BTM535 C1 SUPPLY CHAIN RISKS TACTICS ETHICS SUSTAINABILITY

Why does increased reliance on supply chains pose a greater risk for businesses?

• It leads to increased production costs.

• It increases the potential for disruptions that can impact business operations.

• It improves the quality of products and services.

• It simplifies supply chain management.

How does having fewer suppliers impact a company's supply chain?

• It reduces operational complexity.

• It increases the risk of disruptions if one supplier faces an issue.

• It ensures more reliable quality of products.

• It makes it easier to manage global logistics.

Which of the following adds complexity and risk to supply chains as a result of globalization?

• Streamlined production processes

• Localized supplier networks

• Managing international regulations, time zones, and logistics

• Increased dependency on regional suppliers

What is a key risk associated with vendor reliability in the supply chain?

• Higher transportation costs

• Potential delays and substandard quality that can disrupt operations

• Better collaboration between suppliers and customers

• Reduced need for contingency planning

Political and currency risks in a global supply chain can result in:

• Reduced transportation times

• Increased profitability due to favorable exchange rates

• Higher costs of goods and disrupted trade flows

• Simplified supply chain processes

What is the first step in managing supply chain risks?

• Securing alternative suppliers

• Researching and assessing potential risks throughout the supply chain

• Increasing reliance on technology

• Reducing the number of suppliers

How does a diversified supplier base help mitigate supply chain risks?

• It ensures quicker deliveries.

• It reduces the risk of being overly dependent on a single supplier.

• It simplifies inventory management.

• It eliminates logistical issues.

Which of the following is an example of reverse logistics?

• Delivering a product to the customer after manufacturing

• Collecting defective products from customers for repair or recycling

• Sending products from the manufacturer to retailers

• Procuring raw materials from suppliers

A closed-loop supply chain optimizes the flow of products by:

• Focusing solely on forward logistics

• Maximizing reuse, recycling, and recovery of materials in both forward and reverse flows

• Eliminating the need for reverse logistics

• Prioritizing only the transportation of finished goods

How can businesses proactively prepare for product returns in a sustainable supply chain?

• By reducing the number of suppliers

• By planning how to handle product returns and end-of-life before market introduction

• By focusing only on forward logistics

• By outsourcing all reverse logistics functions to third parties