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Worksheetssupply chainn 1
Total questions: 130
Worksheet time: 1hrs 5mins
A supply chain could be more accurately described as a supply network or supply web.
True
False
All stages of an enterprise are involved, either directly or indirectly, in fulfilling a customer request.
True
False
A supply chain includes only the organizations directly involved in supplying components needed for manufacturing.
True
False
The objective of every supply chain is to maximize the net value generated.
True
False
The objective of the customer arrival process is to ensure that orders are quickly and accurately entered and communicated to other affected supply chain processes.
True
False
The objective of customer order entry is to maintain a record of product receipt and complete payment.
True
False
The difference between the value of the product and its price remains with the customer as consumer surplus.
True
False
The supply chain planning phase exceeds the supply chain design phase in duration.
True
False
The goal during the supply chain operation phase is to exploit the reduction of uncertainty and optimize performance.
True
False
The replenishment cycle occurs at the retailer/distributor interface.
True
False
The manufacturing cycle occurs at the distributor/manufacturer interface.
True
False
The push/pull view of a supply chain holds that the processes in a supply chain are divided into 2 categories depending on whether they are initiated in response to or in anticipation of customer orders.
True
False
The production scheduling process in the manufacturing cycle is similar to the order entry process in the replenishment cycle.
True
False
The cycle view of a supply chain holds that the processes in a supply chain are divided into 2 categories depending on whether they are initiated in response to or in anticipation of customer orders.
True
False
The procurement cycle occurs at the manufacturer/supplier interface.
True
False
The cycle view of the supply chain is useful when considering operational decisions, because it specifies the roles and responsibilities of each member of the supply chain.
True
False
Push processes may also be referred to as speculative processes.
True
False
All supply chain activities within a firm belong to one of three macro processes — CRM, ISCM and SRM.
True
False
CRM systems typically include capabilities for sourcing and negotiating as well as design and supply collaboration.
True
False
There is a close connection between the design and management of supply chain flows and the success of a supply chain.
True
False
The drawback of Zara's responsive supply chain is that it tends to sell more products at markdown than most of its competitors.
True
False
Amazon's operations are completely online.
True
False
Good strategic decisions cannot be made without access to relevant analytics.
True
False
All analytics should be designed to support decision making.
True
False
Each stage in a supply chain is connected through the flow of products, information, and funds. These flows often occur in both directions and are usually managed by
pricing department
one of the stages
upper management
engineering department
A supply chain features a constant flow of
information, product and funds
personnel, information, and policies
processes, funds, and product
product, processes, and support
Which of these words best describes a typical supply chain structure?
Static
Customer
Cyclical
Network
Which statement about supply chains is best?
New product development is not a supply chain function.
If a supplier uses a shipping company to send product to a customer, the shipping company is technically not a supply chain member.
Funds in a supply chain flow upstream only.
Flows in a supply chain may be managed by an intermediary.
Which sequence of stages is typical for product flow in a supply chain?
Supplier → Manufacturer → Distributor
Retailer → Distributor → Customer
Manufacturer → Retailer → Distributor
Supplier → Customer → Retailer
Supply chain surplus involves what two parts?
Manufacturing cost and selling price
Customer value and supply chain cost
Customer value and high quality products
Reliable transportation and supply chain cost
For any supply chain, the source of revenue is generated by
efficient operations
information flows
the customer
product flows
Customer value is
the sum of the supply chain surplus and supply chain cost
the remainder after supply chain cost is subtracted from supply chain surplus
the remainder after supply chain surplus is subtracted from supply chain cost
supply chain profitability minus the supply chain cost
The objective of every supply chain is to
minimize the overall cost generated
maximize the net value generated
minimize the cost to the manufacturer
maximize the profit of the manufacturer
Retailing in the United States is largely
push/pull
profitable
consolidated
For any supply chain,
management rests solely in the hands of the manufacturer.
management rests solely in the hands of the distributor.
if each member focuses on profitability, the overall supply chain profit will be maximized.
there is only one source of revenue, the customer.
Webvan designed a supply chain with large warehouses in several major cities in the United States, from which groceries were delivered to customer homes. They failed partly because of
low demand for their service.
slow inventory turnover compared to industry averages.
higher labor costs for picking orders.
poor quality products.
A key issue facing Toyota is
developing an Internet marketing system.
whether to specialize in a particular market.
design of its global production and distribution network.
how to implement model changes.
