Module 9

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A computer-to-computer exchange of business documents in a standard format is known as

electronic data interchange (EDI).

Companies resist establishing green supply chains for all the following reasons except that

green initiatives lower costs because fewer resources are consumed.

E-procurement is most often used for

indirect goods

Increased uncertainty and variability in a supply chain typically results in

larger invetories

All the following are enablers of efficient supply chain management except

price tags

Supply chain integration does not involve __________________ among supply chain members.

reducing competition

One way to reduce the bullwhip effect is for supply chain members to

share demand forecasts with other supply chain members.

Mexico has replaced China as the U.S.'s top trade partner.

False

Inventory turnover is computed by

dividing the cost of goods sold by the average aggregate inventory value.

The most common mode of transporting products is

trucking

A company that produces specialized video equipment had cost of goods sold last year of $127,000,000. The average value of inventory for raw materials, work-in-process, and finished goods are shown in the table below: If the company operates 50 weeks per year then the number of inventory turns would be

10.2090

A company that produces printer cartridges had cost of goods sold last year of $629,462,423. The average value of inventory for raw materials, work-in-process, and finished goods are shown in the table below: If the company operates 50 weeks per year then the weeks of supply in inventory would be

3.716

A company that produces specialized video equipment had cost of goods sold last year of $127,000,000. The average value of inventory for raw materials, work-in-process, and finished goods are shown in the table below: If the company operates 50 weeks per year then the weeks of supply in inventory would be

4.898

A company that produces small electric motors for treadmills had cost of goods sold last year of $241,000,000. The average value of inventory for raw materials, work-in-process, and finished goods are shown in the table below: If the company operates 365 days a year the days of supply being held in inventory is

44.35

Distributors, warehouses, and retailers are referred to as _____________ supply chain members.

Downstream

A supply chain consists of an integrated group of processes to source, make, and store products.

False

A transportation management system controls activities at a facility's dock and schedules appointments.

False

According to the Hofman (2006) article, what the "Excellence Addicts" lack is the hard data and metrics foundation on which to make sound decisions.

False

E-procurement is mostly used to purchase indirect products that support production.

False

Final end-use customers are upstream members of a supply chain.

False

Increasing supply chain transparency only magnifies the bullwhip effect.

False

Suppliers and customers rarely participate in the design of a supply chain.

False

Supply chains for services are easier to define than supply chains for manufactured goods.

False

The supply chain operations reference (SCOR) model reports the fraction of orders filled by a distribution center in a specific time period.

False

_______________________ is not a perceived advantage of radio frequency identification (RFID) technology.

Loss of personal privacy

A computer-to-computer exchange of business documents in a standard format is known as electronic data interchange (EDI).

True

According to the Hofman (2006) article, companies that are dominated by "ingrained inertia" rate low on measurement aptitude and results actionability.

True

Because value chain and supply chain have similar meanings they are often used interchangeably.

True

Collaborative planning, forecasting, and replenishment (CPFR) is a useful tool supporting supply chain integration.

True

Companies address uncertainty in their supply chains by holding extra inventory.

True

Enterprise Resource Planning (ERP) is software that helps integrate many of the supply chain components by sharing and organizing information and data among supply chain members.

True

Information is the essential link for coordination among all supply chain members.

True

One way to cope with the bullwhip effect is for supply chain members to share demand information.

True

Suppliers are upstream members of a supply chain.

True

Supply chain management focuses on integrating and managing the flow of manufactured goods, services and related information.

True

The bullwhip effect occurs when slight to moderate demand variability becomes magnified as demand information is transmitted back upstream.

True

The supply chain for a service tends to be more compacted and less extended that a supply chain for a manufactured good.

True

Traditionally, each supply chain member was viewed as a separate, stand-alone entity focused on its own goals.

True

Supply chain management focuses on integrating and managing the flow of

all of the above

Information sharing among supply chain members will typically result in all of the following except

an increased bullwhip effect


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