and services from suppliers is...

Question 15

In an IBM survey of 320 global companies the percentage that were utilizing sustainability as part of their growth strategy was&#10;A)16%&#10;B)25%&#10;C)37%&#10;D)45%

Accepted Answer

The answer of In an IBM survey of 320 global...

Question 16

Downstream supply chain members are&#10;A)manufacturers&#10;B)suppliers&#10;C)end-use customers&#10;D)processors

Accepted Answer

The answer of Downstream supply chain members are&#10;A)manufacturers&#10;B)suppliers&#10;C)end-use customers&#10;D)processors...

Question 17

A disadvantage of RFID technology that has hindered its widespread use is that it&#10;A)needs a direct &#34;line of sight&#34; to read a product code&#10;B)is slower than barcode technology&#10;C)is more labor intensive&#10;D)is more costly than barcodes

Accepted Answer

The answer of A disadvantage of RFID technology that has...

Question 18

The phenomenon wherein slight demand variability becomes magnified as demand information is transmitted back upstream in the supply chain is known as the&#10;A)value chain effect&#10;B)information effect&#10;C)bullwhip effect&#10;D)risk effect

Accepted Answer

The answer of The phenomenon wherein slight demand variability becomes...

Question 19

If a company's cost of goods sold is $15 million and its average aggregate value of inventory is $6 million its days of supply are approximately&#10;A)29.6&#10;B)146.0&#10;C)90.0&#10;D)365.0

Accepted Answer

The answer of If a company's cost of goods sold...

Question 20

While a barcode is the most commonly used auto-ID system,a more technologically advanced system is&#10;A)RFID&#10;B)UPC&#10;C)BTO&#10;D)EPC

Accepted Answer

The answer of While a barcode is the most commonly...

Question 21

In Gartner's 2015 annual &#34;Supply Chain Top 25&#34; the two perennial top five companies that were placed in a new &#34;Supply Chain Masters&#34; category were&#10;A)Walmart and Amazon&#10;B)Apple and P&G&#10;C)Apple and Amazon&#10;D)Amazon and McDonald's

Accepted Answer

The answer of In Gartner's 2015 annual &#34;Supply Chain Top...

Question 22

A supply chain diagnostic model that provides a cross-industry standard for supply chain management is&#10;A)KPI&#10;B)CPFR&#10;C)SCOR&#10;D)APICS

Accepted Answer

The answer of A supply chain diagnostic model that provides...

Deck 14: Supply Chain Management Strategy and Design