SCMN, Exam 3

Commercial invoice

A bill for the goods from the seller to the buyer that describes the transaction from start to finish

INCOTERMS can be applied to which mode of transportation ? A. All modes of transportation B. Rail transport C. Ocean transport D. Air transport

A. All Modes of Tranportation

According to this weeks's reading, how can organizations ensure that global customers will pay for their goods and services? A. Letter of credit B. Customs duties C. Paypal D. Export license

A. Letter of Credit

When a retailer sources goods to sell under its own name, what type of goods are they offering? A. Private label goods B. Outsourced goods C. Generic goods D. Branded goods

A. Private Label Goods

This mode selection factor focuses on the total elapsed time from loading through delivery. A. Transit time B. Lag time C. Fulfillment time D. Order cycle time

A. Transit Time

Getting goods through a port can be very challenging. Which of the following is NOT one of those challenges? A. Unlimited port access B. Potential loading delays C. Significant port congestion D. Lack of direct move options

A. Unlimited port Access

Insurance Certificate

Assures the coverage of freight loss or damage during transit.

What is the key to success for global manufacturers when competing with domestic companies? A. Low labor costs B. Competitive landed costs C. Superior technology D. Cheap logistics services

B. Competitive Landed Costs

In this week's video, _____________ has chosen to establish manufacturing capabilities in dozens of countries rather than outsource production. A. Nike B. Eaton C. Apple D. Ericsson

B. Eaton

Thanks to low wage growth, sustained productivity gains, stable exchange rates, and a big energy-cost advantage, what two countries are the rising stars of global manufacturing? A. China and Germany B. Mexico and the U.S. C. Viet Nam and India D. France and Italy

B. Mexico and the U.S.

The ability to ask "what if?" questions and accurately forecast future supply chain activities depends on the ability to use _____________. A. Diagnostic analytics B. Predictive analytics C. Business intelligence D. Descriptive statistics

B. Predictive Analytics

In global sourcing, you need to understand and balance a variety of costs. Which of the following is NOT one of these costs? A. Inventory carrying costs B. Promotional costs C. Transportation costs D. Labor costs

B. Promotional Costs

Under the reasonable care provision, which organization is responsible for accurate paperwork, what is being transacted, and the terms of the transaction? A. The exporter B. The importer C. The transportation company

B. The Importer

What type of tariff system is used when U.S. Customs bases the import duties on the value of the goods? A. Seasonal tariffs B. Quantity based tariffs C. Ad valorum tariffs D. Entry tariffs

C. Ad Valorum Tarrifs

Production of goods by one firm, under the label or brand of another firm is called: A. Domestic production B. Global sourcing C. Contract manufacturing D. Exporting

C. Contract Manufacturing

According to this week's article, which ocean carrier went bankrupt? A. Hyundai B. Maersk C. Hanjin D. Matson

C. Hajin

Which type of transportation creates the most flexibility in shipment routing? A. Rail transport B. Truck transport C. Intermodal transport D. Ocean transport

C. Intermodal Transport

The Industry in Action video about ____________ indicates that supply chain technology addresses more than just software. Technology can also be used to automate operations and improve labor productivity. A. IBM Integration Systems B. FedEx Cold Chain Solutions C. Kiva Systems D. Witron Systems

C. Kiva Systems

Which supply chain technology capability captures customer requirements, prioritizes them, and recommend alternatives to ensure product velocity aligns with customer needs. A. Adaptability B. Optimization C. Speed to market D. Differentiation

C. Speed to Market

This INCOTERM maximizes the effort, risk, and costs for the seller (i.e., the exporter)? A. "C" terms - transport cost B. "F" terms - ready for delivery C. "E" terms - ex works D. "D" terms - delivered

D. "D" terms - delivered

Decision support tools provide the ability to model volatile scenarios, give the organization the ____________ to sense and respond to changing market conditions A. Adaptability B. Speed to market C. Collaboration D. Agility .

D. Agility

Carriers participating in the ________ can receive conditional release authorizations after leaving the foreign country and up to five days before U.S. arrival. Their goods are released quickly from the port of arrival. A. Free Trade Zone Network B. Harmonized Tariff System C. Customs Partners Network D. Automated Manifest System

D. Automated Manifest System

What is the advantage of truck over rail for the final port-to-customer segment of the international delivery? A. Greater service quality variance. B. Greater carrying capacity C. Lower delivery cost per shipment D. Greater destination accessibility

D. Greater Destination Accessibility

What advanced capability does the IBM supply chain planning and execution solution? A. Omnichannel order fulfillment B. Cold chain management C. 3-D printing capabilities D. Process optimization

D. Process optimization

Which global channel focuses on the ownership transfer, freight control, and payment responsibilities A. Feedback channel B. Communication channel C. Distribution channel D. Transaction channel

D. Transaction Channel

According to this week's reading, what document is needed for all shipments sent to the United States? A. Letter of Credit B. Brokerage Application C. NAFTA Certificate D. US Customs Invoice

D. US Customs Invoice

Letter of Credit

Escrow-like agreement between buyer's and seller's banks which guarantees payment if seller meets specified terms of the sale

According to the Episode 9 article, traditional on-site supply chain management software generates a faster return on investment than cloud-based software. True/False

False

Direct transportation service is effective in situations where freight is moving long distances between continents or facilities that are not directly accessible by the mode of choice. True/False

False

Given the complexity, challenges, and costs involved in global SCM, companies no longer find it worth the risks to source goods globally. True/False

False

In the case of a shipping catastrophe at sea, a freight owner is only responsible for his own goods and has no potential liability toward goods or equipment owned by other organizations. True/False

False

Mobile phones and tablets offer little value for supply chain operations and real-time event management. True/False

False

Supply chain information systems can overcome poor quality data and incomplete information to generate good decisions. True/ False

False

Supply chain event management

In the Event of a supply chain disruption, this software triggers corrective actions based on predefined work flow rules

Bill of Landing

Issued by the transportation carrier to the exporter acknowledging that shipment has been received and placed on board the vessels

Business intelligence

These tools extract data from management systems across the supply chain to a data warehouse where it is quickly analyzed and sent to decision makers.

Supply chain execution

This software facilitates improved performance of day to day operating tasks from the time a purchase order for materials is placed until the delivery of a customer order is made.

Supply chain planning

This suite sits on top of a transactional system to provide decision support, what-if scenario analysis capabilities, and real-time demand commitments.

According to this week's article, Incoterms only define contractual rights for risk and responsibility. Both the buyer and seller must separately specify where ownership and title transfer. True/False

True

According to this week's article, time spent in the careful preparation of trade documentation is time well spent because it minimizes the risk of disputes and non-payment. True/False

True

Carriers don't actually take title to the goods in their temporary possession. They become the bailee who is only responsible for loss or damage to the freight as results of their negligence. True/False

True

If problems with an import shipment are found at the border, US Customs has the authority to order the goods to be destroyed, exported, or held pending correction. True/False

True

Incoterms determine the seller's and buyer's respective obligations concerning responsibilities and charges for the transportation of goods from the seller's premises to the buyer's place. True/False

True

When comparing domestic to global sourcing, the steps really don't change much. However, the time and expertise requirements, the available options, and the potential headaches are greatly expanded in global sourcing. True/False

True