Logistics Management Chapter 1

“Some companies use suitable mode of transportation with an acceptable cost to meet customer delivery requirements as well as increase satisfaction for the customer” or "Some companies use premium transportation to meet customer delivery requirements". As such, the company could be considered______

• Productivity but not effective.

• Efficient but not effective.

• Effective but not efficient.

• Reengineering but not productivity

____ refers to breaking a homogeneous supply into smaller lots.

• sorting out

• allocating

• accumulating

• assorting

Which one includes in order processing activity?

• Negotiate terms and conditions

• Select suitable material handling equipment

• Checking the status of orders.

• Choose the best location for warehouse establishment.

The _____department often measures inventory in terms of its cost or value in dollars, whereas_______tends to measure inventory in terms of units.

• production; sales

• marketing; logistics

• sales; finance

• financial ; logistics

The _______approach mentions all relevant cost items are considered simultaneously when making a decision.

• interfunctionality

• total cost

• systems

• rhochrematics

The _______approach indicates that a company's objectives can be realized by recognizing the mutual interdependence of major functional areas.

• interfunctionality

• systems

• rhochrematics

• supply chain

A cost trade-off is a situation where:

• some costs are eliminated by efficient management controls

• all costs are reflected as a percentage variation from standard costs.

• some costs increase and some costs decrease.

• all costs react according to their individual degrees of inflation in the economy.

A cost trade-off is a situation where:

• some costs increase and some costs remain constant

• all costs are reflected as a percentage variation from standard costs.

• The firm accepts for using premium transportation to release more products

  in their warehouse.

• some costs are eliminated by efficient management controls

________utility refers to the value or usefulness that comes from a customer being able to take possession of a product.

• Form

• Time

• Place

• Possession

"How well a company does what it says it's going to do" represents_____

• leading edge logistics

• efficiency

• productivity

• effectiveness