ITC Ch. 9
A company having difficulty with timely delivery of parts to its manufacturing plants should implement a supply chain ________ system. A) execution B) planning C) optimization D) management E) touch point
A
A scheduling system for minimizing inventory by having components arrive exactly at the moment they are needed and finished goods shipped as soon as they leave the assembly line best describes a ________ strategy. A) just-in-time B) frictionless C) bullwhip D) safety-stock E) streamlined
A
Analytical CRM uses tools to analyze customer data collected from the firm's customer touch points and from other sources. (A) True (B) False
A
As they move through the supply chain, ________ are transformed into finished products and shipped to retailers and customers. A) raw materials B) intermediate products C) basic products D) natural resources E) nascent products
A
Before the pre-Internet environment, supply chain coordination was hampered by the difficulties of making information flow smoothly among different internal supply chain processes. (A) True (B) False
A
Churn rate is an important indicator of the growth or decline of a company's customer base. (A) True (B) False
A
Customer relationship management systems typically provide software and online tools for sales, customer service, and: A) marketing. B) account management. C) advertising. D) public relations. E) human resources.
A
Customer service modules in CRM systems provide tools for: A) assigning and managing customer service requests. B) capturing prospect and customer data. C) identifying profitable and unprofitable customers. D) managing sales prospect and contact information. E) organizing effective marketing campaigns.
A
Distribution and delivery of products to retailers is part of the: A) downstream portion of the supply chain. B) external supply chain. C) upstream portion of the supply chain. D) supplier's internal supply chain. E) midstream portion of the supply chain.
A
Enterprise application vendors have created ________ to make their own customer relationship management, supply chain management, and enterprise systems work closely together with each other. A) e-business suites B) ERP systems C) middleware D) legacy systems E) cloud solutions
A
Enterprise applications are based on organization-wide definitions of data. (A) True (B) False
A
From your reading of the Soma Bay case study, the company implemented JD Edwards Enterprise One to solve all of the following problems except: A) overtaxing of its data centers. B) providing timely reports of profitability. C) providing detailed financial data. D) combining data from general ledger and other financial systems. E) using JD Edwards' other integrated modules.
A
In a pull-based model of SCM systems, actual customer orders or purchases trigger events in the supply chain. (A) True (B) False
A
Inefficiencies in a supply chain are primarily caused by inaccurate or untimely information. (A) True (B) False
A
Major CRM application software vendors include Oracle, SAP, Salesforce.com, and Microsoft Dynamics. (A) True (B) False
A
Marketing modules in CRM systems provide tools for all of the following except: A) assigning and managing customer service requests. B) capturing prospect and customer data. C) identifying profitable and unprofitable customers. D) qualifying leads. E) identifying opportunities for cross-selling.
A
Organizations can rewrite enterprise system software to support their existing business processes. (A) True (B) False
A
Procter & Gamble (P&G) experienced a growth in its Pampers diapers inventory due to information distortions in the supply chain. (A) True (B) False
A
SCM systems require multiple organizations to share information and business processes. (A) True (B) False
A
Supply chain execution systems provide all of the following functions except: A) generating demand forecasts for products. B) tracking the flow of finished goods. C) managing materials. D) managing warehouse operations. E) managing the financial information involving all parties.
A
Supply chain inefficiencies can waste as much as 25 percent of a company's operating costs. (A) True (B) False
A
Supply chain management systems are a type of enterprise system. (A) True (B) False
A
The downstream portion of the supply chain consists of the organizations and processes for distributing and delivering products to the final customers. (A) True (B) False
A
Total supply chain costs in some industries approach 75 percent of the total operating budget. (A) True (B) False
A
Which of the following enables a company to tailor a particular aspect of enterprise software to the way a company does business? A) Configuration tables B) Web services C) Data dictionaries D) Middleware E) Groupware
A
Which of the following is not a feature of next generation business intelligence applications? A) Employee relationship management B) The ability to include data from the Internet of Things (IoT) C) Interactive dashboards for managers D) The ability to use neural networks to recognize patterns in machine performance E) The ability to provide ad hoc analysis for managers
A
Which of the following traditional solutions enables manufacturers to deal with uncertainties in the supply chain? A) Safety stock B) Continuous replenishment C) Just-in-time strategies D) Demand planning E) Perfect information
A
A ________ is an interaction with a customer, such as telephone or customer service desk. A) point of presence B) touch point C) sales point D) client channel E) point of service
B
A distortion of information about the demand for a product as it passes from one entity to the next across the supply chain is called the ________ effect. A) network B) bullwhip C) ripple D) whirlpool E) diffraction
B
A network of organizations and business processes for procuring raw materials, transforming these materials into intermediate and finished products, and distributing the finished products to customers is called a(n): A) distribution channel. B) supply chain. C) value chain. D) marketing channel. E) information system.