Walmart's supply chain features clusters of stores around distribution centers, which facilitates
high transportation costs.
frequent but inexpensive replenishment at the stores.
rapid design cycles from their R&D group.
sharing of information with suppliers.
Which of these statements about Dell's supply chain is best?
Dell's supply chain surplus was largely driven by their negative shipping model.
Dell's initial success was largely driven by the ability to accurately forecast what customers wanted and supply those models to retail outlets that carried their computers.
Dell's initial success was largely driven by their Assembly → Customer supply chain linkage.
Dell's supply chain consists of only two members, Dell and the customer.
The decision phases in a supply chain include
production scheduling.
customer relationship management.
supply chain operation.
supply chain orientation.
A company would decide whether to outsource or perform a supply chain function in-house during the
planning phase.
design phase.
tactical phase.
operation phase.
The supply chain strategy category would include a decision about
which items in the warehouse will be shipped to Malibu.
which warehouse will supply the Surf City location.
when the order should be shipped to the little old lady from Pasadena.
how large the warehouse in Kokomo should be.
A decision made about which markets will be serviced by which locations falls in the supply chain ____ phase
conceptualization
design
operation
planning
The profitability of a supply chain is impacted primarily by
the design, planning and operation categories of decisions.
only the operation category of decisions.
only the design and planning categories of decisions.
only the planning and operation categories of decisions.
The time horizon of the operation phase is typically
quarterly or yearly.
weekly or daily.
monthly or quarterly.
over the next several years.
Handling customer orders in the best possible manner is the goal of supply chain
strategy.
planning.
operations.
design.
The cycle view of a supply chain holds that
the processes in a supply chain are divided into 2 categories.
the processes in a supply chain are divided into a series of activities performed at the interface between successive stages.
all processes in a supply chain are initiated in response to a customer order.
all processes in a supply chain are performed in anticipation of customer orders.
The push/pull view of a supply chain holds that
the processes in a supply chain are divided into a series of activities performed at the interface between successive stages.
all processes in a supply chain are initiated in response to a customer order.
all responses in a supply chain are performed in anticipation of customer orders.
the processes in a supply chain are divided into 2 categories depending on whether they are initiated in response to or in anticipation of customer orders.
The customer order cycle occurs at the
customer/retailer interface.
retailer/distributor interface.
distributor/manufacturer interface.
manufacturer/supplier interface.
Customer order arrival refers to
the point in time when the customer has access to choices and makes a decision regarding a purchase.
the customer informing the retailer of what they want to purchase and the retailer allocating product to the customer.
the process where product is prepared and sent to the customer.
the process where the customer receives the product and takes ownership.
The objective of the customer order arrival process is to
get the correct orders to customers by the promised due date at the lowest possible cost.
maintain a record of product receipt and complete payment.
maximize the conversion of customer arrivals to customer orders.
ensure that orders are quickly and accurately entered and communicated to other affected supply chain processes.
Customer order entry is
the point in time when the customer has access to choices and makes a decision regarding a purchase.
the customer informing the retailer of what they want to purchase and the retailer allocating
The objective of customer order entry is to
get the correct orders to customers by the promised due date at the lowest possible cost.
maintain a record of product receipt and complete payment.
maximize the conversion of customer arrivals to customer orders.
ensure that orders are quickly and accurately entered and communicated to other affected supply chain processes.
Customer order fulfillment refers to
the point in time when the customer has access to choices and makes a decision regarding a purchase.
the customer informing the retailer of what they want to purchase and the retailer allocating product to the customer.
the process where product is prepared and sent to the customer.
the process where the customer receives the product and takes ownership.
Demand is external to the supply chain and thus is most uncertain at the
manufacturing cycle.
replenishment cycle.
customer order cycle.
procurement cycle.
The objective of customer order fulfillment is to
get the correct orders to customers by the promised due date at the lowest possible cost.
maintain a record of product receipt and complete payment.
maximize the conversion of customer arrivals to customer orders.
ensure that orders are quickly and accurately entered and communicated to other affected supply chain processes.
Customer order receiving is
the point in time when the customer has access to choices and makes a decision regarding a purchase.
the customer informing the retailer of what they want to purchase and the retailer allocates product to the customer.
the process where product is prepared and sent to the customer.
the process where the customer receives the product and takes ownership.
The retailer and distributor engage in the
customer order cycle.
replenishment cycle.
manufacturing cycle.
procurement cycle.
