TATM 2 - Unit 8&9

There is always a risk of obsolescence, theft, breakage, and so on

• The consequences of insufficient capacity

• The consequences of excess capacity

• The advantages of having large inventory

• The disadvantages of having large inventory

Pull strategies are based on

• future demand

• safety stocks

• current demand

• A and B are correct

If you have large inventories, you can take advantage of quantity discount in purchasing

• TRUE

• FALSE

Push strategies are based on

• future requirements

• current demand

• estimated future demand

• safety stocks and lead times

The warehouse will have to ………….. its stock when it runs out of product

• rework

• scrap

• replenish

• revive

There are cost of storage, handling, insurance, depreciation, the opportunity cost of capital and so on. This refers to…

• An advantage of having large inventory

• A disadvantage of having large inventory

• An advantage of having large facilities

• A disadvantage of having large facilities

These are consequences of excess capacity

• You may be under-utilizing your workforce

• You may be forced to process additional, less profitable products

• A & B are correct

• A & B are incorrect

This role involves in planning the purchase of materials and their delivery to the manufacturing

• Sales

• Marketing

• Purchasing

• Finance

Logistics refer to

• design and manage the flow of goods, information and other resource

• use small quantities and avoiding any waste

• fill something up again

• a statement of what is expected to happen in the future

Which word has the biggest definition

• Supply chain management    

• Logistics

• Manufacturing

• Distribution