Supply Chain

The forecasting time horizon that would typically be easiest to predict for would be the

• long range

• medium range

• short range

• intermediate range

Which of the following is a quantitative forecasting​ method?

• exponential smoothing

• market survey

• jury of executive opinion

• sales force composite

​"Today's forecast equals​ yesterday's actual​ demand" is referred as

• the Delphi method

• exponential smoothing

• the naive approach

• a moving average

Which of the following is the FIRST step in a forecasting​ system?

• Determine the time horizon of the forecast

• Select the items to be forecasted

• Determine the use of the forecast

• Select the forecast​ model(s)

ABC analysis divides an​ organization's on-hand inventory into three classes based upon

• annual demand

• annual dollar volume

• unit price

• the number of units on hand

Extra units that are held in inventory to reduce stockouts are called

• demand variance

• safety stock

• reorder point

• ​just-in-time inventory

With a probabilistic​ model, increasing the service level

• will reduce the cost of the inventory policy

• will increase the cost of the inventory policy

• will decrease the level of safety stock

• will have no impact on the cost of the inventory policy

Which of the following statements is NOT true about a​ fixed-period system?

• The advantage of the​ fixed-period system is that there is no physical count of inventory items after an item is withdrawn

• The disadvantage of the​ fixed-period system is that because there is no tally of inventory during the review​ period, there is the possibility of a stockout during this time.

• A​ fixed-period system is appropriate when vendors make routine visits to customers to take fresh orders or when purchasers want to combine orders to save ordering and transportation costs.

• A​ fixed-period system is also called​ "continuous review."

Which of the following DOES NOT increase profit by improving​ quality?

• increased productivity

• higher warranty costs

• flexible pricing

• improved reputation

​Cause-and-effect diagrams are also known as

• flowcharts

• pareto charts

• target specification graphs

• ​fish-bone charts