(SBSF3083) Supply Chain Management - Sem2 - 2023/2024

1.      A supply chain consists of the flow of products and services from:

• A.     Raw materials manufacturers

• B.     Component and intermediate manufacturers

• C.      Final product manufacturers

• D.     All of the above

2.      Supply Chain Management involves:

• A.     Taking control of all steps involved in product creation

• B.     Taking control of two or more steps in product creation

• C.      Focusing solely on product design

• D.     None of the above

3.      Which approaches did U.S. manufacturers widely adopt during the 1980s and 1990s in response to intense global competition?

• A) Supply Chain Management (SCM)

• B) Just-In-Time (JIT)

• C) Total Quality Management (TQM)

• E) All of the above

4.      Which of the following strategies contributes to reducing supply chain costs and emphasizes continuous improvement?

• A) Increasing purchasing costs

• B) Maintaining excess inventory

• C) Implementing trial & error methods

• D) Benchmarking to improve over competitors' performance

5.      Which approach focuses on improving supplier performance and fostering successful relationships in supply chain management?

• A) Ignoring supplier evaluations

• B) Implementing strategic partnerships with top-performing suppliers

• C) Reducing emphasis on ethics and sustainability

• D) Decreasing supplier certifications

6.      The bullwhip effect is a supply chain phenomenon describing how small fluctuations in demand at the retail level can cause progressively larger fluctuations in demand at the wholesale, distributor, manufacturer, and raw material supplier levels.

• True

• False

7.      Supply chains now handle reverse logistics to manage returned products, warranty repairs, and recycling.

• True

• False

8.      How does purchasing contribute to improving quality and materials?

• A) By reducing supplier collaboration

• B) By actively seeking better materials and reliable suppliers

• C) By ignoring new product design efforts

• D) By decreasing inventory turnover

9.      Which effect describes the impact of decreased purchasing expenditures on profits before taxes?

• A) Profit-Leverage Effect

• B) Return on Assets (ROA) Effect

• C) Inventory Turnover Effect

• D) Efficiency-Ratio Effect

10.      A manufacturing company is considering implementing reverse auctions as part of its e-procurement strategy to streamline purchasing processes and achieve cost savings. The procurement team has conducted extensive research on e-procurement methods and is assessing the potential benefits and drawbacks of reverse auctions. Which of the following criticisms is most relevant to using reverse auctions in e-procurement?

• A) Increased transparency in supplier pricing

• B) Enhanced competition among suppliers

• C) Potential quality compromises for the lowest bids

• D) Improved efficiency in managing large volumes of small purchases