_____ actions and resources are those actions in a process that must be done to make
the product but create no value for the customer.
a. Non-value-adding
b. Necessary non-value-adding
c. Value-adding
d. Inventory surplus
e. None of the above.
Inland water carriers typically transport finished or semifinished products because of
the lengthy in-transit time.
a. True
b. False
All of the following are points that should be considered before initiating a project
except _____.
a. make sure the objectives and outcomes are championed by senior executive
management
b. measure subjectively
c. place the program under the leadership of people with skill, credentials, and
credibility
d. establish an effective governance process with a cross-functional team
e. break down the project into phased deliverables
Distribution management involves the management of packaging, storing, and handling
of materials at receiving docks, warehouses, and retail outlets.
a. True
b. False
In supplier development, the supplier must be convinced that it is in the suppliers own
best interest to accept the buyers direction and technical assistance.
a. True
b. False
If a suppliers product or service is deemed routine to the buyer, it should then be
considered for supplier development.
a. True
b. False
A higher-than-anticipated finished-goods inventory level may mean that a increase in
customer demand is occurring.
a. True
b. False
As a strategic planning tool, a SWOT analysis can provide insight even with limited
data.
a. True
b. False
Negotiators who interact face-to-face are more likely to reach agreement and avoid
impasse than their e-negotiation counterparts.
a. True
b. False
A/An _____ records the part numbers or stock keeping units that all firms rely on to
identify the thousands of unique purchased entities within a system.
a. open-order and past-due file
b. bill of materials file
c. engineering requirements file
d. part file
e. forecasted demand file
Even when given the proper climate in which to work, most people do not want to do a
good job.
a. True
b. False
In drafting a purchase order, purchasing must include a large number of details
regarding policies because it is a legally binding document.
a. True
b. False
Although it is important to develop a rationalized supply base such that buying power
can be appropriately leveraged, a single-source strategy frequently maximizes the value
of professional services.
a. True
b. False
Which of the following is not an advantage of centralizing professional service
procurement?
a. Increase the accountability of outside consultants to the buyer by increasing the
monitoring and auditing of services provided.
b. Lead to the ability to reduce the number of professional service providers.
c. Reduce service provider redundancy.
d. Reduce the likelihood of unnecessary charges.
e. Improve the working relationship between internal user and professional service
provider.
Although this sounds difficult, it is often easy to develop measures that direct behavior
or activity exactly as intended.
a. True
b. False