OMIS Exam 2
Which of the following is FALSE?
VMI provides retail facilities the opportunity to communicate to manufacturers that the customers are requesting customized items
Which of the following is TRUE?
VMI stands for Vendor-Managed Inventory
Benchmarking is:
A practice where companies attempt to learn and apply the best practices of other companies.
The Ethical Trading Initiative (ETI) does NOT include which of the following:
Children under 13 shall not be employed
What does the acronym CPFR represent?
Collaborative planning, forecasting, and replenishment
According to the textbook, collaborative relationships place a relatively lower importance rating on which of the following competitive priorities:
Cost
Your company is conducting forecasting that revolves around the current recession and expansion of the U.S. economy. This type of forecasting can be referred to as what component of a time series?
Cyclical Variations
An outsourcing program can result in all of the following positive outcomes, except:
Decreased need for supplier management
Which of the following would most likely be considered a functional product?
Disposable Camera
Which of the following is NOT a step suggested in the Supply Chain Sourcing Strategy Framework?
Distribute free samples of all purchased products to the end-user for detailed evaluation and feedback on supply chain development
Which of the following can be used as a punishment for suppliers that perform poorly?
Elimination of future business with the focal firm Downgrade the supplier's status Billback penalty
According to the EcoMarkets survey, which surveys over 6000 private and public buyers, the most popular aspect of green sourcing is
Energy conservation
Which of the following indices provided by the Institute for Supply Management (ISM) is considered the most important by economists because it is a composite of five weighted, seasonally adjusted indices?
Purchasing Managers Index
One common Cause-and-Effect Model used is:
Regression analysis
The inventory level where suppliers replenish their customer's inventory with a predetermined order quantity is called the:
Reorder point
Inaccurate forecasts can result in negative outcomes like:
Stockouts and poor responsiveness to market dynamics
Managing a firm's external resources in ways that support the long-term goals of the firm can be referred to as:
Strategic sourcing
The management of the firm's external resources through identification and selection of suppliers, management of supplier relationships, and monitoring and rewarding supplier performance in an effort to support the long-term goals of the organization is called:
Strategic sourcing
Harold's Fish Shop decides to reduce its purchases from poorly performing fish suppliers and focus future orders with suppliers that have been top-performing in the past. This is an example of:
Supplier development
According to textbook, the top three challenges for CPFR implementation include all of the following except:
Supplier lead times
One of the most value enhancing activities performed by a supplier, for a key customer, which minimizes carrying costs and can avoid stockouts:
Vendor managed inventory
The textbook outlined a Supply Chain Ethical and Sustainability Sourcing Strategy Framework. How many steps are in this framework?
6
The primary benefits of ____ include costs savings and freeing up time for purchasing staff to concentrate on the firm's core activities.
Insourcing
The application of ethical principles to business situations can be referred to as:
Business ethics
Some measures of forecasting accuracy include mean absolute deviation, mean absolute percentage error, and mean squared error. The formula for each is dependent on the forecast error, which is calculated by using the equation:
Actual demand for period t minus the forecasted demand for period t
If a tracking signal is positive, which one of the following is true?
Actual value is higher than forecast
Which of the following are considered outcomes of implementing a supplier evaluation and selection criteria?
Allows firm to screen out poor performing suppliers in its present supplier base. Allows firm to screen out undesirable suppliers that they may be considering for future purchases. Allows firm and its suppliers to develop a better corporate relationship
The impact of poor communication and inaccurate forecasts resonates along the supply chain and results in the
Bullwhip effect
The purchasing managers at Sunnydale Corporation decide to intentionally increase purchases from small, women-owned suppliers. This decision can be considered:
Ethical Sourcing
Variations of outsourcing include all of the following EXCEPT
Front sourcing
Wal-mart is the driving force behind a system of measurement intended to influence how products are made and purchased in the future. This system of measurement is the:
Global sustainability index
Which of the following statements is FALSE
It is generally not recommended to use a combination of both quantitative and qualitative methods
According to textbook, which of the following companies is a leading forecasting software provider?
Just Enough SAS Business Forecast Systems, Inc.
All of the following are reasons for the increasing use of ethical and sustainable sourcing practices EXCEPT:
Legislation requiring corporate ethical and sustainable sourcing
Hard-bargaining sourcing departments focused on decreasing purchasing spend may experience which of the following from their suppliers?
Lower levels of quality from their suppliers Lower levels of service from their suppliers Deteriorating buyer-supplier relationships
According to the textbook, which of the following is NOT a way to closely match supply and demand?
Maintaining a rigid pricing system
Which one of the following is not a type of qualitative forecasting?
Naïve method
The following are all common qualitative forecasting models EXCEPT:
Trend Variation
The following term refers to an act that creates the greatest good for the greatest number of people:
Utilitarianism