SCM 421 Final Ch. 13

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True

As a rule of thumb, a Cpk of 1.5 or higher indicates that your supplier's process can meet your desired quality levels.

False

As a rule, supplier certification programs require very little time, effort, or resource dedication.

True

By making processes visible, process capability analysis and cause-and-effect analysis help you identify and remove the sources of process variation

False

Companies pay more attention to total costs of ownership than they do to purchase price

False

Quality is an important supplier selection criterion that is found on about 25% of all supplier-selection/evaluation scorecards

True

Supplier scorecards are like a report card ; that is, your selected criteria and scales tell suppliers what you will be grading on them

3.33

Suppose that the design engineering team set the specifications for length of a stamped sheet-metal part at 10 inches (T) with acceptable tolerances of ±.05 inches (USL and LSL). The average length of the products produced by the actual stamping process is 9.995 inches (m) with a standard deviation of .005 inches (). What is your Cp?

3.00

Suppose that the design engineering team set the specifications for length of a stamped sheet-metal part at 10 inches (T) with acceptable tolerances of ±.05 inches (USL and LSL). The average length of the products produced by the actual stamping process is 9.995 inches (m) with a standard deviation of .005 inches (). What is your Cpk?

True

What gets measured gets done

a. Higher quality parts b. Better buyer/supplier relationships c. lower transaction costs d. simplified receiving e. ALL OF THE ABOVE

Which of the following are buyer benefits from supplier certification?

The difference between what you pay and the budgeted price

Which of the following best describes purchase-price variance

Evaluate the specifications to make sure they are not tighter than they really need to be AND Work to improve the process to reduce variability. AND Find a new supplier that operates better, more consistent processes.

If you discover that a supplier's process is not capable of consistently producing within your required design specifications, which of the following actions should you consider taking?

Verify that the supplier's production process is capable of consistently producing product within the design specifications your engineers have set.

Process capability analysis is used to...

True

The best place for you to start certifying supplier is in the "leverage" or "critical" quadrants of the purchasing portfolio

False

The best place to start certifying suppliers is in the "routine" quadrant of the purchasing portfolio matrix

False

The process for designing/developing a supplier scorecard must be different and distinct from the process you used to develop buyer appraisal criteria

They are very hard to use

Which of the following is NOT a key role of a supplier scorecard?

Autocratically choose the most important criterial

Which of the following is NOT a step in the process for developing a buyer appraisal system

You are a supplier and want to demonstrate that your processes actually produce products of outstanding quality

Which of the following is NOT an appropriate scenario for promoting/pursuing ISO 9000 certification

Evaluate the performance of customer account and new product teams

Which of the following is NOT an appropriate way to use supplier scorecards?

Profits

Which of the following is NOT one of the six areas you evaluate in a formal cause-and-effect analysis

Links behavior to strategy AND promotes future capability development and improves discipline

Which of the following is a benefit of using a ballanced scorecard

a. customer expectations b. operational excellence c. future capability development d. financial performance e. ALL THE ABOVE

Which of the following is a key dimension of the balanced scorecard

Existing measures were too short-term focused AND Existing measures were too financially oriented

Which of the following is a reason or rationale for the development of the balanced scorecard concept

Procrastinate and Calculate

Which of the following is not one of the steps in W. Edward Demings PDCA cycly?

a. Build productive relationships with internal customers b.Understand supply and demand for the items/categories they buy c. Scan actively; that is, track risks and emerging technologies d. Design processes for making standard buys. i.e. p-cards and web catalogues e. Help suppliers continuously improve their own processes....all of the above.

Which of the following is something you should expect a great buyer to do

You no longer perform incoming inspections AND incoming shipments go straight to inventory or to the production floor

Which of the following is true of dock-to-stock suppliers

At the right price

Which of the seven rights of purchasing is most frequently measured?

a. Purchasing leadership b. Internal Customers c. Suppliers d. Buyers. e. ALL OF THE ABOVE

Who should participate in developing your firm's buyer appraisal system?

True

Your goal in developing a buyer measurement system is to develop a holistic buyer measurement system that promotes appropriate behavior and high levels of performance.


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