Supply Chain Risk Management Quiz

What is one of the key impacts of supply chain risks on procurement, as mentioned in the presentation?

• Increased supplier diversity

• Production delays and operational halts

• Reduced operational costs

• Enhanced customer satisfaction

Which of the following is NOT considered a category of supply chain risk?

• Supply risk

• Process risk

• Control risk

• Legal risk

What is one of the sources of uncertainty in supply chains?

• Political risk

• Environmental risk

• Economic uncertainty

• Financial risk

Why are supply chains more vulnerable today, according to the presentation?

• Adoption of lean practices and distant production

• Greater use of local suppliers

• Centralization of production and distribution

• Both A and C

The 'Five Why' approach helps identify what?

• The risk categories

• Root causes of problems

• Supplier reliability

• Risk mitigation strategies

Which of the following is NOT a risk identified in Failure Mode and Effects Analysis (FMEA)?

• Carrier performance

• Inadequate communication

• High quality standards

• Lead-time too short

What does FMEA stand for in risk management?

• Financial Management Evaluation Analysis

• Failure Mode and Effects Analysis

• Forecast Management and Evaluation of Assets

• Fundamental Method of Evaluation and Analysis

Which of the following strategies is used to mitigate supply chain risks?

• Accept risk when the likelihood is low

• Increase lead times to reduce risk

• Rely solely on a single supplier

• Reduce forecasting accuracy

What is the Risk Priority Number (RPN) used for in FMEA?

• To identify the likelihood of occurrence

• To prioritize risks based on their severity

• To assign responsibility for risk mitigation

• To calculate total procurement cost

Which of the following is a method used to manage supply chain risk?

• Avoid risk by designing short lead times

• Accept risk when it cannot be avoided

• Hedge risk by holding safety stock

• All of the above