B
All CRM packages contain modules for PRM and ERM. (A) True (B) False
B
Concurrent supply chains are made possible by which technology? A) ERP systems B) The Internet C) Supply-chain management systems D) Just-in-time supply-chain technologies E) Extranets
B
Cross-selling is the marketing of products to different customers. (A) True (B) False
B
Enterprise systems are built around a small number of predefined business processes. (A) True (B) False
B
Enterprise systems do not require fundamental changes in the way the business operates. (A) True (B) False
B
Extensive customization of enterprise software reduces the overall cost of implementation. (A) True (B) False
B
Firms in the supply chain develop safety stocks in order to increase the efficiency of their operations. (A) True (B) False
B
In a pull-based model of SCM systems, production master schedules are based on forecasts of demand for products. (A) True (B) False
B
SCM software can help organizations identify high-value customers for preferential treatments. (A) True (B) False
B
Supply chain execution systems enable the firm to generate demand forecasts for a product and to develop sourcing and manufacturing plans for that product. (A) True (B) False
B
The bullwhip effect leads to declining inventory costs across the entire supply chain. (A) True (B) False
B
The cost of switching from one enterprise system to another is quite low. (A) True (B) False
B
The measurement of the number of customers who stop using or purchasing products or services from a company is called: A) switching costs. B) churn rate. C) CLTV. D) switch rate. E) turnover percentage.
B
The total time it takes to complete a business process, from start to finish, is called its ________ time. A) development B) cycle C) fulfillment D) service E) actualization
B
Uncertainties in the supply chain often lead to: A) declines in production. B) increases in inventory across all tiers. C) strategic changes in production plans. D) the bull whip effect. E) a reduction in safety stocks.
B
Using social networking tools to converse with customers is called: A) analytical CRM. B) social CRM. C) operational CRM. D) PRM. E) ERM.
B
Walmart's continuous replenishment system is an example of a(n) ________ model. A) push-based B) pull-based C) enterprise-based D) supply chain optimization E) forecast-based
B
Which metric is based on the relationship between the revenue produced by a specific customer, the expenses incurred in acquiring and servicing that customer, and the expected life of the relationship between the customer and the company? A) Churn rate B) Customer lifetime value C) Cost per lead D) Cost per sale E) Customer average value
B
Which of the following customer relationship management applications provides analysis of customer data? A) Operational CRM B) Analytical CRM C) Operational SCM D) Analytical SFA E) Operational SFA
B
Which of the following is an important capability for sales processes that is found in most SFA modules in major CRM software products? A) Returns management B) Lead management C) Channel promotions management D) Events management E) Customer satisfaction management
B
Which of the following provides a suite of integrated software modules for finance and accounting, human resources, manufacturing and production, and sales and marketing that allows data to be used by multiple functions and business processes? A) Process management software B) ERP systems C) Groupware D) CRM software E) Supply chain management systems
B
Which of the following tools is used to analyze customer buying patterns? A) CLTV B) Analytical CRM C) Operational CRM D) Demand planning E) SFA
B
A supply chain driven by forecasts of consumer demand follows a(n) ________ model. A) pull-based B) build-to-stock C) push-based D) replenishment-driven E) optimized
C
Enterprise software is built around thousands of predefined business processes that reflect: A) government regulations. B) industry benchmarks. C) best practices. D) cutting edge workflow analyses. E) the firm's culture.
C
Enterprise systems improve management decision making in all the following ways except: A) providing up-to-the-minute data on sales, inventory and production. B) providing more accurate sales and production forecasts. C) improving forecasts of consumer behavior. D) implementing standard definitions and formats worldwide. E) determining the profitability of products.
C
The difference between push- and pull-based models is summarized by which of the following slogans? A) Sell what we make, not make what we sell. B) Push what we make, not pull what we make. C) Make what we sell, not sell what we make. D) Pull what we make, not push what we sell. E) Make what we push, not push what we sell.
C
To achieve the maximum benefit of a new ERP system, Tasty Baking implemented an enterprise system by: A) using only the pre-defined processes in the ERP software that matched its own processes. B) retaining its legacy systems to operate as a backup to the new enterprise system. C) customizing less than 5 percent of the enterprise system processes. D) changing the ERP software as needed to match their own processes. E) using a cloud-based version of the ERP.
C
Which of the following is not an example of next-generation enterprise applications? A) SAP S/4HANA B) Social CRM C) Apache Open for Business (OFBiz) D) Salesforce.com E) Microsoft Dynamics 365
C
Which of the following is not true about enterprise systems? A) Enterprise systems help firms respond rapidly to customer requests for information or products. B) Enterprise system data have standardized definitions and formats that are accepted by the entire organization. C) Enterprise software is expressly built to allow companies to support their existing business practices. D) Enterprise software includes analytical tools to evaluate overall organizational performance. E) Enterprise systems provide firm-wide information to help managers make better decisions.
