WorksheetsOperations and Supply Chain Management Concepts
Total questions: 30
Worksheet time: 30mins
Name
Class
Date
1.
What is the primary objective of the supply chain management section of the course?
a)
To focus solely on short-term tactical decisions.
b)
To describe supply chain management, strategy, challenges, and design considerations.
c)
To discuss only the historical evolution of operations management.
d)
To analyze only the profitability of a company without considering costs.
2.
Historically, before the concept of supply chain emerged, what was the strict focus of "operations" in business?
a)
Managing finances and accounting for multiple companies.
b)
A single company taking inputs, transforming them, and providing outputs.
c)
Looking at upstream suppliers and downstream customers.
d)
Developing marketing strategies for global markets.
3.
How do operations supply chain managers focus on developing capabilities according to the definition provided?
a)
To only reduce costs in a factory setting.
b)
To exclusively manage financial transactions within the company.
c)
To design, produce, and deliver products and services in a competitive market.
d)
To solely recruit and train new employees for operations roles.
4.
Which of the following is NOT explicitly mentioned as a capability operations supply chain managers aim to develop to drive performance?
a)
Developing capabilities to provide new products and service features.
b)
Developing capabilities to decrease costs.
c)
Developing capabilities to reduce time to market.
d)
Developing capabilities to solely manage internal administrative tasks.
5.
According to the Supply Chain Council, which of the following is one of the six primary processes of operations and supply chain management?
a)
Advertising
b)
Human Resources
c)
Returns
d)
Research and Development
6.
In a simplified linear supply chain, if a final product manufacturer makes cell phones, where would a mining company extracting raw metal be located?
a)
Downstream in the supply chain, as a retailer.
b)
Upstream in the supply chain, as a raw material extractor.
c)
As a wholesaler, distributing the final product.
d)
As a direct consumer of the cell phone.
7.
Why is Operations Supply Chain Management analogous to the "heart and cardiovascular system" of a company?
a)
It controls all financial transactions.
b)
It is at the core of every company's function.
c)
It is responsible for all marketing efforts.
d)
It manages human resources exclusively.
8.
What was a key consequence of KFC's supply chain issues in the United Kingdom, as mentioned in the source?
a)
Increased revenue due to higher demand.
b)
Temporary store closures and loss of productivity.
c)
Successful new product launches.
d)
Improved brand image.
9.
What happened to Toyota's production after the earthquake in Japan, and why?
a)
Production increased due to new supply chain partners.
b)
Production was suspended because of damage to component manufacturer plants.
c)
Production remained stable as they had excess inventory.
d)
Production shifted entirely to overseas markets.
10.
According to a Forbes survey mentioned in the source, what was identified as the biggest challenge companies face in their supply chains?
a)
Lack of qualified workers.
b)
Responding to customer demands for lower costs.
c)
Being flexible and responsive to changes in demand or product mix.
d)
Forecasting future demand accurately.
11.
According to the MHI survey, what was rated as an "extremely or very challenging" issue for companies in their supply chains?
a)
Reducing competitive intensity.
b)
Decreasing customer expectations.
c)
Forecasting future demand.
d)
Increasing product lifecycles.
12.
What is the core idea behind supply chain management?
a)
Maximizing profit by reducing all costs to zero.
b)
Matching the supply of a product or service with the demand for it.
c)
Eliminating all suppliers to achieve vertical integration.
d)
Focusing solely on short-term operational decisions.
13.
Which type of decision in supply chain management is described as being "longer term in nature" (e.g., two years or more) and includes configuring networks or outsourcing?
a)
Operational decisions.
b)
Tactical decisions.
c)
Strategic decisions.
d)
Scheduling decisions.
14.
What does vertical integration in supply chain strategy refer to?
a)
A company becoming its own essential supplier by integrating up or down its supply chain.
b)
A company deciding to outsource all its manufacturing processes.
c)
A company focusing solely on short-term tactical decisions.
d)
A company developing capabilities to innovate and improve existing processes.
15.
