SCM Exam 7 - Final

Most performance measures used by firms today: a. Are traditional cost-based and financial statistics. b. Tie customer requirements to firm capabilities. c. Reflect the underlying performance of the productive systems of an organization. d. Are consistent with the needs of the end customers.

a. Are traditional cost-based and financial statistics.

Which of the following is NOT one of the SCOR model's five categories of performance attributes? a. Profitability b. Reliability c. Agility d. Asset Management

a. Profitability

Which of the following is NOT a characteristic of supply chain performance measurement systems? a. Their goal is to achieve cost minimization for each supply chain member b. The measures must overlay the entire supply chain such that firms are all contributing to the supply chain strategy c. The focus of the system is on value creation for end customers d. They link supply chain trading partners to achieve breakthrough performance

a. Their goal is to achieve cost minimization for each supply chain member

Which of the following was designed in 1992 by Kaplan and Norton as a way to align a firm's performance measures with its strategic plans and goals? a. The SCOR model b. Balanced scorecard approach c. The top-down reliance model d. The supply chain alignment model

b. Balanced scorecard approach

Which of the following is NOT a step in creating an effective performance measurement system? a. Identify the firm's strategic objectives b. Identify costs, revenues, labor hours, and capacities used each period c. Design and document performance measures for each functional area that adequately track each required capability d. Assure the compatibility and strategic focus of the performance measures to be used

b. Identify costs, revenues, labor hours, and capacities used each period

Which of the following would be considered a good starting point for building a green supply chain strategy among supply chain partners? a. Calculating the supply chain cash-to-cash cycle times b. Obtaining ISO 14000 certifications c. Created a director of environmental sustainability for supply chain members d. Measuring the Supply Chain Carbon-to-Carbon Cycle Time

b. Obtaining ISO 14000 certifications

When utilizing performance standards, the difference between the standard and the actual performance is called a: a. Productivity Gap b. Performance Variance c. Organizational Variance d. Certified Variance

b. Performance Variance

Which of the following is most associated with world class performance measurement systems? a. Productivity measures are heavily upon b. They link firm strategies and operating decisions to customer requirements c. Firm success is guided by financial and economic measures d. None of these choices are correct.

b. They link firm strategies and operating decisions to customer requirements

Approximately how many performance measures does the BSC recommend? a. Four dozen b. Two dozen c. Three dozen d. One dozen

b. Two dozen

Given the following information, calculate the labor productivity growth rate from period 1 to period 2: Units produced in period 1 = 1,800 units, using 200 labor hours Units produced in period 2 = 1,840 units, using 220 labor hours a. 20.0% b. - 12.26% c. - 7.07% d. 8.36%

c. - 7.07%

Using the following information, calculate the total productivity: Output = 25,000 units; 400 labor hours @ $15.00 per hour Material cost = $625,000; Utilities cost = $1,400 a. 1.231 units/$ b. 0.0087 units/$ c. 0.0395 units/$ d. 6.264 units/$

c. 0.0395 units/$

Good performance measurement systems: a. Assist in pricing of products b. Use primarily financial performance measures c. Help to eliminate non-value-creating activities d. Are purchased from software providers

c. Help to eliminate non-value-creating activities

Which of the following is NOT one of the four perspectives of the BSC framework? a. Internal Business Process b. Customer c. Reliability d. Financial

c. Reliability

According to the SCOR model, which of the following is NOT one of the supply chain operations process categories? a. Plan b. Enable c. Sell d. Return

c. Sell

Which of the following is NOT one of the specific measures listed in the text that must be adopted by supply chain trading partners such that performance can be further aligned with supply chain objectives? a. Supply Chain e-Business Performance b. Total Supply Chain Management Costs c. Supply Chain Marketing Performance d. Supply Chain Cash-to-Cash Cycle Time

c. Supply Chain Marketing Performance

The world's largest green supply chain management initiative is being implemented by: a. McDonald's b. Amazon c. Walmart d. Samsung

c. Walmart

Which of the following is a problem with a company establishing labor and machine utilization standards for performance? a. Encourages the firm to reduce labor levels until everyone is overworked b. There is a tendency to continue producing and adding to inventory just to keep machines and people busy c. Less time is spent doing preventive maintenance, training, and projects that can lead to greater performance d. All of these choices are correct.

d. All of these choices are correct.

Establishing standards for performance comparison purposes: a. Eliminates the need for performance metrics b. Guarantees that the firm will improve performance c. Creates improvement goals beneficial to the organization d. Can be troublesome, particularly when the standards are unrealistic

d. Can be troublesome, particularly when the standards are unrealistic

Companies typically like to design scorecards that fit their business and industry. As a result, there are software applications that can help companies design scorecards that link via the web to a firm's enterprise software system. These web-based balanced scorecard applications are often referred to as: a. Executive Barometers b. BSC applications c. E-Cards d. Performance dashboards

d. Performance dashboards

Which of the following supply chain performance metrics measures the average percentage of orders among supply chain members that arrive on time, complete, and damage-free? a. Total supply chain management costs b. Supply chain delivery performance c. Supply chain cash-to-cash cycle time d. Supply chain perfect order fulfillment performance

d. Supply chain perfect order fulfillment performance