C
Which of the following would not be considered a contact point? A) Email B) Website C) Intranet D) Retail store E) Facebook
C
Which supply chain planning function determines how much product is needed to satisfy all customer demands? A) Distribution management B) Replenishment planning C) Demand planning D) Order planning E) Customer planning
C
________ CRM includes customer-facing applications such as tools for sales force automation, call center and customer service support, and marketing automation. A) Analytical B) Employee C) Operational D) Partner E) Next-generation
C
________ software modules deal with setting employee objectives, performance, and compensation. A) SCM B) SFA C) ERM D) DRM E) PRM
C
A supply chain driven by actual customer orders is called a ________ model. A) supply-based B) demand-driven C) replenishment-driven D) pull-based E) market-driven
D
Coca-Cola implemented enterprise software from Oracle that enabled it to achieve all of the following except: A) standardizing business processes worldwide. B) improving its bargaining power with suppliers. C) reacting faster to market changes. D) reducing the number of employees. E) reducing the cost of raw materials.
D
In the supply chain, components or parts are referred to as: A) upstream materials, organizations, and processes. B) raw materials .C) secondary products. D) intermediate products. E) downstream organizations and processes.
D
Supply chain software can be classified as either supply chain ________ systems or supply chain ________ systems. A) push; pull B) demand; continual C) upstream; downstream D) planning; execution E) maintenance; development
D
The bullwhip effect can be countered by: A) globalization. B) disintermediation. C) implementing a CRM. D) reducing information uncertainty. E) product differentiation.
D
Which of the following manages the flow of products through distribution centers and warehouses to ensure that products are delivered to the right locations in the most efficient manner? A) Supply chain demand system B) Supply chain delivery system C) Supply chain planning system D) Supply chain execution system E) Supply chain optimization system
D
Which of the following refers to a company's suppliers, the suppliers' suppliers, and the processes for managing relationships with them? A) Supplier's internal supply chain B) Logistics supply chain C) Downstream portion of the supply chain D) Upstream portion of the supply chain E) On Contract supplier's chain
D
Why isn't overstocking warehouses an effective solution for a problem of low availability? A) It does not speed product time to market. B) It is an inefficient use of raw materials. C) It increases sales costs. D) It increases inventory costs. E) It lowers fill rate.
D
CRM systems help businesses achieve which of the following business objectives? A) Automated accounting processes B) Automated production forecasts C) Faster time to market with new products and services D) Enhanced supplier intimacy E) Enhanced customer intimacy
E
Enterprise application vendors are now including ________ features, such as tools for data visualization, flexible reporting, and ad-hoc analysis, as part of the application. A) social media B) PRM C) ERM D) SOA E) business intelligence
E
From your reading of the chapter's opening case, which of the answers below is not a reason why Avon chose JDA's Manufacturing and Intelligent Fulfillment software? A) Build a central planning function to coordinate demand, manufacturing and fulfillment B) Improve the ability to predict what customers wanted to buy C) Faster fulfillment of orders on a global scale D) Reduce inventory E) Develop new products
E
Major CRM products typically have all of the following service capabilities except: A) customer satisfaction management. B) returns management. C) call center & help desk. D) service analytics. E) order management.
E
Operational CRM applications include tools for all of the following except: A) sales force automation. B) call center support. C) marketing automation. D) customer service support. E) calculating CLTV.
E
SFA modules in CRM systems provide tools for all of the following except: A) team selling. B) territory management. C) sales forecasting. D) managing sales prospect and contact information. E) managing customer service requests.
E
Selling a customer with a checking account a home improvement loan is an example of: A) operational CRM. B) direct marketing. C) sales force automation. D) cross-channel promotions. E) cross-selling.
E
Supply chain planning systems perform all of the following functions except: A) establish inventory levels for raw materials and finished goods. B) identify the transportation mode to use for product delivery. C) determine where to store finished goods. D) determine how much product to manufacture in a given time period. E) track the physical status of goods.
E
The business value of an effective supply chain management system includes all of the following except: A) faster time to market. B) cost reduction. C) supply matched to demand. D) improved delivery service. E) increased inventory levels.
E
Which of the following enables a firm to generate demand forecasts for a product and to develop sourcing and manufacturing plans for that product? A) Supply chain demand system B) Supply chain delivery system C) Supply chain optimization system D) Supply chain execution system E) Supply chain planning system
E
Which of the following statements about enterprise applications is not true? A) Enterprise applications require organizational learning. B) Enterprise applications introduce "switching costs." C) Enterprise applications are based on organization-wide definitions of data. D) Enterprise applications require fundamental changes in the way a business operates. E) Enterprise applications are best implemented when few changes in business processes are required.
E
You have been asked to implement enterprise software for a manufacturer of kitchen appliances. What is the first step you should take? A) Rewrite the software to support the way the company's business processes work. B) Select the business processes you wish to automate. C) Map the company's business processes to the software's business processes. D) Map the software's business processes to the company's business processes. E) Select the functions of the system you wish to use.
E
________ modules in CRM systems help sales staff increase their productivity by focusing sales efforts on the most profitable customers, those who are good candidates for sales and services. A) Customer B) SOA C) Marketing D) Complex E) SFA
E
________ software modules seek to enhance collaboration between a company and its selling partners. A) SCM B) SFA C) ERM D) DRM E) PRM
E
