The _____ clause of a contract specifies conditions regarding who own any IP rights
that comes out of the agreement, and who owns what IP going into the agreement.
a. liability
b. confidentiality
c. intellectual property
d. technology improvements
e. assignment and contracting
A _____ is the increase or decrease in cost resulting from a change in purchasing
strategy or practice brought about by an individual or a group.
a. cost change
b. cost avoidance
c. target cost
d. target price
e. purchase price variance
Most commonly used contracts are developed from earlier contracts that are
subsequently modified to fit the situation at hand.
a. True
b. False
_____ results in waste because a valuable equipment or labor resource is not producing
output.
a. Idle time
b. Inventory
c. Wasted operator motion
d. Delivery
e. Overproduction
_____ occurs as a result of negotiators being immersed in a place in which their
established norms have been confronted and may no longer be applicable.
a. Win-win negotiation
b. Competitive bargaining
c. Reciprocation
d. Consistency
e. Culture shock
Which of the following is not one of the expectations that suppliers have in a typical
supply chain relationship?
a. Minimizing product design changes once production begins.
b. Providing visibility to future purchase volume requirements.
c. Sharing early access and visibility to new-product requirements.
d. Valuing accurate and timely payment of invoices.
e. Having the buyer co-locate its buying, engineering, and quality staffs into a suppliers
facility.
SWOT analysis was created to describe the competitive forces in a market economy
that help shape an industry.
a. True
b. False
_____ of inventory refers to how quickly raw material and work-in-process inventory
transform into finished goods that the customer accepts.
a. Volume
b. Velocity
c. Value
d. Vigor
e. None of the above.
When referring to learning improvement, the _____ represents a reduction in the
cumulative average number of labor hours as production doubles from a previous level.
a. critical path
b. slack path
c. expected activity time
d. learning rate
e. early finish
_____ refers to the extent to which, by choosing a certain course of action, management
can meet a previously established goal or standard.
a. Operational benchmarking
b. Efficiency
c. Support-activity benchmarking
d. Effectiveness
e. None of the above.
In the initial stages of supply management strategy development, supply management
adopts essentially a short-term approach and reacts to complaints from its internal
customers when deliveries are late, quality is poor, or costs are too high.
a. True
b. False
Shortening the material pipeline in terms of time between suppliers and a buyer can
reduce the average amount of inventory in a system.
a. True
b. False