Trans. Ch.9
Which of the following is not one of the four steps in the risk management process? a. Identify the risk b. Analyze the risk c. Manage the risk d. Cost the risk mitigation
Cost the risk mitigation
Which initiative encourages businesses to ensure the integrity of their security practices and verify the security guidelines of their business partners within the supply chain? a.Container Security Initiative b.Customs-Trade Partnership Against Terrorism c.Maritime Transportation Security Act of 2002 d.Free and Secure Trade
Customs-Trade Partnership Against Terrorism
Which of the following is not a common point of exposure for a potential security breach? a. Lax security processes b. Unprotected transfer facilities c. Data encryption d. Shipment control breakdown
Data encryption
A truck breakdown can be characterized as what type of risk? a. Equipment accident b. Improper equipment loading c. Delivery delay d. Supply chain disruption
Delivery delay
Not putting all your "eggs in one basket" is what type of strategy? a. Postponement b. Buffering c. Hedging d. Transfer
Hedging
The Free and Secure Trade (FAST) Program is between the U.S., Canada, and: a. Mexico b. Cuba c. Germany d. England
Mexico
Which of the following is a type of product loss? a. Pilferage b. Damage c. Climate control failure d. Labor disruption
Pilferage
What two parameters are involved in risk assessment? a. Cost and impact b. Probability and impact c. Frequency and probability d. Duration and probability
Probability and impact
The Maritime Transportation Security Act of 2002 is intended to: a. Protect U.S. ports and waterways from terrorist attack b. Reduce the threat that a maritime container will be used to deliver a weapon c. Streamline cargo manifests d. Establish ocean based power generation
Protect U.S. ports and waterways from terrorist attack
The process which provides a baseline evaluation of risk in a rapid and cost-effective manner is known as: a. Quantitative risk analysis b. Event management software c. Qualitative risk analysis d. Risk avoidance
Qualitative risk analysis
What is the final step in risk management? a. Reviewing and monitoring b. Reduction c. Identification d. Analysis
Reviewing and monitoring
What is the simplest way to eliminate risk? a. Risk reduction b. Risk mitigation c. Risk avoidance d. Risk identification
Risk avoidance
The comprehensive port security law designed to keep nuclear, chemical, and biological weapons out of freight containers traveling to U.S. ports is called: a. Container Security Initiative b. Aviation and Transportation Security Act c. Maritime Transportation Security Act of 2002 d. Security and Accountability for Every Port Act (SAFE)
Security and Accountability for Every Port Act (SAFE)
Which of the following is not a transportation risk reduction strategy? a. Use of generic packaging b. Use of event management software c. Monitor carrier finances d. Use of least cost service provider
Use of least cost service provider
A deliberate product contamination risk is called? a. Tampering b. Climate control failure c. Exposure to contaminants d. Hedging
tampering
A risk mitigation strategy should produce an action plan that identifies that includes all of the following except: a. Roles and responsibilities for developing the strategy b. Resources required to carry out the planned actions c. Conditions present in order for risk level to be acceptable d. A way to get rid of the risk completely
A way to get rid of the risk completely
Which risk reduction strategy provides additional resources to reduce risks related to capacity shortages or performance problems? a. Postponement b. Buffering c. Hedging d. Transfer
Buffering
In 2013, there were ____ reported pirate attacks on ocean going vessels worldwide? a. 2,064 b. 640 c. 264 d. 64
C
What is the term for an external supplier that perform all or part of an organizations logistics services? a. Freight forwarder b. Consultant c. Third party logistics service provider (3PL) d. Just in time provider
3PL
Supply chain disruptions can result in: a. Increased stock price b. Lower operating performance c. Decreased stock price d. Higher return on assets
Lower operating performance