Pursuing supplier development activities directly with suppliers is both quick and easy.
a. True
b. False
_____ involves contracting with independent suppliers outside the organization
(domestic or foreign) to provide products or services that were performed inside the
organization.
a. Re-shoring
b. Nearshoring
c. Outsourcing
d. offshoring
e. International purchasing
_____ essentially indicates that the supplier warrants that it has ownership of the goods
and that they are not stolen or subject to any security interest or liens.
a. Warranty of infringement
b. Implied warranty of merchantability
c. Implied warranty of fitness for use
d. Warranty of title
e. None of the above.
The _____ series of standards, originally established in 1993, is designed to promote
environmental awareness and protection as well as pollution prevention.
a. MBNQA
b. ISO 9001:2008
c. Zero defects
d. Six Sigma
e. ISO 14001:2004
Buyers seldom receive and evaluate detailed information directly from potential
suppliers for the purpose of awarding a purchase contract.
a. True
b. False
All of the following are examples of demand planning activities except _____.
a. forecasts of anticipated demand
b. accounts payable
c. inventory adjustments
d. orders taken but not filled
e. spare parts and aftermarket requirements
Because the links between operations and supply management have been so close, it is
not unusual for supply management to report directly to operations.
a. True
b. False
A/An _____ is an agreement that typically covers many different items that can be
purchased under the same purchase order number, thereby minimizing repetitive
paperwork in the purchasing department for relatively low-cost items.
a. annual contract
b. national contract
c. blanket order
d. national buying agreement
e. corporate agreement
Which of the following is not one of the goals for sourcing a routine commodity?
a. Reduce the number of items through substitution.
b. Elimination of small volume spend.
c. Conduct of a detailed negotiation to improve supplier capability.
d. Elimination of duplicate SKUs.
e. Simplification of the procurement process using electronic tools.
When using quantity discount analysis, the key calculation is the incremental cost of
each additional unit at different quantity levels.a. True
b. False
In the _____ of the process of supplier segmentation, suppliers have a significant
portion of the buyers spend but do not view the buyer as an important customer.
a. NUISANCE segment
b. COMMODITY segment
c. DEVELOP segment
d. EXPLOIT segment
e. CORE segment
The basis of _____ is the official job position or title that an individual holds, rather
than the characteristics of the individual him/herself.
a. informational power
b. referent power
c. legitimate power
d. coercive power
e. expert power
_____ includes both cost and revenue data for an item to identify the point where
revenue equals cost, and the expected profit or loss at different production volumes.
a. Make-buy analysis
b. TCO
c. Break-even analysis
d. Market-share pricing
e. None of the above.
The U.S. Bureau of Customs and Border Protection established the so-called 10+2 rule
that affects all modes of transportation except ocean container freight.
a. True
b. False
A _____ is a supplier who no longer meets the buying organizations standards and will
not be considered for future business until its problems are corrected.
a. preferred supplier
b. disqualified supplier
c. certified supplier
d. single source supplier
e. sole source supplier