SCM 301 exam 3
Facility location decisions can affect the level of service provided to customers and a firm's overall competitive advantage.
True
Global location decisions are made to optimize the performance of supply chains and to be consistent with the firm's competitive strategy.
True
Choosing to manufacture in China to sell to Chinese customers would likely involve which location decision consideration?
Proximity to markets
Once a decision on locating a facility is made, it is costly to move or shut down that facility.
True
The objectives of any CRM initiative should be focused on what the company can reasonably achieve.
False
Transportation management system (TMS) applications allow firms to find carriers, track fuel usage and product movements, and stock the shelves at customers' location.
False
Which of the following carriers is most favorable, but inflexible, when shipments are heavy and the distance for delivery is long?
rail carriers
Reverse logistics refers to the movement, storage, and processing of:
returned goods
_______________ can have a positive impact on the environment through recycling, reusing materials and products, or refurbishing used products and reducing the environmental impact of certain modes of transportation used for returns.
reverse logistics
Which of the following is NOT one of the Seven R Rules for customer service?
right software
Logistics is what creates the flow of goods between supply chain trading partners, such that costs, service requirements, competitive advantage, and profits can be optimized.
True
When restaurants offer individual promotions tied to specific events like birthdays and anniversaries, this is referred to as:
event-based marketing
Small firms with no internal logistics expertise and large firms with many sizeable and varied logistics needs can benefit greatly by using:
3pL service
The for-hire logistics expenditures in the U.S. has grown by than ___________% in the last ten years?
50%
Customer churn occurs when:
A customer quits purchasing from a business
Data security issues most likely arise when
A firm implements various CRM applications without communicating with each department
Facility location has what impact on the supply chain?
A long-term impact
According to the textbook, CRM system training should be provided ________________ the implementation process. a. Before b. During c. After
All of the above
Customer lifetime value is used to segment customers based upon their:
Both current and future profitability
Which of the following allows users to log in to the CRM system, simultaneously, from any Internet-enabled computer or mobile device?
Cloud CRM applications
Once a decision on locating a facility is made, and the new facility is built and occupied, it is ________ to move or shut down that facility.
Costly
A customer purchases a hair dryer, and the salesperson recommends a hair heat protection product. This is an example of:
Cross-selling
The element of a CRM program in which a customer's lifetime value is calculated is referred to as:
Customer value determination
According to recent research which of the following is NOT one of the top three reasons for customer defections?
Customers like to touch and feel the merchandise
If goods are produced in a U.S. foreign trade zone, then:
Duty is always paid when they leave the free trade zones
Right-to-work laws allow:
Employees the right to decide to join a union
Which of the following is a factor in choosing a location?
Environmental Issues
Your company asks for customers' birthdates and offers a free meal to celebrate the occasion. This is referred to as:
Event-based
A country that imposes high tariffs encourages foreign-based companies to import goods.
False
A customer flow map is useful in determining customer profitability.
False
A list of quality-of-life factors would most likely include proximity to customers, proximity to suppliers, tariff rates, and currency stability.
False
A small LTL shipment that originates on a truck in San Francisco and is moved from San Francisco to Las Vegas where it is unloaded and put onto another truck for final shipment to Phoenix would be considered an intermodal shipment since it utilizes more than one vehicle during shipment.
False
According to the textbook, the five basic modes of transportation are motor, rail, air, water, and drones.
False
Facility location has a short-term impact on the firm's supply chains.
False
Foreign-trade zones (FTZs) are secure sites within the European Union under the supervision of the EU Customs and Tariffs
False
Generally speaking, motor carriers are less expensive than rail carriers to haul goods.
False
Low tariffs encourage multinational corporations to set up factories to produce locally.
False
Segmenting customers on the basis of things like products purchased, sales history, demographic information, and desired product features can dilute the results of a CRM program.
False
A customer's lifetime value is calculated by:
Finding the NPV of a customer's projected lifetime profits for the firm
One reason CRM programs fail is because:
Firms have diminished efforts to build customer relationships
The first major transportation regulation in the U.S. was which of the following:
Granger Laws
Which of the following is an example of what companies can do to improve environmental performance?
Horizontal collaboration
It is argued that transportation deregulation is good because:
It ensures that adequate transportation service is available throughout the country
Which of the following is a CRM tool which can lead to better customer service by giving sales personnel better access to information on contracts, clients, competitors, regulatory issues and laws, sales promotions, and previous client correspondence?
Knowledge management system
All of the following are a type of CRM program performance measurement EXCEPT:
Location analysis rate
Which of the following creates the efficient flow of goods between supply chain partners, allowing profits and competitive advantage to be maximized?
Logistics
When firms begin evaluating and using foreign suppliers, which of the following becomes a critical factor in the sourcing decision?
Logistics Costs
Which of the following is NOT a goal of Warehouse Management Systems?
Managing allocation of shelf space based on customer behavior
In the U.S., which of the five basic modes of transportation is responsible for the largest volume (in tonnage) of domestic freight hauled?
Motor
5 modes of transportation
Motor, rail, air, water and pipeline
Which of the following is NOT consistent with a decentralized warehousing system?
