The federal Electronic Signatures in Global and National Commerce Act (ESGICA), or
E-Sign, went into effect on October 1, 2000. The law made online contracts for a
variety of business transactions more ________________.
A. clearly enforceable
B. consistent
C. easily understood
D. legally binding
E. lengthy
_________ originally took the position that his model constituted a positive theory and
that it would describe actual bargaining outcomes, but it is now much more common to
give a normative interpretation to the analysis and to treat the ______ solution as a
“desirable†outcome of the bargaining process.
A. Parmer / Parmer
B. Nash / Nash
C. Martin / Martin
D. Noah / Noah
E. Palmer / Palmer
In many instances, the negotiation process in transportation has become more
formalized. The negotiation process should be based on a __________ strategy.
A. long-term
B. win-win
C. short-term
D. strategic competitive
E. win-lose
The JIT progress report mentioned in the textbook indicates that supplier quality
improved by ______ percent since the JIT system was adopted.
A. 26
B. 16
C. 36
D. 6
E. 46
In order to effectively cultivate the relationship, the buying organization should be
active in _______________ performance and ____________________.
A. managing / identifying problems
B. monitoring and evaluating / solving problems
C. monitoring / ensuring quality
D. evaluating / discussing problems
E. managing quality / identifying problems
Many of the exclusively foreign costs are established by ___________ and are very
difficult to avoid.
A. agreements
B. suppliers
C. governments
D. negotiations
E. international companies
The underlying behavior of the improvement curve reflects a systematic improvement
(percentage reduction) of labor per unit as a function of cumulative units produced.
A. True
B. False
This type of relationship (counterproductive) is undesirable because:
* it does not promote a positive rapport between buying and supplying firms involved
and
* neither organization achieves its goals.
A. True
B. False
EF – earliest finish time can be defines as:
A. the earliest time at which the activity can start given that its precedent activities must
be completed first.
B. equal to the earliest start time for the activity plus the time required to complete the
activity.
C. equal to the latest finish time minus the time required to complete the activity.
D. equal to the earliest start time for the activity plus the time required to complete the
activity.
The three general types of supplier evaluation systems in use today are the
_________________________.
A. categorical method, the price-ratio method, and the circular averaging method
B. categorical method, the cost-ratio method, and the linear averaging method
C. circular method, the cost-ratio method, and the linear averaging method
D. cost-ratio method, the gross margin method, and the linear averaging method
E. categorical-ratio method, the quality-ratio method, and the linear averaging method
In order to manage the various types of inventory, attributes of the items first must be
analyzed in terms of all the following with one exception. Which one is the exception?
A. cost
B. quality
C. lead time
D. past usage
E. the nature of demand
_____________ are items that we expect to periodically replace in a piece of
equipment. Over time, machine parts are subject to wear and are replaced.
A. Maintenance items
B. POD items
C. OEM items
D. Replacement items
E. Repair items
One of the tasks involved in a typical complex project is given below:
•CCC charts or PAT grafts should be used to assess progress.
A. True
B. False
______________ involves continuously evaluating supply chain conditions so that
potential issues may be avoided or at least lessened by being more proactive.
A. Contingency planning
B. Risk mitigation
C. Loss prevention
D. Risk monitoring
E. Risk assessment
As an element of customer service, on-time shipment is a variation on the notion of
availability. On-time shipment has to do with the ________ promises made, and the
_____ of orders shipped as promised to ______ orders.
A. cost / number / backordered
B. transportation / number / total
C. delivery / number / total
D. delivery / ratio / total
E. delivery / ratio / backordered
The objectives of the company are important because the purchase of any major
equipment will probably affect the _______________ of the company for many years
in the future.
A. competitive advantage
B. capacity and the methods
C. long range direction and success
D. financial health
E. production process and efficiency
The ____________ establish (es) the performance measures, deliverables, due dates,
and the expected supplier requirements. Performance measurement is the cornerstone of
the buyer–supplier relationship. Without measurement there is no control. Without
control there can be no relationship to manage.
A. negotiating team
B. original contract
C. buying organization
D. supplier
E. buyer and supplier jointly
The buying firm must spend the necessary time to correctly specify and articulate
quality expectations. Then evaluation makes sure that the sample is from a legitimate
production run. Prototypes/lab samples should not be analyzed.
A. True
B. False
Extremely complex in nature, ________ serves as a composite relationship-oriented
variable, affecting both the ______________ in many transparent as well as concealed
ways.
