In a __________ schedule bargaining situation, the profits (and/or losses) of the
respective bargainers, when added together, need not always equal the same fixed
amount.
A. standard-sum
B. routine-sum
C. fixed-sum
D. floating-sum
E. varying-sum
Broadly, risk can be defined as a measure of the probability and severity of adverse
effects. One can divide risk management into four iterative phases. Which of the
following is not one of the iterative phases?
A. contingency planning
B. risk mitigation
C. loss prevention
D. risk monitoring
E. risk assessment
________________ relationships are those in which each organization (buying and
supplying) is so focused on getting what is best for it that each puts the other at a
disadvantage.
______________ buyer-supplier relationships ________ recommended.
A. Competitive / Competitive / are
B. Collaborative / Collaborative / are not
C. Counterproductive / Counterproductive / are not
D. Counter-collaborative / Counter-collaborative / are
E. Cooperative / Cooperative / are not
In general, __________ theory can help predict the approximate outcome of bargaining
situations, but _____________ conditions will cause the true solution to vary around
the predicted outcome point.
A. statistical / physical
B. economic / psychological
C. management / economic
D. economic / financial
E. financial / psychological
There are many benefits to using EDI. For larger firms, the main benefit(s) is (are)
generally ________________
A. the cost savings
B. to be known as a leading-edge company
C. all the above
D. none of the above
The __________ function is usually charged with the task of scrapping or selling retired
equipment.
A. financial
B. operating
C. sales and marketing
D. maintenance
E. purchasing
Quality, in large part, is what people __________ it to be.
A. expect
B. perceive
C. find
D. want
E. design
________ is a direct result of dependence, and the extent of dependence is directly
induced by _____________ of power.
A. Power politics / the sources
B. Politics / the targets
C. Power / perceptions
D. Power / sources
E. Power politics / the illusions
JIT is Toyota’s manufacturing philosophy to minimize _______, and the JIT
production system is a subsystem controlled by ________.
A. costs / computer
B. waste / kanban
C. expenses / kanban
D. costs / kanban
E. waste / computer
____________ relationships recognize the potential value of both organizations getting
what they want and maximize the potential of having a long-term relationship.
A. Competitive
B. Collaborative
C. Counterproductive
D. Cooperative
E. Counter-cooperative
The ____________ method’s major disadvantage is its dependence on the judgment
of its users. The system is largely dependent on the memories of personnel to explain
what “unsatisfactory†or “good†means. With this method, there is no concrete
supporting data.
A. performance
B. process
C. categorical
D. circular-ratio
E. categorical-ratio
_____________ the trucking industry has dramatically changed not only the outcome of
the industry but also how it operates.
A. Federal deregulation of
B. State regulation of
C. Competitive rates in
D. Centralized management of
E. State deregulation of
The courts are silent on enforcing oral contracts that exceed ______ .
A. $100
B. $400
C. $500
D. $800
E. $1,000
___________ are extra inventory held to protect against randomness in demand or lead
time.
A. Backorders
B. Warehouse stocks
C. Safety stocks
D. Random stocks
E. Lead time stocks
Guides to the implementation process are summarized below, with one exception.
Which one is not one of the steps?
A. Establish strategic need for partnership
B. Develop partner criteria, evaluate suppliers, and select partner
C. Formally establish partnership
D. Maintain and refine partnership (possible reduction or dissolvement
E. Reward partner for superb quality and service
With its many benefits, supply chain partnerships retain several inherent risks that can
be potentially damaging to participants. First and foremost, heavy reliance on one
partner can be disastrous if the partner _____________.
A. changes the specifications
B. does not deliver on time
C. fails to produce quality products
D. does not meet expectations
E. increases the price of his materials
Two-party bargaining can be divided into two types: _________ and ___________.
A. standard / routine
B. fail safe / goal oriented
C. distributive / integrative
D. win / lose
E. routine / fail safe
A buying firm must consider the price variation that is inherent in buying __________
components in order to understand various design specifications and associated costs.
A. high-priced
B. low-priced
C. standard
D. custom
E. all
The acronym “MRO†refers to:
A. Management, Research, and Operations
B. Marketing Resources and Operations
C. Maintenance, Repair, and Operating
D. Managing Repair Operations
E. Metro Research Organization
Compared to traditional purchasing approaches, delivery lead times under the ________
system are considerably shorter. Lead-time reliability is usually much better for
___________ systems.
A. JIT / just-in-time
B. JOB / JOB
C. JOT / JOT
D. MBO / management buying and ordering
E. JIT / computerized
Implementation of just-in-time (Lean) purchasing assists the purchasing function in its
major objective(s) of ___________________________.
A. improving quality of incoming materials and supplier delivery performance
B. along with reducing lead times and cost of materials
C. improving supplier relationships and reducing waste
D. “A†and “B†only
E. “A†and “C†only
The following practices are considered essential for a comprehensive JIT
implementation:
1> Uniform production (also known as heijunka)
2> Quick set times
3> Small lot sizes
4> Short lead times
A. True
B. False
Many firms report lack of support from __________ as being one of the major
problems encountered in the implementation of JIT (Lean) purchasing.
A. stakeholders
B. their employees
C. their stockholders
D. their bankers
E. their lenders
Government contractors, under certain conditions must award subcontracts to
________________ bidders.
A. the low cost
B. the preferred
C. women and minority
D. the advanced
E. female
It is crucial to treat _____________ (both survivors and those directly impacted) with
respect and dignity during the decision-making and implementation process.
A. stakeholders
B. employees
C. managers
D. managers and employees
E. stockholders and stakeholders
Setting the ___________ criteria is usually based on either predetermined standards or
basic statistics.
A. return
B. warranty
C. acceptance
D. specification
E. specification
Some factors that may contribute to a successful project are listed below. Which of the
following is/are the most important?
A. Adequacy of site management.
B. Relationship between the owner and contractor.
C. Financial stability of the owner.
D. All of the above
E. “A†and “B†only
___________ components are those components not defined as strategic components.
A. Composite
B. OEM
C. Structural
D. Commodity-based
E. Common
______ is the direct computer transmission of orders and other transaction information.
A. FDIC
B. EDS
C. EDI
D. ESC
E. DEI
If sourcing internally, firms must estimate the costs of ________ prevention, the costs
of _____________, the cost of ___________, and the cost of ____________.
A. shrinkage / quantity appraisal / internal losses / external losses
B. defect / quality appraisal / internal failure / external failure
C. defect / quantity appraisal / internal problems / external problems
D. turnover / quality appraisal / internal problems / external problems
E. shrinkage / quality appraisal / internal losses / external failure
Supplier partnerships can be categorized using five factors. Which of the following is
not one of the five factors?
A. degree of risk/reward
B. type of relationship
C. product type
D. infromation
E. asset ownership
The title purchasing agent is a ____________ term.
A. general
B. specific
C. all inclusive
D. generic legal
E. specific legal