Archives

Transportation consolidation has been described as the “last frontier” of logistics savings opportunities. Answer: There are four possible ways to transmit orders. Answer: False Internal sources of logistics information are not always as plentiful as might be desired. Answer: True […]

How can logistics managers attempt to control pilferage? Answer: Classifications are based on both cost and value of service. From the carriers’ standpoint, how has cost of service changed? Answer: At a minimum, the cost of service is changed in […]

A broker is a type of intermediary often associated with the negotiations channel. Answer: National holidays have no impact on the effectiveness and efficiency of international logistics. Answer: False Global positioning implementations often pay for themselves within six months. Answer: […]

Warehouses emphasize the rapid movement of products through a facility and attempt to maximize throughput. Answer: The effective and efficient use of information allows organizations to either reduce costs or improve customer satisfaction. Answer: False Sweatshops are organizations that exploit […]

Complementary products can be defined as inventories that can be used or distributed together, such as razor blades and razors. Answer: A contemporary procurement manager might have responsibility for reducing cycle times and for generating additional revenues by collaborating with […]

Contrast procurement’s historical focus to its more strategic orientation today. Answer: Why is the carrier selection process less straightforward than the modal selection process? Answer: There are several reasons why the carrier selection process is less straightforward than the modal […]

Application-specific software is a type of decision support system. Answer: Agglomeration refers to the net advantages that can be gained by a sharing of common locations by various enterprises. (True) Answer: True Most package labeling takes place at the end […]

Population can be viewed as both a market for goods and a potential source of labor. (True) Answer: The Supply Chain Operations Reference (SCOR) model identifies five key processes associate with supply chain management. Answer: False Throughput is the amount […]

What are some ways in which the Transportation Security Administration is attempting to improve the security of the U.S. transportation system? Answer: What would be the total annual cost of maintaining the components inventory under the JIT system (assuming no […]

The U.S. railroad industry is dominated by four freight carriers. Answer: Because customer needs and wants change relatively quickly, supply chains should be fast and lean. Answer: False As a general rule, companies prefer to carry less inventory as the […]

Explain how big-box retailers are logistical trendsetters. Answer: Compare and contrast the fragmented and unified logistical organizational structures. Answer: In a fragmented logistics structure, logistics activities are managed in multiple departments throughout an organization. In such a structure, it is […]

Potential logistics social responsibility dimensions include the environment, diversity, safety, and philanthropy, among others. Answer: Logistical decisions tend not to be impacted by marketers’ growing emphasis on offering sustainable products. Answer: False Office automation systems provide effective ways to process […]

Define and explain how organizations might engage in benchmarking. Answer: Explain the relevance of aisle width in warehouse design. Answer: As aisle space increases, the storage capacity of a facility decreases; for example, narrow aisles can store 20-25 percent more […]

What is a carrier performance scorecard? How might it be used by a transportation manager? Answer: Discuss some of the ethical issues that are associated with procurement. Answer: Areas of ethical concern in procurement include gift giving and receiving; bribes […]

Ease of handling is one of the four factors used to determine a product’s freight classification. Answer: The nature of the product can affect the level of customer service that should be offered. Answer: True Best in Class companies tend […]

Fifty pounds is a significant weight in many logistics systems because it represents the approximate weight at which there is a noticeable increase in injuries. Answer: Many grocery chains target in-stock rates of 90 percent for individual stores so that […]

Discuss the concept of stockout costs. How can a stockout cost be calculated? Answer: How can warehouses control their energy usage in terms of design, lighting, and roofing considerations? Answer: With respect to design, facilities might be positioned so that […]

Communication with employees is more important for facility closings than for facility relocations. (False) Answer: First and foremost, procurement’s objectives must manage the purchasing process effectively and efficiently. Answer: False Order information is checked for completeness and accuracy in the […]

Supply chain integration tends to be more challenging in global, as opposed to domestic, supply chains. Answer: When taking an activity-based costing approach, firms consider all the costs that can be assigned to the acquisition, use, and maintenance of a […]

With respect to supply chains, relevancy focuses on an organization’s ability to respond to changes in demand with respect to volume and variety. Answer: Bottleneck refers to the low importance, low complexity category of Kraljic’s Portfolio Matrix. Answer: False It […]

In terms of ABC analysis of inventory, no more than 25% of items should be classified as “A’s.” Answer: The level and degree of transportation regulation varies from country to country. Answer: True Continuous improvement refers to a process that […]

There are suggestions that consultant fees for ERP implementations may be three times as costly as the software itself. Answer: In vendor-managed inventory, the size and timing of replenishment orders are the responsibility of the manufacturer. Answer: True Leagility refers […]