Question 1

Supply chain effectiveness is the extent to which a company's supply chain is focusing on minimizing procurement,production,and transportation costs,sometimes by sacrificing excellent customer service.

Accepted Answer

Supply chain effectiveness involves optimizing the supply chain to balance costs and customer service. Sacrificing customer service to reduce costs is not a desirable goal of a supply chain.

Question 2

Supply chain efficiency is the extent to which a company's supply chain is focusing on maximizing customer service regardless of procurement,production,and transportation costs.

Accepted Answer

Supply chain efficiency is not solely focused on maximizing customer service, but also on minimizing procurement, production, and transportation costs while still meeting customer demands.

Question 3

Just-in-time is a business model in which the suppliers manage the manufacturer's inventory based on pre-established service levels.

Accepted Answer

Just-in-time (JIT) is a management strategy that aligns raw-material orders from suppliers directly with production schedules. It aims to increase efficiency and decrease waste by receiving goods only as they are needed in the production process, thereby reducing inventory costs. This strategy does not typically involve suppliers managing the manufacturer's inventory.

Question 4

Production scheduling leads to the development of a sourcing plan.

Accepted Answer

Production scheduling is focused on planning the sequence of operations, allocating resources, and setting start and end times for tasks to optimize the manufacturing process, while a sourcing plan involves identifying, evaluating, and selecting suppliers for the procurement of materials and components necessary for production.

Question 5

Briefly describe the concept of portals in the context of supply chain management.

Accepted Answer

The answer of Briefly describe the concept of portals in...

Question 6

Compare and contrast vendor-managed inventory (VMI)model and traditional inventory model.List the benefits of the VMI model.

Accepted Answer

The answer of Compare and contrast vendor-managed inventory (VMI)model and...

Question 7

Define supply chain planning (SCP)and list the processes that are generally supported by its modules.

Accepted Answer

The answer of Define supply chain planning (SCP)and list the...

Question 8

Although radio frequency identification (RFID)tags contain more information than bar codes,they require time-consuming hand scanning.

Accepted Answer

RFID tags do not require hand scanning as they can be read remotely with a RFID reader.

Question 9

Which of the following statements about radio frequency identification (RFID)passive tags is true?

Accepted Answer

Passive RFID tags are small in size and relatively inexpensive compared to active tags. They do not have an internal power source, which makes them cheaper to manufacture and operate. The range of passive tags is limited to a few feet and they require a reader to be in close proximity to function. The cost of passive RFID tags can vary depending on the application, but on average they cost a few dollars each.

Question 10

The efficiency of a supply chain management (SCM)system is independent of the data entered into it.

Accepted Answer

The efficiency of a supply chain management system is highly dependent on the quality and accuracy of the data entered into it. Garbage in, garbage out is a common saying in the world of data management, meaning that the output of a system is only as good as the input. Therefore, it is crucial to ensure that accurate and relevant data is fed into the SCM system to achieve optimal efficiency.

Question 11

The flow of materials from suppliers to customers can be described as a supply network.

Accepted Answer

A supply network is the series of organizations, resources, activities, and information involved in the movement of goods or services from suppliers to customers.

Question 12

Supply chain management improves the coordination of suppliers,product or service production,and distribution.

Accepted Answer

This statement is true. Supply chain management involves managing the flow of goods and services from suppliers to customers, and aims to improve coordination among all parties involved in this process.

Question 13

Electronic Data Interchange (EDI)refers to computer-computer communication without any human intervention.

Accepted Answer

EDI is a technology that facilitates computer-to-computer communication of business documents in a structured format without any human intervention.

Question 14

Which of the following statements about radio frequency identification (RFID)active tags is true?

Accepted Answer

RFID active tags include a battery, which allows them to have a longer range than passive tags and to actively transmit data, but this also makes them more expensive. The other statements are untrue - RFID active tags are generally more expensive than passive tags, can have a range up to several hundred feet, and are usually larger than passive tags.

Question 15

The only drawback of Extensible Markup Language (XML)is that it is not customizable.

Accepted Answer

The statement is false. One of the primary advantages of XML is that it is highly customizable and can be used to create custom tags and structures specific to a particular application or industry. This is one of the reasons why XML is commonly used in fields such as finance, healthcare, and legal industries.

Question 16

Supply chain execution involves the development of various resource plans to support the efficient and effective production of goods and services.

Accepted Answer

Supply chain execution refers to the implementation and management of key processes to move goods from suppliers to customers, including warehousing, transportation, and order fulfillment, rather than the development of resource plans which is part of supply chain planning.

Question 17

One major problem affecting supply chains are ripple effects referred to as the multiplier effect.

Accepted Answer

The ripple effects in supply chains are often referred to as the "bullwhip effect," not the "multiplier effect." The bullwhip effect describes how small fluctuations in demand at the retail level can cause progressively larger fluctuations in demand at the wholesale, distributor, manufacturer, and raw material supplier levels.

Question 18

Supply chain management is primarily used to optimize business processes within the organization.

Accepted Answer

Supply chain management involves the coordination and integration of all activities involved in producing and delivering goods and services to customers, including suppliers and third-party logistics providers. Its primary goal is to enhance customer value and achieve competitive advantage, rather than optimizing internal organizational processes alone.

Question 19

Which of the following statements is true about radio frequency identification (RFID)systems?

Accepted Answer

RFID scanning can be done at greater distances compared to bar code scanning as RFID technology uses radio waves to transmit data, while bar codes require close proximity to a scanner.

Note: Option B is partially correct, as the readability of RFID information can be affected by the entity's position and other environmental factors. However, it is not entirely dependent on position as RFID technology allows for non-line-of-sight reading capabilities. Option C, D, and E are incorrect as RFID tags can contain more information than barcodes, the cost and size of RFID tags vary based on the application, and RFID scanning is typically automated and does not require manual hand scanning.

Question 20

Supply chain management systems allow for making trade-offs between efficiency and effectiveness for individual components or raw materials.

Accepted Answer

Supply chain management systems provide visibility into the entire supply chain and enable organizations to optimize individual components or raw materials for both efficiency and effectiveness. This involves trade-offs to achieve the best balance between cost savings and quality improvements.

Quiz 8: Strengthening Business-To-Business Relationships Via Supply Chain and Customer Relationship Management