What is the typical timeframe for "tactical" decisions in supply chain management?
a)
Weeks out to days.
b)
Around a year.
c)
Two years or more.
d)
Real-time.
16.
If a company's supply chain model is focused on being "efficient," what kind of inventory management strategy would it typically pursue?
a)
Keeping a lot of safety stock and excess inventory.
b)
Minimizing pipeline inventory and generating high inventory turns.
c)
Building in a cushion of excess capacity.
d)
Paying more for lead time reduction.
17.
What kind of logistics mode would a "responsive" supply chain typically rely more heavily on?
a)
Boat.
b)
Train.
c)
Air freight.
d)
Full truckloads.
18.
A product with stable demand, a long life cycle, lower profit margins, and lower stock-out costs is characterized as what type of product?
a)
Innovative.
b)
Responsive.
c)
Functional.
d)
Agile.
19.
For which type of product is a "responsive" supply chain model generally more appropriate?
a)
Functional products, due to their stable environment.
b)
Products with low profit margins.
c)
Innovative products, due to uncertain demand and higher profit margins.
d)
Products with a very long life cycle.
20.
What is a common practice that supports an "efficient" or "low-cost" supply chain focus, especially in retail?
a)
Relying heavily on air freight for transportation.
b)
Keeping significant amounts of excess inventory.
c)
Implementing Vendor Managed Inventory (VMI) and direct store delivery.
d)
Focusing on reducing lead time at any cost.
21.
In network configuration, what is a key advantage of a "centralized" network compared to a decentralized one?
a)
Higher transportation costs.
b)
Greater responsiveness to regional changes.
c)
Lower overall total inventory due to the pulling effect.
d)
More complex coordination.
22.
When is a "decentralized" network configuration more appropriate?
a)
When demand is stable and predictable.
b)
When there are few points of sale.
c)
When the cost per weight of moving something is low.
d)
When demand is more uncertain or unpredictable, and responsiveness is needed.
23.
What is the simple definition of outsourcing provided in the source?
a)
Obtaining any resource or process internally within your company.
b)
Obtaining any resource or process external to your company.
c)
Moving manufacturing to a location across an ocean, owned by your company.
d)
Selling your products directly to the final consumer.
24.
Which of the following is NOT listed as a strategic reason for a company to choose outsourcing?
a)
To reduce and control costs.
b)
To increase internal resource constraints.
c)
To gain access to world-class capabilities.
d)
To focus on the company's core capabilities.
25.
According to the strategic risk framework for outsourcing, which processes or resources are generally *not* good ideas to outsource?
a)
Those with low strategic risk and high potential for competitive advantage.
b)
Those with high strategic risk and low gain from outsourcing.
c)
Those that can be bought off the shelf with no risk.
d)
Payroll functions, as they are not core to the business.
26.
What is the key distinguishing factor of "offshoring" compared to "outsourcing"?
a)
Offshoring always involves giving up control over quality.
b)
Offshoring specifically involves obtaining a resource or process across an ocean.
c)
Offshoring means buying off-the-shelf components.
d)
Offshoring is always done by an external company.
27.
If a US company opens its own IT shop in India to perform programming tasks, this is an example of what type of offshoring?
a)
Nearshoring.
b)
Re-shoring.
c)
Captive offshore.
d)
Non-strategic outsourcing.
28.
Which of the following is a "market driver" contributing to companies' desire to go more global and offshore?
a)
Improvements in Internet connectivity.
b)
Lower labor rates in other countries.
c)
Increased foreign competition and shorter product lifecycles.
d)
Reduction in tariffs and trade barriers.
29.
When offshoring manufacturing (e.g., from US to China) and bringing products back, what is one of the "other cost elements" that should be considered beyond pure labor cost?
a)
Reduced holding costs due to faster shipping.
b)
Export taxes and ocean carrier costs.
c)
Decreased risk of obsolescence.
d)
Elimination of all quality control issues.
30.
What is a significant pitfall of offshoring mentioned in the source?
a)
Guaranteed positive effect on core competencies.
b)
Increased control over quality.
c)
The possibility of incubating and creating global competition.
d)
Shorter delivery lead times.
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