If the purpose of buying currency contracts is to realize a net gain, then the purchaser is
_____ and not _____.
a. hedging¦.speculating
b. speculating¦.hedging
c. speculating¦.financing
d. hedging¦.financing
e. Purchasers do not get involved in managing currency fluctuation as this is solely a
finance department activity.
_____ involves a systematic monitoring of the supply environment to assure a continual
economic supply of goods and services.
a. Operational support and follow-up
b. Market intelligence
c. Administration and data management
d. Material handling
e. Sourcing, negotiation, and contract management
According to Ohno and Toyota, _____ is a category of waste that retains unnecessary
inventory between process steps.
a. excess inventory
b. overproduction
c. over-processing
d. waiting time
e. None of the above.
Many suppliers do not have a sophisticated cost accounting system and are unable to
assign overhead costs to products or processes.
a. True
b. False
While similar in concept, blanket purchase orders are typically used more often for
_____ purchases.
a. unique
b. lower-value
c. complex
d. spot buy
e. There are no differences in the types of products or amounts purchased in either
method.
In a/an _____, sellers are only told their relative rank and thus are not aware of their
competitors prices.
a. vertical portal
b. progressive reverse auction
c. regular reverse auction
d. rank reverse auction
e. None of the above.
Making information visible does not require a degree of collaboration between the
parties.
a. True
b. False
Production inventory consumes a minor portion of inventory investment.
a. True
b. False
_____ requires a selling firm to purchase a specified amount of goods from the country
that purchased its products.
a. Nearshoring
b. Barter
c. Compensation trading
d. Counterpurchase
e. Buy-back
Which of the following is not one of the characteristics of a mature, well-developed
supply strategy?
a. A repeatable and well-defined process for building strategy and governance around
defining, planning, managing, and receiving products and services for a business.
b. Clear alignment with executive vision and internal user-specific business goals.
c. Established goals and metrics for short-term project plans, as well as a definite
five-year plan that provides year over year performance improvements.
d. Established communication plan to inform senior management and all lines of
business updated and reviewed quarterly against defined goals and objectives.
e. Required use of an online catalog.
In a systems outsourcing situation, acceptance test criteria can only be determined after
issuing the contract as actual operating conditions cannot be specified until the system
is fully operational.
a. True
b. False