The process included in the replenishment cycle includes
order arrival.
production scheduling.
retail sale.
manufacturing.
The manufacturing cycle occurs at the
customer/retailer interface.
retailer/distributor interface.
distributor/manufacturer interface.
manufacturer/supplier interface.
The processes involved in the manufacturing cycle include
order trigger.
production scheduling.
order fulfillment.
order entry.
The production scheduling process in the manufacturing cycle is similar to the
order receiving process in the replenishment cycle.
order fulfillment process in the replenishment cycle.
order entry process in the replenishment cycle.
order trigger process in the replenishment cycle.
The manufacturing and shipping process in the manufacturing cycle is equivalent to the
order receiving process in the replenishment cycle.
order fulfillment process in the replenishment cycle.
order entry process in the replenishment cycle.
order trigger process in the replenishment cycle.
The manufacturer and supplier participate in the
procurement cycle.
replenishment cycle.
manufacturing cycle.
life cycle.
The relationship between the manufacturer and supplier during the procurement cycle is very similar to the relationship between
customer and retailer.
retailer and distributor.
distributor and manufacturer.
The cycle view of the supply chain is useful when considering operational decisions because
it categorizes processes based on whether they are initiated in response to or in anticipation of customer orders.
it specifies the roles and responsibilities of each member of the supply chain.
processes are identified as either reactive or speculative.
it focuses on processes that are external to the firm.
The push/pull view of the supply chain is useful when considering strategic decisions relating to supply chain design because
it categorizes processes based on whether they are initiated in response to or in anticipation of customer orders.
it specifies the roles and responsibilities of each member of the supply chain.
it clearly defines the processes involved and the owners of each process.
it focuses on processes that are external to the firm.
Which of the following statements about pull processes is accurate?
They may also be referred to as speculative processes.
Execution is initiated in anticipation of customer orders.
At the time of execution, demand must be forecast.
They may also be referred to as reactive processes.
Which of the following statements about push processes is accurate?
They may also be referred to as speculative processes.
Execution is initiated in response to customer orders.
At the time of execution, demand is known with certainty.
They may also be referred to as reactive processes.
Supply chain macro processes include which of the following?
Internal Relationship Management (IRM)
Customer Relationship Management (CRM)
External Relationship Management (ERM)
Supplier Relationship Management (SCRM)
Supply chain macro processes include which of the following?
Internal Relationship Management (IRM)
External Relationship Management (ERM)
Supplier Relationship Management (SRM)
Customer Relationship Management (CRM)
Activities involved in the Customer Relationship Management (CRM) macro process include
planning of internal production and storage.
order fulfillment.
marketing.
supply planning.
Activities involved in the Internal Supply Chain Management (ISCM) macro process include
marketing.
order fulfillment.
sales.
order management.
Activities involved in the Supplier Relationship Management (SRM) macro process include
planning of internal production and storage.
order fulfillment.
supplier evaluation and selection.
order management.
The activities associated with planning typically occur during which macro process?
SRM
ISCM
DRM
CRM
A key supply chain difference between Gateway and Apple is that
Gateway's stores currently carry a large variety of products made by other manufacturers, while Apple carries only Apple products.
Apple has always carried product in their stores while at one time Gateway stores carried no inventory.
Gateway has always used a push system while Apple has always used a pull system.
Gateway has no suppliers, preferring to make everything in-house, while Apple buys many of their components from suppliers.
Zara's supply chain strategy
results in supply more closely matching customer demand.
results in longer lead times for store order fulfillment, primarily due to shipping time.
of purely online sales reduces the costs that they would incur with a brick and mortar store system.
of high volume but low cost apparel requires production well in advance of the actual selling season for each garment type.
Toyota's global complementation strategy
calls for plants to be devoted to the production of vehicles for only the local market.
dictates that parts plants be built to supply all of the needs for each vehicle production plant worldwide.
requires that a single parts plant, for example, for brakes, export brake components to all of its vehicle assembly plants worldwide.
mandates that plants can produce vehicles for export to markets that remain strong when the local market weakens.
A company's competitive strategy defines the set of customer needs that it seeks to satisfy through its products and services. Select True or False.
True
False
The value chain emphasizes the close relationship between all the functional strategies within a company. Select True or False.
True
False
A company's product development strategy defines the set of customer needs that it seeks to satisfy through its products and services. Select True or False.
