Question 1

Performance-based evaluations assess the company at the time its product or service has been delivered.

Accepted Answer

The answer of Performance-based evaluations assess the company at the...

Question 2

Many large __________ firms are implementing supplier relationship management programs in their business ________ to ensure that they maintain their competitive edge.

Accepted Answer

The answer of Many large __________ firms are implementing supplier...

Question 3

The process of supplier categorization is important for a number of reasons. This process forces the buying organization to communicate cross-functionally to develop some system for ranking the suppliers. Two main items that are considered in the categorization process are: * the __________ of the contract with an individual supplier and
* the __________________ to the buying firm's business strategy.

Accepted Answer

The categorization process considers the dollar amount of the contract and the criticality of the supplier to the buying firm's business strategy.

Question 4

___________ suppliers are those that are important to the buying firm, but alternative suppliers could be found with some effort.

Accepted Answer

Preferred suppliers are important to the buying firm, but alternatives can be found with some effort, unlike strategic suppliers who are critical and harder to replace.

Question 5

ollaboration or collaborative relationships, usually found with the buying firm's strategic/tier-______ suppliers, include the ___________ component that is missing in a cooperative relationship.

Accepted Answer

Collaboration or collaborative relationships are typically found with the buying firm's strategic or tier-one suppliers and include the team component that is missing in a cooperative relationship. This emphasizes the importance of close, integrated efforts between the buying firm and its most critical suppliers.

Question 6

____________ relationships recognize the potential value of both organizations getting what they want and maximize the potential of having a long-term relationship.

Accepted Answer

Cooperative relationships aim to create a win-win situation for both organizations involved, recognizing that there is potential value to be gained from a long-term partnership. Collaboration and cooperation are important factors in building and maintaining these types of relationships. Competitiveness can hinder the development of these relationships, while counterproductive and counter-cooperative relationships actively work against the interests of both parties involved.

Question 7

Once the system is developed, it then forces the various functions in the buying firm to evaluate which suppliers truly add value. The rankings are aggregated to enable a ranking of all suppliers. The company will then categorize the suppliers into one of three categories:

Accepted Answer

Categorizing the suppliers into strategic, preferred, or transactional categories enables the buying firm to prioritize its supplier relationships and allocate resources accordingly. This approach aligns with the strategic sourcing approach and allows the buying firm to optimize its supply chain by focusing on the most critical relationships first. The other options do not offer the same level of strategic focus and prioritization for supplier relationships.

Question 8

_________________________ relationships are those relationships in which both buying and supplying firms strive to get the very best arrangement possible in their negotiations and fail to see the benefits of both organizations obtaining their goals and objectives.

Accepted Answer

The description given matches the characteristics of a transactional or competitive relationship where both parties are focused solely on their own interests and getting the best possible deal for themselves.

Question 9

In collaboration, the two organizations truly realize the benefits of working together to optimize outcomes for both organizations. The two firms work together to develop a ___________ to deliver a high-quality product or service on time and under budget.

Accepted Answer

A strategy is a comprehensive plan or approach designed to achieve specific objectives, making it the most suitable choice for optimizing outcomes in collaboration.

Question 10

There are two main categories of supplier evaluations, ___________________.

Accepted Answer

Process-based evaluations focus on how a supplier's processes ensure product or service quality and consistency, while performance-based evaluations assess the actual outcomes or results of the supplier's products or services.

Question 11

or the buying firm manager, specific communication strategies should be designed into their ______ efforts. The program should be formalized with rou?tine communication; incorporate supplier training, education and site visits to add in the learning process; and provide opportunities for feedback to clarify program objectives and improvement suggestions.

Accepted Answer

The correct choice is SDP, which stands for Supplier Development Program. This involves formalized communication, training, education, site visits, and feedback opportunities to enhance supplier relationships and performance.

Question 12

__________ relationships are commonly found within a buying organization's preferred/tier-____ service providers and suppliers list.

Accepted Answer

Cooperative relationships are characterized by collaboration, trust, and mutual benefit. These types of relationships are commonly found within a buying organization's preferred or tier-2 service providers and suppliers list as they prioritize building long-term partnerships and mutually beneficial arrangements. This allows organizations to reduce costs, improve quality, and maintain a competitive advantage in the marketplace.

