GSC Exam 3

Which of the following describes consolidation warehousing?

A single manufacturer takes output from several of its manufacturing plants and combines them into one shipment to a major customer.

There are few, if any, options for adjusting capacity levels for managers involved in what planning level?

Detailed planning and control

Each entity in a supply chain should produce its own sales and operations plan independent of the other members in order to improve the overall cost performance in a supply chain.

False

Which of these is NOT a logistics activity?

Inspection

Planning numbers are somewhat aggregated (month by month) in what planning level?

Tactical planning

Packaging is a logistics activity

True

Acme wants to locate a warehouse to serve their major customers that are shown in the table. What is the location that will minimize the transportation costs for their family of products?

(near, 4, 5)

Laws of Forecasting

1. Forecasts are almost always wrong 2. Forecasts for Near Term tend to be more accurate 3. Forecasts for groups of products are more accurate 4. Forecasts aren't substitutes for calculated values

determine which of these statements about inventory management is BEST?

A system using water and rail transportation tends to have higher levels of inventory.

A service firm that takes care of all of the logistics requirements for other companies is a:

Third party logistics provider

A constraint in an optimization modeling approach to S&OP should not allow overscheduling of equipment time.

True

A hotel using yield management would raise prices if demand is higher than expected only if the expected result is higher profit.

True

A(n) constraint limits our ability to increase profits or cut costs by reducing the set of possible solutions in an optimization model

True

At the beginning of the semester, you decide to devote 12 hours a week outside of class time to your Operations and Supply Management class, regardless of scheduled tests, assignments, or project due dates. This is a level plan approach to your favorite

True

Bottom-up planning should be used when the product/service mix is unstable and resource requirements vary greatly across the offerings.

True

Sales and operations planning across a supply chain is similar in nature to collaborative planning, forecasting, and replenishment

True

The perfect order measures how effectively logistics serves the customer while the landed cost measures how efficiently logistics provides that service

True

The standard equation used by Gigi Enterprises for production planning is Production = Demand. The sales and operations planner is probably using:

a chase production approach

A company pondering the implementation of S&OP should first:

build the managerial support and infrastructure needed to make S&OP a success

The most detailed level of logistics information systems is the

execution system

The transportation mode with the highest dollar value of freight in the United States is:

highway

Which of these is NOT an advantage of linking sales and operations planning throughout the supply chain?

increased sales revenue

One form of warehousing that features light manufacturing and packaging duties and allows firms to put off final assembly or packaging until the last possible moment is:

postponement warehousing

The transportation mode other than highway with the highest annual tonnage in the United States is

rail

A long-term movement up or down in a time series is called

trend

An organization that meets seasonal swings in demand by hiring and then laying off temporary workers while maintaining a few full-time permanent workers is employing a(n) tiered workforce strategy.

true

Hub and spoke systems are characterized by:

warehouses that are purely sorting facilities.

The mode of transportation that is highly cost effective for bulky items but has relatively poor delivery reliability and speed and the lowest number of convenient locations is:

water

The Super Bowl is right around the corner and Gowgem Hotels is aquiver with anticipation. They'd like to price their rooms at their three city locations, next to the stadium, near the airport, and in the suburbs, as high as possible but still achieve 100% occupancy. The approach they should take to this opportunity is:

yield management