6371 quiz

In manufacturing organizations, the dollars spent with suppliers fall into what range as a percent of revenues?

50 to 85.

The profit-leverage effect of supply savings means that:

a dollar saved in supply effects profits far more than an equal increase in sales.

Supply chain management refers to:

a systems approach to managing the entire flow of information, materials, and services from raw materials suppliers through factories and warehouses to the end-customer.

The return on assets effect (ROA):

captures the impact of supply actions on the inventory asset base and the balance sheet.

Supply has the potential to contribute to:

cost management, profitability, return on assets, competitive position and corporate social policy.

The role of strategic supply management is best captured by the following question:

how can supply and suppliers help decrease cost and increase revenues?

Supply's roles and responsibilities may grow in terms of the:

percentage of spend and purchase categories managed by supply. span of activities under the management or control of supply. level of involvement in what is acquired and supply chain activities involvement in corporate activities.

To contribute to organizational strategy, the supply department should:

seek opportunities to provide competitive advantage.

Action(s) which may directly influence public relations and company image, include:

treating suppliers in a fair and equitable manner. complying with regulatory requirements. suppliers' labor, environmental, and ethical practices.

Performance of the supply management function can be viewed in two contexts:

trouble avoidance and opportunistic.