True
False
A company's product development strategy specifies the portfolio of new products that it will try to develop. Select True or False.
True
False
Supply chain strategy specifies what the operations, distribution, and service functions, whether performed in-house or outsourced, should do particularly well. Select True or False.
True
False
A company's supply chain strategy determines the nature of procurement and transportation of materials as well as the manufacture and distribution of the product. Select True or False.
True
False
The degree of supply chain responsiveness should be consistent with the implied uncertainty. Select True or False.
True
False
To achieve complete strategic fit, a firm must ensure that all functions in the value chain have diverse strategies that support functional goals. Select True or False.
True
False
Because demand and supply characteristics change, the supply chain strategy must change over the product life cycle if a company is to continue achieving strategic fit. Select True or False.
True
False
To retain strategic fit, supply chain strategy must be adjusted over the life cycle of a product and as the competitive landscape changes. Select True or False.
True
False
The intercompany scope of strategic fit is no longer relevant today because the competitive playing field has shifted from company versus company to supply chain versus supply chain. Select True or False.
True
False
The interoperation scope has each stage of the supply chain devising its strategy independently. Select True or False.
True
False
Intraoperation scope resulted in minimal supply chain surplus. Select True or False.
True
False
An example of intrafunctional scope is that outsourcing a key component is reasonable if the savings in staying current in technology results in improved performance in other areas of R&D that permit improved overall performance. Select True or False.
True
False
If all functional strategies are deliberately aligned with each other and with the overall competitive strategy, then the company profit will be maximized. Select True or False.
True
False
Intercompany scope is broader than intrafunctional scope. Select True or False.
True
False
Monolithic Lumber has purchased timber from Bunyan Axe, the same wholly-owned subsidiary, for the last two centuries and plans to do so for another two centuries. It is crucial that Monolithic continue to demonstrate an agile company scope. Select True or False.
True
False
Greater product variety and shorter life cycles result in shorter windows of opportunity for a supply chain to achieve fit.
True
False
Globalization has increased the opportunities and decreased the risks for supply chains.
True
False
Over the past several decades, the supply chains of most firms have become easier to coordinate.
True
False
A company's competitive strategy
defines the set of customer needs that it seeks to satisfy through its products and services.
specifies the portfolio of new products that it will try to develop.
specifies how the market will be segmented and how the product will be positioned, priced, and promoted.
determines the nature of procurement and transportation of materials as well as manufacture and distribution of the product.
The value that potential customers place on product cost and delivery time determines a company's
customer needs.
competitive strategy.
supply chain surplus.
product life cycle.
The value chain in a company begins with
the customer.
marketing and sales.
new product development.
operations.
Seven-Eleven in Japan's operations and distribution strategy focuses on
convenience in the form of easy access to stores.
constantly adding new products and services.
low cost for gasoline, which drives traffic to the store.
being responsive and having an excellent information infrastructure.
Which element in the value chain is responsible for transforming inputs into outputs?
Operations
Marketing
Distribution
All elements of the value chain do this.
Which of these services facilitates the function of the value chain but is not considered a core element of the supply chain?
Marketing
Information Technology
Distribution
Service
A company's product development strategy
defines the set of customer needs that it seeks to satisfy through its products and services.
specifies the portfolio of new products that it will try to develop.
specifies how the market will be segmented and how the product will be positioned, priced, and promoted.
determines the nature of procurement and transportation of materials as well as manufacture and distribution of the product.
A company's marketing and sales strategy
defines the set of customer needs that it seeks to satisfy through its products and services.
specifies the portfolio of new products that it will try to develop.
specifies how the market will be segmented and how the product will be positioned, priced, and promoted.
determines the nature of procurement and transportation of materials as well as manufacture and distribution of the product.
A company's supply chain strategy
defines the set of customer needs that it seeks to satisfy through its products and services.
specifies the portfolio of new products that it will try to develop.
specifies how the market will be segmented and how the product will be positioned, priced, and promoted.
determines the nature of procurement and transportation of materials as well as manufacture and distribution of the product.
The value chain consists of direct and indirect activities. Which of the following is an indirect activity for an enterprise?
Marketing
Distribution
Human Resources
Service
A _____ strategy specifies the portfolio of new products that a company will try to develop.
Product Development
Marketing and Sales
Supply Chain
Finance
A ______ strategy specifies how the market will be segmented and how the product will be positioned, priced, and promoted.
