Chapter 4 - graded

b. Use of renewable energy

Sustainable sourcing policies should include which of the following? a. Use of minority workers b. Use of renewable energy c. Use of child labor d. Fair working conditions

a. Ethical Sourcing

The purchasing department at Big Horn Sheep Corporation decided to intentionally increase purchases from small, underdeveloped nations. This decision can be considered: a. Ethical Sourcing b. Utilitarianism c. Unethical d. Illegal

d. Win-win negotiations

A negotiation where both sides work together to maximize the joint outcome or to create a joint optimal result is referred to as: a. DMAIC improvement cycle b. Optimal review period c. Distributive negotiations d. Win-win negotiations

d. Sustainable sourcing

Convincing your supplier to cutting back on packaging, fuel, or electricity is an example of: a. Global sourcing b. Ethical sourcing c. Sole sourcing d. Sustainable sourcing

a. True

Criteria to evaluate a purchasing department's performance should include both quantitative and qualitative assessments. a. True b. False

a. True

Demands by customers for companies to become more ethically and environmentally focused have placed added pressures on firms to improve their performance in supply chain management. a. True b. False

b. Create an alliance board to oversee alliances

For a large company with many strategic supplier alliances, what would be the best way to manage them? a. Hire an outside firm to manage them b. Create an alliance board to oversee alliances c. Reduce the number of supplier alliances to less than five d. All of these choices are correct.

d. Supplier certification program

ISO 14000 may play a role in a firm's. a. Negotiated pricing program b. Manufacturing flexibility program c. Customer certification program d. Supplier certification program

a. The suppliers' recycled content

One standard which is measured in environmental supplier certification is: a. The suppliers' recycled content b. The number of on-time deliveries c. The number of trucks owned by the supplier d. Technology investment by the supplier

b. Identifying strategic alliance candidates

The use of environmental supplier certification programs assists companies by which of the following? a. Identifying companies who are the most popular with consumers b. Identifying strategic alliance candidates c. Helping communities who are in jeopardy of plant closures d. All of these choices are correct.

b. People, planet, profit

Some businesses refer to sustainability in terms of supporting the three P's. This stands for: a. People, place, price b. People, planet, profit c. Planet, people, price d. Place, price, promotion

c. Largely a voluntary effort

Sustainability reporting is ______________ for American companies: a. Required in the U.S. b. Required every 3 years c. Largely a voluntary effort d. Mandated quarterly

a. Allows firms to leapfrog the experience-gaining stage by trying things that have worked well for other companies.

The main benefit(s) from benchmarking sourcing practices is/are: a. Allows firms to leapfrog the experience-gaining stage by trying things that have worked well for other companies. b. Savings in energy consumption and materials, lower distribution costs, and improved corporate image among regulators, customers and community. c. Lower prices of goods and services, use of fewer buyers and lower administrative costs d. Larger market for products, economies of scale in purchasing and production, and lower labor costs.

d. All of these choices are correct.

Which of the following can be used as a punishment for suppliers that perform poorly? a. Billback penalty b. Downgrade the supplier's status c. Elimination of future business with the focal firm d. All of these choices are correct.

d. Certify suppliers as ISO 9001 compliant

Which of the following is NOT a step suggested in the Supply Chain Sourcing Strategy Framework? a. Establish corporate ethical and sustainable sourcing policies b. Prioritize items based on ethical and sustainability opportunities and ease of implementation. c. Develop a performance measurement system d. Certify suppliers as ISO 9001 compliant

d. Hiring former employees from other companies and assessing their knowledge

Which of the following is NOT a typical strategy for firms to obtain benchmarking data about other companies? a. Utilizing resources from the Center for Advanced Purchasing Studies b. Discussing sourcing strategies with colleagues at business association meetings c. Collecting published trade information on benchmarking studies d. Hiring former employees from other companies and assessing their knowledge

a. Utilitarianism

Which of the following terms refers to an act that creates the greatest good for the greatest number of people: a. Utilitarianism b. Rights and duties c. Corporate responsibility d. Social sustainability

a. They can gauge their success in improving their own value-enhancing contributions to the firm

Why do firms assess their sourcing capabilities? a. They can gauge their success in improving their own value-enhancing contributions to the firm b. They are looking for ways to reduce their employee headcount c. They can easily spot suppliers who are not practicing sustainable sourcing practices d. All of these choices are correct.

b. A fair trade product

_______ refers to one that is manufactured or grown by a disadvantaged producer in a developing country that receives for its goods. a. An imported product b. A fair trade product c. Bitcoin d. Freedom of association

d. Ethical sourcing

______________ considers the public consequences of organizational buying. a. Vendor managed inventory b. The bullwhip effect c. Benchmarking d. Ethical sourcing