Question 1

Which of the following is not one of the four major causes of the bullwhip effect?

Accepted Answer

The four major causes of the bullwhip effect are demand forecast updating, order batching, price fluctuations, and rationing and shortage gaming. The business cycle is not considered one of the major causes of the bullwhip effect.

Question 2

An organization's supply chain is facilitated by:

Accepted Answer

While dedicated people, specific vendors, specific customers, and government regulations may all play a role in an organization's supply chain, an information system is essential to facilitate the various processes and ensure smooth operation. An information system can help manage inventory, communicate with vendors and customers, track shipments, and analyze data to improve performance, among other functions.

Question 3

Typically a manufacturer will have more direct contact with which type of supplier?

Accepted Answer

Tier one suppliers are the primary suppliers who provide materials and components directly to the manufacturer. Therefore, the manufacturer would have more direct contact with Tier one suppliers compared to Tier two, three, four or five suppliers.

Question 4

What is an extension of an intranet to include suppliers and customers called?

Accepted Answer

An extension of an intranet to include suppliers and customers is called an extranet. This allows for secure communication and information sharing between a company and its external partners. Options A, B, and C are not commonly used terms in the context of networking and inter-organizational communication. Option E is not a commonly recognized term.

Question 5

Which of the following is open to the most users?

Accepted Answer

The internet is accessible to the largest number of users, as it is a global network that allows anyone with an internet connection to access it from anywhere in the world. Intranets, extranets, LANs, and WANs are all more limited in their access and are typically used for specific groups or organizations.

Question 6

Which term refers to inaccurate or distorted demand information created in the supply chain?

Accepted Answer

The Bullwhip effect refers to the phenomenon where small fluctuations in demand at the retail level can lead to amplified demand variations at the supplier level, due to inaccurate or distorted demand information being passed along the supply chain. This can lead to inefficient inventory management and increased costs for all parties involved in the supply chain. The other options (A) Battle axe effect, (B) Cobra effect, (D) Lasso effect, and (E) Whirlpool effect do not relate to inaccurate or distorted demand information in the supply chain.

Question 7

Consider a packaged milk products supply chain. A lumber company provides wood to a paper mill, who supplies cardboard to a container manufacturer, who supplies containers to the milk products manufacturer. The lumber company is:

Accepted Answer

The lumber company is a tier three supplier because it supplies to the paper mill (tier two), which supplies to the container manufacturer (tier one), who then supplies directly to the milk products manufacturer.

Question 8

Price fluctuations follow all but which of the following marketing promotions?

Accepted Answer

Advertising does not directly cause price fluctuations; it is a tool used to inform or persuade potential buyers about products or services, whereas the other options directly impact the price a consumer pays.

Question 9

Which of the following typically represents the beginning of a supply chain?

Accepted Answer

External suppliers typically represent the beginning of a supply chain as they provide the raw materials or components needed for production.

Question 10

Which of the following is not a typical result of the bullwhip effect?

Accepted Answer

Absenteeism is not a typical result of the bullwhip effect. The bullwhip effect is a phenomenon where small changes in demand at the end of the supply chain can cause progressively larger changes in demand at each upstream stage of the supply chain, leading to increased inventory levels, poor customer service levels, ineffective transportation use, lost revenues, and misused manufacturing capacity.

Question 11

Online retailing, or B2C, has shifted:

Accepted Answer

Online retailing has significantly shifted the power from suppliers to consumers by providing consumers with more choices, better prices, and more information to make informed decisions.

Question 12

The time between order placement and the receipt of goods is called ___________________.

Accepted Answer

Lead time is the time between order placement and receipt of goods. Option A, receipt time, only refers to the time of receiving goods, not the whole process. Option C, allowance time, is not a commonly used term in this context. Option D, processing time, only refers to the time required to process an order, not the entire process. Option E, waiting time, is too broad and does not specify the timeframe between order placement and receipt of goods.

Question 13

Net marketplaces are designed to:

Accepted Answer

Net marketplaces are designed to bring together a significant number of purchasing firms, enabling them to engage in e-commerce transactions. These marketplaces offer a platform for buyers and sellers to connect, negotiate prices, and complete transactions. By bringing together a greater number of firms, net marketplaces can increase competition and offer more diverse product offerings.

Question 14

Which of the following is not a remedy for the bullwhip effect?

Accepted Answer

The answer of Which of the following is not a...

Question 15

Supply chain management is the vital business function which does not coordinate and manage:

Accepted Answer

Supply chain management is responsible for coordinating and managing the flow of goods, services, and information between suppliers, transporters, internal departments, and third-party companies. However, it does not have a direct role in coordinating and managing human resource interviews, which is a function of the HR department.

Question 16

What is a network internal to an organization called?

Accepted Answer

An intranet is a network that is internal to an organization and is used for internal communication and sharing of resources among employees.

Question 17

Service organization supply chains are:

Accepted Answer

Service organization supply chains are similar to manufacturing organizations in that they both involve the flow of goods and services from suppliers to customers. However, there are also some key differences between the two types of supply chains. For example, service organization supply chains typically involve a higher degree of customization and variability than manufacturing supply chains.

Question 18

Collection of point-of-sale (POS) information is most useful for which bullwhip effect remedy?

Accepted Answer

Collection of POS information is useful for information sharing among supply chain partners to reduce the bullwhip effect by improving visibility and accuracy of demand information.

Question 19

Due to globalization, which of the following are not some commonly shared ocean shipping logistical characteristics?

Accepted Answer

Crossdocking is not a commonly shared ocean shipping logistical characteristic due to globalization. Crossdocking is more commonly utilized in land transportation and distribution centers. The other options, such as larger quantities of goods arriving, greater break-bulk activity, higher inventories, and longer port times, are all commonly shared ocean shipping logistical characteristics.

Question 20

When do rationing and shortage gaming occur?

Accepted Answer

Rationing and shortage gaming occur when demand exceeds supply. This can happen in situations where there is a sudden increase in demand, such as during a natural disaster, or when supply is constrained due to factors like production shortages or disruptions to the supply chain. In these situations, businesses and individuals may engage in behavior like hoarding, price gouging, and black market activity in an attempt to secure goods and supplies that are in short supply.

Quiz 4: Supply Chain Management