Intro to Supply Chain Final Stephanie Thomas

Over the past several decades, power has shifted in the supply chain from_____________ to _______________.

manufacturers; retailers

Which of the following statements best represents supply chain career paths?

many supply chain professionals work in a variety of areas within the supply chain and may move laterally in order to be cross functionally trained

The long tail of demand refers to an increased______________.

number of SKU's

_________________ is a multi-channel approach to sales that seeks to provide the customer with a seamless shopping experience whether the customer is shopping online from a desktop or mobile device by telephone or in a bricks and mortar store.

omni-channel retailing

If a product is "cross-docked" in a distribution center, which process(es) is/are skipped?

order picking and replenishment

Which is not a primary function of a TMS?

picking

Which is NOT a reason why doing business in China may be more challenging than in the U.S.?

products may be exactly the same

If a company shifts from offshore to domestic production, which of the following statements is likely to be true?

safety stock cost decreases

Safety stock is ______________.

the expected number of units on hand just before a replenishment is received and available for use or sale

What does 3PL stand for?

third party logistics

What does TEU stand for?

twenty foot equivalent unit

Supply chain strategy defines the connection and combination of activities and functions throughout the value chain in order to fulfill the business_______________ to customers in a ______________.

value proposal; marketplace

According to the ATA, what would be the potential impact of a truck stoppage on the healthcare industry?

patient care will be immediately jeopardized in the truck stoppage zone. prescription drug inventories will be depleted quickly. food supplies will run out in hospitals in 24 hours

In business negotiations, which side is usually better prepared?

supplier negotiators

A _____________ is a set of 3 or more organizations directly linked by one or more of the upstream and downstream flows finances and information from a source to a customer.

supply chain

An MBA is often a necessary degree to reach what level of employment?

tactical

Vision picking is a cutting edge technology that is being incorporated into which area of the supply chain?

warehouse

What are the major modes of international transportation?

water and air

Order ___________ refers to criteria that differentiate one firm from another.

winner

If a fulfillment center has no on-hand inventory but receives an order that cannot be immediately filled, this order represents ______________ if the customer will wait.

A backorder

The fundamental assumption underlying the use of time series forecasting methods is that_________________.

If it worked well on past data, the future is just an extension of the past

At the macroeconomic level, the price of transportation is____________.

Inelastic

Supply chain technology helps facilitate which of the supply chain flows?

Information

Using both rail and motor carriage to deliver a shipment to its final destination is an example of _____ transportation.

Intermodal

In the future, how is the heterogeneity of products on a given truckload expected to change?

It is expected to increase

If lead time increases, what should happen to the reorder point?

It should increase

As the number of touch-points in a supply chain decrease, which is most likely to happen?

Lead time variability decreases

How do management and leadership differ?

Leaders innovate; managers execute

In the Kraljic Matrix Model, which type of purchase is characterized by multiple suppliers, focus on provider value, and some differentiation?

Leverage

Scheduling carriers, unloading vehicles, inspecting freight, and verifying orders are all part of which distribution center process?

Receiving

The emergence of omnichannel retailing makes the need for which type of flexibility particularly important?

Variety

Which type of flexibility refers to the ability to manage transitions in production and delivery across heterogeneous products?

Variety flexibility

Which type of flexibility refers to the ability to scale output up and down without significant penalty?

Volume flexibility

Updating and maintaining inventory information in a distribution center is a primary function of which type of system?

WMS

Which companies collaboratively pioneered the sharing of POS data?

Walmart and P&G

Which of the following is an example of a fast supply chain model?

Fashion Apparel

To which type of system is a WMS usually connected?

ERP

____________ of the total negotiation process time should be spent in preparation

75%

Which is an innovative example of postponement?

3D printing

Operations managers face many challenges in today's business environment. Which of the following is not a challenge that they have to address?

All of the above are challenges faced by todays operations managers

Which of the following is not one of the roles of distribution in supply chain management?

Balancing supply and demand, allowing quantity purchase discounts, and promoting transportation economies All of the above

Which of the following is the software category that develops graphical dashboards for managers to evaluate their performance versus goals?

Business Intelligence

Profit divided by assets is __________.

ROA

According to the ATA, what would be the potential impact of a truck stoppage on the banking and finance industry?

Cash resources and depleted with days. Companies lose access to cash. Regular transaction processing will cease.

Which logistics service provided by 3PLs is most commonly used by organizations?

Domestic Transportation

A negotiator that likes to solve problems in creative ways and seeks the best solution for all involved is likely to use which type of negotiation strategy?

Collaborating

Which is a key reason that companies need to develop more agile capabilities?

Customer purchase patterns are changing.

What is the leading critical issue in the trucking industry today?

Driver shortage

Lowe's has a cash to cash cycle of 24 days. Home Depot has a cash to cash cycle of 20 days. Based on this information , which of the following statements would be correct?

