Which of the following are key components of information that must be analyzed to
increase efficiency and improve effectiveness in a supply chain?
A) Software selection
B) Source selection
C) Warehouse selection
D) Forecasting and aggregate planning
Historical demand for Peeps is as displayed in the table.
The measure of how significantly a forecast method consistently over- or
underestimates demand is
A) mean squared error (MSE).
B) mean absolute deviation (MAD).
C) bias.
D) the tracking signal.
Capacity allocation decisions have a significant impact on supply chain performance
because
A) capacity decisions tend to be permanent.
B) capacity decisions tend to be changed frequently.
C) capacity decisions do not tend to stay in place for several years.
D) capacity decisions tend to stay in place for several years.
A facility that serves the role of being a low-cost supply source for markets located
outside the country where the facility is located is
A) an offshore facility.
B) a source facility.
C) a contributor facility.
D) an outpost facility.
According to its 2011 CSR report, ________ has designed and opened a viable store
prototype that is up to 25 to 30 percent more energy efficient and produces up to 30
percent fewer greenhouse gas emissions compared to the 2005 baseline.
A) Starbucks
B) TJ Maxx
C) Walmart
D) Kmart
The amount reserved for the spot market should be
A) such that the expected marginal revenue from the spot market equals the current
revenue from a bulk sale.
B) such that the expected marginal revenue from the spot market exceeds the current
revenue from a bulk sale.
C) such that the expected marginal revenue from the spot market is less than the current
revenue from a bulk sale.
D) equal to the maximum revenue available from the spot.
Tariffs, economies of scale and aggregate factor costs mostly affect which of the four
Global Network Design Decisions?
A) Phase I – Supply Chain Strategy
B) Phase II – Regional Facility Configuration
C) Phase III – Desirable Sites
D) Phase IV – Location Choices
Which of the following is a disadvantage of retail storage with customer pickup?
A) Returnability is easier than other options given that pickup location can handle
returns.
B) Inventory cost is higher than all other options.
C) Transportation cost is lower than all other options.
D) Facilities and handling costs are lower than other options.
Gang Aft Agley, a manufacturing company, faces the aggregate planning problem
shown in the table below. Cost of regular production is $5 per unit, the cost of
producing the same unit on overtime is $7.50, the cost of subcontracting is $9 per unit,
and the cost of carrying a unit in inventory from one month to the next is $2.
The labor contract at the plant prohibits both overtime and subcontracting output to
exceed 300 units in any five month window. The plant capacity is 600 units per month
produced using two shifts, regardless of the number of days in a month. By policy,
management wants to avoid stockouts.
Use the information from Scenario 8.1 to determine the objective function for this
scenario.
A) Max Output = + +
B) Max Profit = – $5 – $7.5 – $9 –
C) Min Cost = $5 + $7.5 + $9 + $2
D) Min Output = +
Webvan designed a supply chain with large warehouses in several major cities in the
United States, from which groceries were delivered to customer homes. They failed
partly because of
A) low demand for their service.
B) slow inventory turnover compared to industry averages.
C) higher labor costs for picking orders.
D) poor quality products.
Scoring the performance of suppliers in terms of replenishment lead time thus allows
the firm to evaluate the impact each supplier has on
A) the cost of holding cycle inventory.
B) the cost of holding replacement inventory.
C) the purchase price of material.
D) the cost of holding safety inventory.
As the number of facilities in a supply chain increases, total facility costs
A) decrease.
B) increase.
C) increase to a point and then decrease.
D) decrease to a point and then increase.
Long term boom and bust cycles that mimic the bullwhip effect include
A) calendars and greeting cards.
B) the length of hemlines.
C) university textbooks.
D) memory chips for personal computers.
The pricing and promotion decisions are often made by
A) marketing and sales.
B) marketing and operations.
C) operations and sales.
D) marketing, operations, and sales.
Serving a low density of customers at a long distance is best done using
A) an LTL carrier.
B) a cross dock distribution center with milk runs.
C) a package carrier.
D) a private fleet with milk runs.
As the number of facilities in a supply chain increases
A) the inventory and resulting inventory costs also increase.
B) the inventory and resulting inventory costs decrease.
C) the inventory increases and resulting inventory costs decrease.
D) the inventory decreases and resulting inventory costs increase.
A key issue facing Toyota is
A) developing an Internet marketing system.
B) whether to specialize in a particular market.
C) design of its global production and distribution network.
D) how to implement model changes.
Historical demand for Peeps is as displayed in the table.
What is the trend component of Holt’s model for period 0?
A) -2.5
B) 10.3
C) 2.5
D) 6.4
The process by which companies acquire raw materials, components, products,
services, and other resources from suppliers to execute their operations is
A) procurement.
B) sourcing.
C) supplier scoring and assessment.
D) supplier selection.