HIS FINALS PART 1

What is the primary purpose of a materials management system?

• To increase labor efficiency

• To ensure the availability of materials in the right quantity and quality

• To monitor employee performance

• To reduce operational hours

Which department is primarily responsible for materials management?

• Accounting

• Procurement

• Marketing

• Human Resources

Materials management is most crucial in which type of organization?

• Educational institutions

• Manufacturing and healthcare organizations

• Financial institutions

• Software development companies

Which of the following is NOT a function of materials management?

• Procurement

• Inventory management

• Employee payroll processing

• Distribution of materials

What is the first step in the procurement process?

• Selecting a supplier

• Determining requirements

• Negotiating prices

• Issuing purchase order

Which tool is commonly used to track inventory levels in a materials management system?

• Enterprise Resource Planning (ERP) software

• Customer Relationship Management (CRM) software

• Payroll management systems

• Social media platforms

What is the purpose of safety stock?

• To increase surplus inventory

• To account for unexpected demand or supply disruptions

• To eliminate the need for regular orders

• To reduce the warehouse size

Just-in-Time (JIT) inventory management is designed to:

• Store large quantities of materials

• Minimize inventory levels by delivering materials only when needed

• Increase inventory holding costs

• Eliminate supplier relationships

Which metric measures the efficiency of inventory turnover?

• Gross profit ratio

• Inventory turnover ratio

• Employee efficiency score

• Stock aging report

The main purpose of warehouse management is to:

• Increase storage costs

• Ensure proper handling and timely distribution of materials

• Reduce employee workload

• Monitor customer satisfaction