Home Depot manages their cash to cash cycles more efficiently than Lowe's

Using a continuous review model, a shorter lead time will cause which of the following?

Decrease in safety stock costs and increase in cycle stock (carrying) costs choices A&C

If a sourcing manager for Wendy's desires a strategic item relationship approach with the supplier of Frosty mix, how would you describe this type of relationship?

High value strategic item purchased that needs a collaborative approach, seek ways to create value, few other qualified suppliers

Which of the following is an example of a flexible supply chain model?

FEMA emergency shipments

Which of the following is the standardized test commonly required for entrance into MBA programs?

GMAT

_____________ diversity is one of the greatest diversity management challenges facing businesses today.

Generation

Which of the following is the 7 R's definition of logistics?

Getting the right product, to the right customer, in the right quantity, in the right condition, at the right place, at the right time, and at the right cost.

Which of the following forecast error metrics is most useful when communication about the forecast error of two products?

Mean absolute percent error (MAPE)

Based on your reading, how would you describe the demographics of today's supply chain managers?

Mostly males with an average age of 48

In the US, which mode is largest in terms of total spend?

Motor Carriage

_______________ jobs are involved in the day-to-day management of people and flow of products.

Operation

Which has the correct order of lead time processes?

Order creation, picking, staging, transit

According to Clayton Christensen, highly driven people should focus on better allocating their resources. What does this mean?

People need to decide how to divide their time between their many "businesses"

If a company places a replenishment order on the same day each month, which policy is being used?

Periodic review

________ is data that is captured at the retail checkout

Point-of-Sale

A custom dream home is likely manufactured using which type of process layout?

Project

Which is typically the largest of the costs that make up inventory carrying costs?

Purchase cost OR (Not sure which) Capital

Frito Lay places an order for copy paper with Staples. The order is placed online. Which type of buying would this be an example of?

Purchasing

One of the direct effects of an increase in transportation cost is to reduce _____.

ROA

Gross margin equals

Sales - COGS

One key function of a TMS is the ______________ of shipments.

Sequencing

Which of the following is a fundamental concept of logistics management?

There are tradeoffs among many of the logistics costs and customer service targets

If a company uses the Panama Canal instead of sailing around South Africa. Which type of logistics utility are they focusing on?

Time

The idea that there are many other costs than the acquisition costs of a purchase is known as _______________.

Total Cost of Ownership

Which is a key reason why an apparel product might be partially produced in several different countries?

Trade agreements between countries

FedEx would be an example of which type of 3PL provider?

Transportation based

The transportation mode with the highest level of accessibility is?

Trucks

Snacks like Hostess Twinkies are likely manufactured using which type of process layout?

assembly line

Lead time is the time between when an order is placed and the inventory is ___________________.

available for use

Economies of scale is a reduction in ____________ when volumes are increased.

average cost per unit

When Nike made the decision to outsource all of its production to contract manufacturers instead of manufacturing Nike products in Nike facilities, they were evaluating which trade off?

make vs buy

What does BATNA stand for?

best alternative to a negotiated agreement

As the degree of globalization increases, what generally happens to production and materials costs?

both cost decreases

In the Kraljic Matrix Model, which type of purchase is characterized by few suppliers, low value added, and product availability is important for production schedules?

bottle neck

Lowe's and Home Depot working together to get products to areas ravaged by the recent hurricanes is an example of:

competitive collaboration

Which type of inventory is the amount of inventory that is expected to sell during a replenishment period?

cycle stock

How is the cash to cash cycle measured?

days of inventory + days of receivables - days of payables

Resilience in the 4 R's of supply chain competition is defined as being able to _________________.

deal with unexpected disruptions in the supply chain

As a firm increases spending for transportation services, the cost of lose sales should

decrease

When logistics costs increase, profit will

decrease

Which is the primary meaning of postponement?

delay

Against which two forms of uncertainty does safety stock protect?

demand and lead times

Which of the following was important for the growth of intermodal transportation?

development of standardized containers

Walmart uses a "door per store" philosophy in some of their distribution facilities. What does that mean?

each outbound shipping dock door is assigned to a specific store

At the carrier level, the price of transportation is ______________.

elastic

What is the primary goal in forecasting?

for the forecast to be both accurate and unbiased

Obsolescence is likely a bigger problem for which type of product?

fresh carrots

If General Mills is forced to increase their order cycle from 7 days to 14 days, what should be the impact on overall inventory levels?

inventory levels will increase

Evaluate how the economic order quantity is affected if the cost of holding inventory increases holding all other components of the equation the same.

it decreases

In terms of logistics and operations, packaging is important because

it protects the goods produced and makes it easier to handle/transport

The objective of Walmart's early network design strategy was to:

locate stores close to a DC

Causal models might best be used for ___________ forecasting while time series models are mostly used for ____________ forecasting.

long term; short term