Outbound transportation costs will be higher
A product positioned strategy:
Places warehouses close to the sources of supply
You are a manager at Muhammad's Appliances. A customer who recently purchased a refrigerator contacts you with a problem and requests warranty information. This is an example of:
Posttransaction customer service
The element of a CRM program involved with the use of data-mining software and customer behavior analytics is:
Predicting customer behaviors
Returns management is also known as:
Reverse logistics
Foreign-trade zones are:
Secure sites within the United States where goods and materials can be assembled and exported without being levied domestic duties or excise taxes
All forms of Customer Relationship Management:
Seek to keep the firm's customers satisfied
According to the text, which of the following would be an example of Coca-Cola's international bottling plants, each serving a small geographic region?
Server Factory
Which of the following has now replaced NAFTA?
the USMCA
The World Trade Organization (WTO) is critical to the facility location decision process because of their impact on:
Tariffs
Why do so many CRM programs fail?
There is a lack of understanding the problems the CRM program is trying to solve
Which of the following would be considered an act of deregulation?
Trucking Industry Regulatory Reform Act − Motor carriers freed from filing rates with the Interstate Commerce Commission
One of the big energy wastes comes what is referred to as empty miles. What does that mean?
Trucks returning from their deliveries empty
Segmenting Customers is an important component of a CRM initiative.
True
Third-party logistics (3PL) services can assist with customs clearance and storage location.
True
Multiple stand-alone CRM applications throughout the company can result in
Wasted money and disgruntled customers
Organizations find they must continue to identify and develop innovative ways to _________ customer relationships to maintain a competitive advantage.
add value to
Logistics affects the supply chain function by: a. Determining how deliveries can be made in a timely manner b. Creating the flow of goods between supply chain partners c. Providing time and place utility
all of these
Which of the following types of carriers offers transportation services to all shippers at published rates between designated locations?
common carrier
When warehouses receive, break down, and repackage shipments, and then distribute components to a manufacturing location or finished products to customers by a distribution center this activity is referred to as:
cross-docking
Lean warehousing may involve all of the following capabilities EXCEPT:
decreased automation
The following are all examples of lean warehousing capabilities EXCEPT
decreased automation
CRM implementation studies have found a direct relationship between program success and _____________.
employee involvement
Which of the following is NOT an emerging trend in CRM today?
personal value creation
Value of Service Pricing
transportation providers price their services at the highest levels the market will bear (competitive levels.) Prices are thus based on the level of competition and the current demand for each service. This is a profit-maximizing pricing approach.
intermodal transportation
two or more transportation modes used in combination
cost of service pricing
used when carriers establish prices based on their fixed and variable costs of transportation
What carries the majority of the world's water-transported manufactured goods?
Containerships
Some firms identify customers based on geography such as in local or neighborhood marketing. This is an example of:
target marketing
You work for a company that segments customers by demographic information and markets specifically to those customers who are college graduates. This is an example of:
target marketing
Firms can safeguard customer information by doing which of the following?: Outsourcing call centers to only domestic companies Keeping call centers within the company Allow customers to opt-in and out of mailing lists
All of these are correct
Which of the following are intermodal transportation alternatives? Truck trailer-on-flatcar Roll-on-roll-off Piggyback service
All of these are correct
Which of the following issues is (are) important to consider when trying to determine the location of a firm's facilities?: The stability in the location considered Environmental issues regulated by domestic laws or international trade agreements Labor availability and skill levels
All of these are correct
Examples of regional trade agreements include all of the following EXCEPT:
Association of Korean Markets (AKM)
Which of the following is NOT an element of an effective CRM initiative?
Preserving a traditional sales force that communicates with the supply-chain members
A firm competing on cost is more likely to select a location that provides a cost advantage.
True
Business clusters provide the competitive environment that promotes increasing innovation and profitability.
True
In many cases, reverse logistics is viewed as an unwanted activity of supply chain management.
True
One of the motivations behind customer relationship management is; finding a new customer costs about 5 times as much as keeping an old customer.
True
Sales force automation (SFA) products are used for documenting field activities, communicating with the home office, and retrieval of sales history.
True
Some applications allow a company for instance to extract information automatically about people from a social network like LinkedIn and load it directly into one of its CRM systems.
True
When mistakes occur in deliveries along the supply chain, more safety stocks must be held, adversely impacting both customer service levels and costs.
True
Which of the following trade agreements replaced NAFTA?
United States-Mexico-Canada Agreement (USMCA)
When designing and implementing a successful CRM program firms should do all of the following EXCEPT:
Use multiple software systems to handle customer-oriented processes
Companies work very hard to reduce the number of customers who don't return. This customer defection is often referred to as:
customer churn
CRM allows organizations to identify which customers have stopped purchasing products or services so that it can target those former customers for future promotions and/or perhaps investigate why they stopped purchasing in the first place. This CRM attribute is called:
customer defection analysis
Which of the following international intermediaries move global shipments through customs for companies and handle the documentation required to accompany the shipments?
customs broker
Which of the following are secure sites within the U.S. where goods and materials can be assembled and exported without being levied domestic duties or excise taxes?
foreign trade zones
The process of planning, implementing, and controlling procedures for the efficient and effective transportation and storage of goods including services, and related information from the point of origin to the point of consumption for the purpose of conforming to customer requirements
logistics
Which of the following is one of the most basic and important activities of CRM?
segmenting customers