Product Development
Marketing and Sales
Supply Chain
Finance
Which of the following determines the nature of procurement of raw materials, transportation of materials to and from the company, manufacture of the product or operation to provide the service, and distribution of the product to the customer along with follow-up service?
Competitive strategy
Product development strategy
Marketing and sales strategy
Supply chain strategy
Which of the following defines the set of customer needs that a company seeks to satisfy through its products and services?
Competitive strategy
Product development strategy
Marketing and sales strategy
Supply chain strategy
Which of the following specifies the portfolio of new products that a company will try to develop?
Competitive strategy
Product development strategy
Marketing and sales strategy
Supply chain strategy
The uncertainty of customer demand for a product is the
rate of strategic uncertainty
demand uncertainty
implied demand uncertainty
average forecast error
The uncertainty that exists due to the portion of demand that the supply chain is required to meet is the
rate of strategic uncertainty
demand uncertainty
implied demand uncertainty
average forecast error
Which of the following customer needs will cause implied uncertainty of demand to increase?
Product margin
Lead time decreases
Average stockout rate
Average forced season end markdown
The first step in achieving strategic fit between competitive and supply chain strategies is to
understand the supply chain and map it on the responsiveness spectrum
understand customers and supply chain uncertainty
match supply chain responsiveness with the implied uncertainty of demand
ensure that all functional strategies within the supply chain support the supply chain's level of responsiveness
The second step in achieving strategic fit between competitive and supply chain strategies is to
understand the supply chain and map it on the responsiveness spectrum
understand customers and supply chain uncertainty
match supply chain responsiveness with the implied uncertainty of demand
ensure that all functional strategies within the supply chain support the supply chain's level of responsiveness
The final step in achieving strategic fit between competitive and supply chain strategies is to
understand the supply chain and map it on the responsiveness spectrum
understand customers and supply chain uncertainty
match supply chain responsiveness with the implied uncertainty of demand
combine customer and supply chain uncertainty and map it on the implied uncertainty spectrum
Supply chain responsiveness includes the ability to do which of the following?
Handle supply uncertainty
Understand customers and supply chain uncertainty
Match supply chain responsiveness with the implied uncertainty of demand
Ensure that all functional strategies within the supply chain support the supply chain's level of responsiveness
Supply chain responsiveness includes the ability to do which of the following?
Understand customers and supply chain
Meet a very high service level
Match supply chain responsiveness with the implied uncertainty of demand
Ensure that all functional strategies within the supply chain support the supply chain's level of responsiveness
Supply chain responsiveness includes the ability to do which of the following?
Understand customers and supply chain
Match supply chain responsiveness with the implied uncertainty of demand
Meet short lead times
Ensure that all functional strategies within the supply chain support the supply chain's level of responsiveness
The cost of making and delivering a product to the customer is referred to as
supply chain responsiveness
supply chain efficiency
cost-responsiveness efficient frontier
implied uncertainty
The curve that shows the lowest possible cost for a given level of responsiveness is referred to as the
supply chain responsiveness curve
supply chain efficiency curve
cost-responsiveness efficient frontier
responsiveness spectrum
A firm that is not on the cost-responsiveness efficient frontier can improve
both responsiveness and cost performance
only responsiveness
only cost performance
responsiveness, but not cost performance
A graph with two axes with implied uncertainty along the horizontal axis and responsiveness along the vertical axis is referred to as the
implied uncertainty spectrum
responsiveness spectrum
uncertainty/responsiveness map
zone of strategic fit
The relationship where increasing implied uncertainty from customers and supply sources is best served by increasing responsiveness from the supply chain is known as the
implied uncertainty spectrum
responsiveness spectrum
uncertainty/responsiveness map
zone of strategic fit
The drive for strategic fit should come from
the supply chain manager
the strategic planning department
the highest levels of the organization, such as the CEO
middle management
The preferable supply chain strategy for a firm that sells multiple products and serves customer segments with very different needs is to
set up independent supply chains for each different product or customer segment
set up a supply chain that meets the needs of the highest volume product or customer segment
tailor the supply chain to best meet the needs of each product's demand
set up a supply chain that meets the needs of the customer segment with the highest implied uncertainty
Which of the following would be a demand and supply characteristic toward the beginning stages of a product's life cycle?
Demand has become more certain and supply is predictable
Margins are lower due to an increase in competitive pressure
Product availability is crucial to capturing the market
Price becomes a significant factor in customer choice
