WorksheetsSCM S6 Global Sourcing Strategies
Total questions: 20
Worksheet time: 10mins
What is the main goal of global sourcing?
Increase lead time
Reduce innovation
Minimize supplier options
Optimize cost, quality, and capacity
Which of the following best describes strategic sourcing?
Choosing the cheapest supplier
Building long-term value through supplier partnerships
Avoiding global suppliers
Ignoring compliance requirements
What does TCO stand for in sourcing decisions?
Total Cost of Optimization
Time-Cost Overview
Total Cost of Ownership
Trade Compliance Option
What is one risk associated with global sourcing?
Stable currency
Shorter lead times
Greater exposure to trade disruptions
Simplified customs procedures
Which factor is NOT typically used in supplier selection?
Reliability
ESG compliance
Brand popularity
Quality assurance
What advantage does local sourcing provide over global sourcing?
Higher carbon footprint
Longer delivery times
Closer proximity and better responsiveness
Greater currency fluctuation risk
Which region benefits from the USMCA trade agreement?
South America
Asia-Pacific
North America
Africa
What is the purpose of a trade agreement?
Increase import taxes
Raise customs duties
Facilitate cross-border trade
Eliminate global sourcing
Which is a likely consequence of tariffs?
Lower product costs
Simplified shipping
Disrupted supplier networks
Streamlined logistics
What triggered major supply chain shifts from China to Vietnam and India?
Brexit
EU regulations
US–China trade war
Amazon logistics policy
Which strategy helps reduce sourcing risk?
Single sourcing
Ignoring currency fluctuation
Multi-sourcing from different regions
Outsourcing compliance checks
Which tool improves sourcing risk forecasting?
Fax machine
Predictive analytics
Print catalogues
Sales promotions
What does “reshoring” mean?
Moving suppliers to new countries
Shifting production back to the company’s home country
Expanding warehouses abroad
Offshoring to Southeast Asia
What is one benefit of using regional trade blocs?
Higher tariffs
Easier cross-border operations
More customs paperwork
Greater political risk
Which is NOT part of the CPTPP agreement?
Japan
Mexico
France
Australia
What’s a key lesson from the US-China trade war?
Tariffs only affect luxury goods
Global sourcing is immune to politics
Companies must stay agile and diversify suppliers
Resilience strategies are unnecessary
What does “just-in-case” sourcing emphasize?
Ultra-lean inventory
Contingency and redundancy
Maximum speed
Centralized warehousing
What do bonded warehouses help avoid?
Local compliance
Holding costs
Tariff exposure
Inventory tracking
Which of the following is a recent global trade bloc?
NAFTA
RCEP
NATO
OPEC
What is “friend-shoring”?
Outsourcing to unregulated regions
Resourcing within politically aligned or stable countries
Sourcing only from local businesses
Avoiding ESG standards
