sc

the detailed plan that shows the exact end items to be produced in a specific time frame is known as:

Mater Production Schedule

which of the following is a long range supply chain plan?

aggregate production plan

which of the following terms used in mrp represents the parts demanded by a parent?

component

Companies hold a supply of inventory for all of the following reasons EXCEPT:

increasing production change/setup costs

which of the following would most likely be considered a dependent demand item?

a bicycle tire used to assemble a bicycle

what technology stores information on a small electronic device which can be attached to an object and can be read from up to several feet away, without the need for direct line-of-site?

radio frequency identification

companies in the service industry cannot maintain inventory of services, however, they can maintain inventory of "_____" which are items that are used during the service being provided

intangible products*

warehousing, customer relationship management, and international trade are all important functional areas that are most closely related to?

logistics and transportation

A quantitative decision model based on the trade-off between annual inventory carrying costs and annual ordering costs is known as:

economic order quantity

the process of combining statistical forecasting techniques and judgement to construct demand estimates for products or services is known as?

demand planning*

Material Requirements Planning (MRP) is used to:

determine what materials you need to make the finished product and when to order them

the inventory turnover ratio shows how many times a firm turns over its inventory in an accounting period, and higher inventory turnover is generally viewed as negative

false

the most commonly used forecasting accuracy measures are mean absolute deviation (MAD), mean multiple regression (MMR), and mean absolute percentage error (MAPE)

false

the lowest inventory level at which a new replenishment order must be placed to avoid a stockout is known as the "breakeven point"

false (reorder point)

in the level production strategy, capacity is adjusted to match demand in an effort to handle the fluctuating demand patterns

false*

if you choose to pick your desired enterprise resource planning applications from the top vendor of each individual application, your are using the single integrator approach to selecting your ERP system

true

the key disadvantages of the material requirements planning system include loss of visibility, and the fact that it ignores capacity and shop floor conditions

true

the two main reasons hat companies implement supply chain management are to achieve cost savings and better coordinate resources

true

the planning function that determines the need to replenish finished product inventory at branch warehouses, when there are multiple warehouses in the network, is called what?

enterprise requirement planning

If you felt that recent demand trends were more significant, and thus should be emphasized more in formulating a forecast, then in forecasting demand for the upcoming demand period, you would probably favor using a simple moving average over the conventional weighted moving average.

false

a bin system is a type of inventory system in which inventory is only ordered for a one-time stocking

false

costs which cannot be traced directly to the volume of units being produced are known as variable costs

false

dependent demand items are generally forecasted based on market conditions and/or historical sales and usage data

false

the four broad categories of inventory are raw materials, work-in-process, semi-finished goods, and finished goods

false

the true value of CPFR comes from the sophisticated forecasting algorithms that provide companies with highly accurate forecasts, rather than from the exchange of information between trading partners

false

which one of the following would be considered an inventory holding or carrying cost?

insurance costs/transportation costs*

A certain supply chain is made up of the following companies: 1. raw material supplier 2.intermediate supplier 3.manufacturer 4.wholesaler/distributor 5.retailer who is considered the second tier supplier of the manufacturer

intermediate supplier

Which of the following statements is false?

it is not generally recommended to use both quantitative and qualitative forecasting methods

________, such as lubricants for machines, are used in the production process, but do not become a part of the final product

maintenance, repair, and operating supplies

which of the following is not part of the supply chain planning hierarchy?

modified manufacturing plan (MMP)

one common cause-and-effect forecasting model is?

multiple regression

the following are all common qualitative forecasting models except:

naive forecasting

the number or quantity of each component or material needed to produce a single unit of the parent item is known as:

planning factor

what part of supply chain management deals with the process of moving goods specifically from the point of consumption back to the point of origin for repair, reclamation, remanufacture, recycling or disposal

reverse logistics

to determine if it is possible to actually execute and complete the mater production schedule as planned, you would use which of the following?

rough-cut capacity planning

Why would a company want to use ABC analysis when managing their inventory?

so they can focus their limited resources on the items that have the highest inventory value

what type of inventory is used; to take advantage of a price discount, to take advantage of a business opportunity, or for life cycle changes?

strategic stock

when a supply chain planner talks about using the BOM to do an MRP Explosion, they are talking about:

the process of converting a parent item's planned order releases into component gross requirements

material requirements planning requires all of the following except

the rough-cut capacity planning information

a forecast is an estimate of future demand and provides the basis for supply planning decisions

true

enterprise resource planning (ERP) systems allow supply chain members to share information so that scarce resources can be fully utilized to meet demand, while also minimizing supply chain inventories

true

in a fixed order quantity system, inventory levels are only checked/reviewed in pre-determined time intervals and may therefore require you to maintain higher levels of safety stock

true

it was intense global competition that led manufacturers to adopt supply chain management and other practices such as Just-In-Time (JIT)

true

the absence of communication and collaboration among companies in a supply chain creates individual supply chain participants to second-guess what is happening with ordering patterns, and therefore potentially over-react, creating the bullwhip effect

true

the foundational elements of Supply Chain management are integration, supply management, logistics management, and operations managements

true

simple moving average is a time series forecasting model which works well when the actual demand is either trending up or down over a long period of time

true*

what is the name of the engineering document that shows all component parts and materials which make up the final product?

Bill of Material

the business practice that combines the intelligence of multiple trading partners in the planning and fufillment of customer demands is known as

CPFR

what is the term for the type of inventory system that issues an order whenever a withdrawal is made from inventory, and the replinishment order quantity is equal to the quantity withdrawn from inventory

base stock level system

the impact of poor communication and inaccurate forecasts resonates along the supply chain and results in the:

bullwhip effect