SCM CHAPTER 5 END

Which of the following is a benefit of CPFR? a. Provides an analysis of key performance metrics b. Uses joint planning and promotions management c. Integrates planning, forecasting and logistics activities d. All of these choices are correct

d. All of these choices are correct

A forecasting method has produced the following data over the past 5 months shown in the data set. What is the mean absolute deviation (accurate to 1 decimals)?

2.4

Based on the information in the data set below, what is the mean squared error (accurate to 1 decimal)?

8.

The impact of poor communication and inaccurate forecasts resonates along the supply chain and results in the: a. Bullwhip effect b. Delphi method c. Mean deviation d. CPFR effect

a. Bullwhip effect

Inaccurate forecasts can result in negative outcomes like: a. Imbalances in supply and demand b. High inventory costs and increased profits c. Low inventory costs and stockouts d. Material shortages and decreased costs of obsolescence

a. Imbalances in supply and demand

According to the textbook, the top three challenges for CPFR implementation include all of the following EXCEPT: a. Supplier lead times b. Trust between supply chain partners c. Making organizational and procedural changes d. Cost

a. Supplier lead times

A positive error implies that a forecast was? a. Too low b. Too high c. Neither too high or too low d. The sign of an error gives no information as to the direction of the error.

a. Too low

Your company is conducting forecasting that revolves around population growth in large cities. This type of forecasting can be referred to as what component of a time series? a. Trend Variations b. Random Variations c. Cyclical Variations d. Seasonal Variations

a. Trend Variations

Random variations in a Time Series component are due to: a. Unpredictable events b. Population growth c. Using a large value for the exponential smoothing constant d. Inaccurate responses of the expert participants

a. Unpredictable events

The real value of Collaborative Planning, Forecasting and Replenishment (CPFR) comes from: a. Sophisticated forecasting algorithms b. Exchange of forecasting information c. Both "Sophisticated forecasting algorithms" and "Exchange of forecasting information" d. None of these choices are correct.

b. Exchange of forecasting information

Quantitative forecasts use mathematical techniques that are based on: a. Surveys b. Historical data c. Sales force knowledge of the market d. Expert opinions

b. Historical data

In 2016, Spin Master, did not properly forecast demand for their new product, Hatchimals, causing ___________ for their distributors. a. Excess stock b. Stockouts c. The bullwhip effect d. Price reductions

b. Stockouts

Cyclical variations are longer than a year and can be influenced by: a. Events such as natural disasters b. Population growth c. Political factors d. Imbalances in supply and demand

c. Political factors

When there is not a lot of currently relevant data available it is generally best to use: a. Simple moving average forecasting b. Time series forecasting c. Qualitative forecasting d. Naive forecasting

c. Qualitative forecasting

Which one of the following is NOT a type of qualitative forecasting? a. Sales force composite b. Jury of executive opinion c. Simple moving average d. Consumer survey

c. Simple moving average

When linear trend forecasts are developed, demand would typically be: a. The lead variable b. The passive variable c. The dependent variable d. The independent variable

c. The dependent variable

All of the following may influence demand and should be considered when developing a forecast EXCEPT a. New competition b. Emerging markets c. Supplier quality d. Ergonomic conditions

d. Ergonomic condition

Using the data set below, what would be the forecast for period 4 using a three period moving average: (Choose the closest answer.)

11883

Using the data set below, what would be the forecast for period 5 using a four period weighted moving average? The weights for each period are 0.05, 0.15, 0.30, and 0.50 from the oldest period to the most recent period, respectively. (Choose the closest answer.)

13710

Using the data set below, what would be the forecast for period 5 using the exponential smoothing method? Assume the forecast for period 4 is 14000. Use a smoothing constant of α = 0.4 (Choose the closest answer.)

14750-14000 750*.4=300+14000 14300