Supply Chain Management Chapter 13

" "Companies with 10,000 purchase transactions or more per year should consider A. strategic sourcing solutions. B. transactional procurement solutions. C. business-to-business transactions. D. e-procurement.

" "Companies with 10,000 purchase transactions or more per year should consider B. transactional procurement solutions.

" "In the Assess Supply Market step, the firm A. determines which are the least cost vendors. B. decides which vendors are located closet to the firm's plant to insure timely delivery. C. identifies all possible suppliers that might be able to satisfy the user's needs. D. determines which vendors can supply more than one class of product.

" "In the Assess Supply Market step, the firm C. identifies all possible suppliers that might be able to satisfy the user's needs.

" "In the Execute Sourcing Strategy step, the most important thing is to A. appoint the sourcing committee members from the affected groups. B. choose a supplier or suppliers, depending on the objectives of the sourcing decision. C. verify which vendors are either TQM or ISO 9000. D. determine which vendors have the lowest prices.

" "In the Execute Sourcing Strategy step, the most important thing is to B. choose a supplier or suppliers, depending on the objectives of the sourcing decision.

" "In the Item Procurement Importance Matrix, what describes high risk, high value? A. Generics B. Commodities C. Criticals D. Distinctives

" "In the Item Procurement Importance Matrix, what describes high risk, high value? C. Criticals

" "In the Item Procurement Importance Matrix, what describes high risk, low value? A. Generics B. Commodities C. Criticals D. Distinctives

" "In the Item Procurement Importance Matrix, what describes high risk, low value? D. Distinctives

" "In the Item Procurement Importance Matrix, what item is described as low risk, low value? A. Generics B. Commodities C. Criticals D. Distinctives

" "In the Item Procurement Importance Matrix, what item is described as low risk, low value? A. Generics

" "Strategic sourcing as a process is far more broad and comprehensive than procurement. Overall, the process starts with the formation of a A. committee. B. a list of vendors. C. a decision as whether to make or buy. D. a list of criticals.

" "Strategic sourcing as a process is far more broad and comprehensive than procurement. Overall, the process starts with the formation of a A. committee.

" "There are four steps in the Managing Sourcing and Procurement Processes. Which does not belong? A. Determine the type of purchase B. Determine the necessary levels of investment C. Evaluate the effectiveness of the strategic sourcing process D. Examine off shore and e-procurement suppliers

" "There are four steps in the Managing Sourcing and Procurement Processes. Which does not belong? D. Examine off shore and e-procurement suppliers

" "There are several classifications of purchased items. Which of the following is NOT one of those? A. commodity B. generics C. collaborative D. critical

" "There are several classifications of purchased items. Which of the following is NOT one of those? C. collaborative

" "Total procurement price includes A. product price. B. product price and transaction costs. C. product price and transportation costs. D. product price, transaction costs, and transportation costs.

" "Total procurement price includes D. product price, transaction costs, and transportation costs.

" "What is an amalgam of catalogs from vendors available via the Internet within a market called? A. electronic marketplace B. buy-side system C. sell-side system D. on-line trading community

" "What is an amalgam of catalogs from vendors available via the Internet within a market called? A. electronic marketplace

" "What vendor selection criteria are described by price and financial stability? A. capability B. financial C. quality D. reliability

" "What vendor selection criteria are described by price and financial stability? B. financial

" "What vendor selection criteria are described by vendor attitude, tracing aids, packaging, vendor location, and repair service? A. quality B. financial C. reliability D. desirable qualities

" "What vendor selection criteria are described by vendor attitude, tracing aids, packaging, vendor location, and repair service? D. desirable qualities

" "What vendor selection criteria is described by production capability, labor relations, and operating controls? A. capability B. quality C. reliability D. financial

" "What vendor selection criteria is described by production capability, labor relations, and operating controls? A. capability

"Which is not a form of purchasing? A. purchasing B. procurement C. process improvement D. sourcing

" "Which is not a form of purchasing? C. process improvement

" "Which of the following is NOT a source of price? A. negotiation B. price quotation C. price lists D. wholesale price index

" "Which of the following is NOT a source of price? D. wholesale price index

" "____ exist for basic raw materials such as grain, oil, and sugar. A. price lists B. commodity markets C. negotiations D. price quotes

" "____ exist for basic raw materials such as grain, oil, and sugar. B. commodity markets

Distinctives is another name for specialized commodities.

F

Landed costs are independent of FOB terms.

F

Some firms are moving towards reducing the number of suppliers as they seek to obtain greater concessions from vendors.

F

Strategic sourcing is almost the same as procurement.

F

The most important factor in vendor selection is usually financial health.

F

There is little risk in e-Sourcing and e-Procurement.

F

Traditional basic input costs and direct transaction costs are the same except for the level of the transaction where each is applied.

F

Procurement and materials management are related activities in supply chain management.

T

The first step in managing sourcing and procurement is to determine the type pf purchase.

T

There are seven steps in the Strategic Sourcing Methodology.

T

Vendors may offer varying levels of discounts.

T

When a firm makes a "make" decision, when analyzing whether to "make or buy", the firm may still have to purchase some types of inputs from outside suppliers.

T

e-Sourcing and e-Procurement are the same.

T