Question 1

Warehousing and packaging are the two areas in logistics systems where the most energy costs occur.

Accepted Answer

Transportation is typically the area in logistics systems where the most energy costs occur, due to fuel consumption for moving goods over distances. Warehousing and packaging, while important, generally incur lower energy costs in comparison.

Question 2

Reverse logistics can be four to five times more expensive than forward logistics.

Accepted Answer

Reverse logistics involves the process of returning goods from the customer back to the manufacturer, distributor or retailer. This process is often more complex and expensive due to factors such as product damage, repackaging, and reselling. As a result, reverse logistics can cost four to five times more than forward logistics which involves the movement of goods from the manufacturer to the customer.

Question 3

What longer-range steps can Fosdick take to reduce the distribution center's high rate of shrinkage?

Accepted Answer

The answer of What longer-range steps can Fosdick take to...

Question 4

Logistics does not have an inherent connection to sustainability.

Accepted Answer

Logistics does have an inherent connection to sustainability because it involves the movement of goods and materials, which can have significant environmental impacts. Sustainable logistics practices focus on reducing these impacts through measures such as using alternative fuels, optimizing transport routes, and reducing packaging waste.

Question 5

What longer-range steps should Fosdick take to control the operations of the Providence distribution center?

Accepted Answer

The answer of What longer-range steps should Fosdick take to...

Question 6

What longer-range steps should Fosdick take to improve the Providence distribution center's productivity?

Accepted Answer

The answer of What longer-range steps should Fosdick take to...

Question 7

Companies that participate in the Customs Trade Partnership Against Terrorism are exempt from all import tariffs and all import quotas.

Accepted Answer

The Customs Trade Partnership Against Terrorism (CTPAT) is a voluntary program focused on improving the security of private companies' supply chains with respect to terrorism. It does not exempt companies from import tariffs or quotas.

Question 8

How should Fosdick respond to the immediate situation?

Accepted Answer

The answer of How should Fosdick respond to the immediate...

Question 9

One of the most effective methods of protecting goods from theft or pilferage is to keep them moving through the system.

Accepted Answer

By keeping goods moving through the system, there is less opportunity for theft or pilferage to occur as there is less time for someone to gain access to the goods. Additionally, the use of tracking systems and security measures throughout the supply chain can further reduce the risk of theft.

Question 10

What controls, of the types discussed in this chapter, might have been used by Red Spot Markets to reduce or eliminate the problems discussed in the case?

Accepted Answer

The answer of What controls, of the types discussed in...

Question 11

Network complexity refers to the growing number of nodes and the associated changes to the links in logistics systems.

Accepted Answer

Network complexity does indeed refer to the increasing number of nodes in logistics systems and the changes to the connections between them, resulting in a more intricate and sometimes difficult to manage network.

Question 12

The Transportation Worker Identification Credential (TWIC) uses biometric data to exclude certain workers from secure areas at ports and terminals.

Accepted Answer

The TWIC program uses biometric data to verify the identity of workers who require access to secure areas at ports and terminals. If a worker's biometric data does not match the data on their TWIC card, they will be excluded from these secure areas. This helps to improve security measures at ports and terminals by ensuring that only authorized individuals are permitted access to these sensitive areas.

Question 13

Customs and Border Protection is responsible for securing U.S. borders to protect the American people and the U.S. economy.

Accepted Answer

Customs and Border Protection (CBP) is a federal agency under the Department of Homeland Security tasked with managing, controlling, and protecting U.S. borders at and between official ports of entry.

Question 14

From a logistical perspective, the Transportation Security Administration and the Department of Transportation are two of the most important government entities that were incorporated into the Department of Homeland Security.

Accepted Answer

The Transportation Security Administration (TSA) was incorporated into the Department of Homeland Security, but the Department of Transportation (DOT) remains a separate entity.

Question 15

Potential logistics social responsibility dimensions include the environment, diversity, safety, and philanthropy, among others.

Accepted Answer

Potential logistics social responsibility dimensions include these and other factors such as ethical sourcing, labor practices, and community engagement.

Question 16

Experts recommend that the best pilferage policy should be based on zero tolerance.

Accepted Answer

Zero tolerance means that any act of pilferage or theft, no matter how small, will not be tolerated and will be dealt with strictly. This sends a strong message to employees that pilferage will not be accepted and helps deter them from committing such acts in the first place.

Question 17

The Importer Security Filing (ISF) rule requires carriers to file 10 pieces of information and importers to file two pieces of information.

Accepted Answer

The Importer Security Filing (ISF) rule requires importers to file 10 pieces of information and carriers to file two pieces of information.

Question 18

System complexity centers on the implications associated with the increasing number of products that most companies continue to face in an effort to differentiate themselves with their customers.

Accepted Answer

The answer of System complexity centers on the implications associated...

Question 19

Roof color is often overlooked as an area for warehousing energy control.

Accepted Answer

Roof color can have a significant impact on energy control in buildings, as darker roofs can absorb more heat and increase cooling demands, while lighter roofs can reflect more solar radiation and reduce energy usage.

Question 20

Transportation accounts for about one-half of all petroleum consumption in the United States.

Accepted Answer

The answer of Transportation accounts for about one-half of all...

Quiz 4: Organizational and Mangerial Issues in Logistics