A. organizational science / buyers and sellers
B. power science / buyers and sellers
C. a partnership / target and source
D. power / target and source
E. a partnership / buyers and suppliers
A comprehensive JIT progress report indicates that supplier costs were reduced by
________ when they adopted the JIT system in cooperation with their customers.
A. significant amounts
B. 11 percent
C. twenty fold
D. 100 percent
E. 10 percent
The two generic competitive advantages— _______________ —are operationalized
in terms of cost, quality performance, quality conformity, product flexibility, volume
flexibility, and customer service.
A. delivery speed and reliability
B. price and quality
C. market leadership and quality
D. delivery speed and price
E. price and reliability
Firms are increasingly considering more strategic “capabilities†for outsourcing,
making the strategic evaluation much more complex. They discourage firms from
making outsourcing decisions piecemeal, but rather encourage organizations to make
them as part of a __________________.
A. contingency plan
B. strategic business plan
C. outsourcing plan
D. comprehensive production strategy
E. comprehensive sourcing strategy
It is not necessary that all resource flows between components occur at the same time or
in the same manner. This idea is called _______________ and is useful when designing
supply-distribution systems.
A. supplier separation
B. channel separation
C. source separation
D. vendor separation
E. channel division
Ultimate supply chain partner __________ remains the overriding factor in determining
the future of a supply chain partnership.
A. relations
B. service
C. power
D. involvement
E. satisfaction
_________ materials tend to be purchased in quantities based on complicated
production planning and control systems.
A. Raw
B. Custom
C. Finished
D. Direct
E. Indirect
The financial merits of the various proposals are then considered. That is, if two
projects are judged to be of equal financial worth, the preference for expenditure would
be for the project serving the larger number of people, the one that prevents disease
rather than simply preventing fatality, or the one serving children versus the aged.
Several qualitative factors are also of utmost importance in identifying capital
expenditure projects in health care, namely, community need, marketability of the
project, urgency for the capital item, competition, and technological need.
____________ must be given the utmost consideration for capital expenditure project
selection.
A. Marketability of the project
B. Competition
C. Community need
D. Urgency for the capital item
E. Technological need
The process of supplier categorization is important for a number of reasons. This
process forces the buying organization to communicate cross-functionally to develop
some system for ranking the suppliers. Two main items that are considered in the
categorization process are:
* the __________ of the contract with an individual supplier and
* the __________________ to the buying firm’s business strategy.
A. length / performance
B. cost / just-in-time delivery
C. dollar amount / competitiveness
D. dollar amount / critically of the supplier
E. dates / critically of the contract
There are two main categories of supplier evaluations, ___________________.
A. specification-based evaluations and quality-based evaluations
B. procedure-based evaluations and quality-based evaluations
C. process-based evaluations and quality-based evaluations
D. quality-based evaluations and performance-based evaluations
E. process-based evaluations and performance-based evaluations
The cost per unit of material depends on __________________.
A. the volume or amount purchased
B. the quality level desired
C. the desired lead time
D. all of the above
E. “A†and “C†only
A ______________relationship is almost required with transactional/tier-_______
suppliers and assumes that the buying firm can lower prices to help keep its competitive
edge in the market.
A. collaborative / two
B. competitive / three
C. cooperative / three
D. competitive / five
E. counterproductive / four
The capital acquisition process is initiated with a department requesting equipment
replacements and expansions. The request is then measured against
__________________.
A. the organization’s budgets
B. the potential returns on investments
C. the organization’s goals
D. the organization’s desires and ability to pay
E. the organization’s financial health
________ systems utilize substantially better information on future requirements than is
possible by the traditional non-time-phased order-point system.
A. MPD
B. IRA
C. PRM
D. MRP
E. QTR
There are five important factors to consider when looking for prime vendors. The
following list contains five factors. One is incorrect. Which one is it?
A. The supplier must have acceptable production capacity.
B. Electronic data interchange systems must be employed.
C. The supplier must have a high-quality product.
D. The supplier must have a well-developed distribution system to achieve
“on-time†deliveries.
E. The supplier must at least meet minority business opportunity (MBO) goals. This is a
federal aid program for women and minority businesses.
___________ is nothing more than a form of compliance as well as identification and
_________.
A. Commitment / feelings
B. Involvement / feelings
C. Involvement / cooperation
D. Cooperation / involvement
E. Commitment / involvement
There is also a positive balance sheet effect of leasing simply because the lease is
considered an asset.
A. True
B. False