Question 13

___________ suppliers are those that can be easily replaced in a short time.

Accepted Answer

Transactional suppliers are those that provide standard, commodity-type products or services that are easily replaceable. These suppliers do not generally require a long-term relationship, and their pricing and terms are typically based on market conditions.

Question 14

___________________, one type of supplier development program (SDP), are an attempt to meet current and future business needs by improving supplier performance and capabilities.

Accepted Answer

The answer of ___________________, one type of supplier development program...

Question 15

When designing a certification program, careful attention should be paid to the selection of criteria. Good certification should include all of the following issues with one exception. Which is the exception?

Accepted Answer

Price ratio analysis abilities are not typically a focus in certification programs, which are more concerned with quality, financial stability, production methods, and cost accounting.

Question 16

lthough it is a strong relationship, a cooperative alliance lacks the ___________ that is needed between the various buying and supplying firms in order to optimize the benefits for all of the members of the supply chain.

Accepted Answer

The answer of lthough it is a strong relationship, a...

Question 17

______________ relationship is almost required with transactional/tier-_______ suppliers and assumes that the buying firm can lower prices to help keep its competitive edge in the market.

Accepted Answer

Competitive relationship is almost required with transactional/tier-three suppliers and assumes that the buying firm can lower prices to help keep its competitive edge in the market.

Question 18

When a supplier _________ to conform to the buying firm's expectations, the buying firm manager must __________________________.

Accepted Answer

When a supplier is unable to meet expectations, the buying firm manager should assess the situation and determine the most appropriate action to resolve the issue, which may include working with the supplier to improve performance or finding an alternative solution.

Question 19

___________ suppliers are those that are most important to the buying firm. They supply the buying firm with essential materials and capabilities that are not easily replaced.

Accepted Answer

Strategic suppliers are those that are most important to the buying firm as they supply essential materials and capabilities that are not easily replaced. They are integral to the success and profitability of the buying firm and are therefore given great importance in the business relationships.

Question 20

This type of relationship (counterproductive) is undesirable because:
* it does not promote a positive rapport between buying and supplying firms involved and
* neither organization achieves its goals.

Accepted Answer

A counterproductive relationship between buying and supplying firms is indeed undesirable as it doesn't promote a positive rapport between the two organizations and neither party achieves their objectives.

Quiz 8: Supplier Selection and Evaluation

Performance-based evaluations assess the company at the time its product or service has been delivered.

Many large __ firms are implementing supplier relationship management programs in their business to ensure that they maintain their competitive edge.

___________ suppliers are those that are important to the buying firm, but alternative suppliers could be found with some effort.

ollaboration or collaborative relationships, usually found with the buying firm's strategic/tier- suppliers, include the _____ component that is missing in a cooperative relationship.

____________ relationships recognize the potential value of both organizations getting what they want and maximize the potential of having a long-term relationship.

Once the system is developed, it then forces the various functions in the buying firm to evaluate which suppliers truly add value. The rankings are aggregated to enable a ranking of all suppliers. The company will then categorize the suppliers into one of three categories:

_________________________ relationships are those relationships in which both buying and supplying firms strive to get the very best arrangement possible in their negotiations and fail to see the benefits of both organizations obtaining their goals and objectives.

In collaboration, the two organizations truly realize the benefits of working together to optimize outcomes for both organizations. The two firms work together to develop a ___________ to deliver a high-quality product or service on time and under budget.

There are two main categories of supplier evaluations, ___________________.

______ relationships are commonly found within a buying organization's preferred/tier- service providers and suppliers list.

___________ suppliers are those that can be easily replaced in a short time.

___________________, one type of supplier development program (SDP) , are an attempt to meet current and future business needs by improving supplier performance and capabilities.

When designing a certification program, careful attention should be paid to the selection of criteria. Good certification should include all of the following issues with one exception. Which is the exception?

lthough it is a strong relationship, a cooperative alliance lacks the ___________ that is needed between the various buying and supplying firms in order to optimize the benefits for all of the members of the supply chain.

________ relationship is almost required with transactional/tier-_ suppliers and assumes that the buying firm can lower prices to help keep its competitive edge in the market.

When a supplier _ to conform to the buying firm's expectations, the buying firm manager must __________________.

___________ suppliers are those that are most important to the buying firm. They supply the buying firm with essential materials and capabilities that are not easily replaced.

This type of relationship (counterproductive) is undesirable because: * it does not promote a positive rapport between buying and supplying firms involved and * neither organization achieves its goals.