NEW QUESTION 1
Prioritizing customer needs is best accomplished by:

• A. sharing information with key customers.
• B. installing a new enterprise resources planning system.
• C. responding to customer requests in the order they are received.
• D. establishing policies and procedures for honoring customer requests.

Answer: D

NEW QUESTION 2
When designing a supply chain for strategic advantage, a company first should consider:

• A. the impact on customers using Just-in-Time manufacturing.
• B. the financial stability of suppliers.
• C. matching the supply chain to product type.
• D. whether to use custom or standard parts.

Answer: C

NEW QUESTION 3
A product design that can be produced to requirements even when conditions in the production process are unfavorable typically is known as what type of design?

• A. Universal
• B. Computer-aided
• C. Modular
• D. Robust

Answer: D

NEW QUESTION 4
Reverse supply chain activity typically peaks nearest the beginning of which of the following stages of the product life cycle?

• A. Introduction
• B. Growth
• C. Maturity
• D. Decline

Answer: D

NEW QUESTION 5
It is most appropriate to measure spending per customer as a proportion of profitability during which of the following phases of a supplier/customer relationship?

• A. Customer acquisition
• B. Customer retention
• C. Customer dependency
• D. Strategic customer care

Answer: B

NEW QUESTION 6
A company most likely would consider moving a portion of its manufacturing to a second location to:

• A. improve competitive advantage through cost control.
• B. avoid manufacturing downtime due to material shortages.
• C. maximize security for customer shipments.
• D. minimize the impact of natural disasters.

Answer: D

NEW QUESTION 7
A company ships from its manufacturing facilities directly to its warehouses. If the number of warehouses increases, transportation costs between manufacturing facilities and warehouses most likely will:

• A. increase.
• B. decrease.
• C. not change.
• D. become less predictable.

Answer: A

NEW QUESTION 8
A company has adequate average available capacity but does not maintain surge capacity. With a distribution route to manage, which of the following actions will provide the most capacity relief?

• A. Increasing order-fulfillment lead times
• B. Implementing allocation
• C. Increasing prices with a 30-day effective date
• D. Increasing product queue times

Answer: A

NEW QUESTION 9
Which of the following actions typically is most important when building a collaborative supply chain?

• A. Investing sufficient capital
• B. Building mutual trust
• C. Integrating information systems
• D. Developing a common culture

Answer: B

NEW QUESTION 10
A company most likely would implement a supplier certification program to:

• A. improve the supplier's procurement process.
• B. abide by ISO standards.
• C. validate the supplier's compliance with requirements.
• D. implement point-of-sale (POS) terminals.

Answer: C

NEW QUESTION 11
Which of the following consequences is a result of shipping directly from the point of manufacture to the customer rather than through a distribution network?

• A. Delivery lead times are consistent.
• B. Risk pooling benefits are negated.
• C. Distribution overhead is increased.
• D. Order-fill rate is decreased.

Answer: B

NEW QUESTION 12
The most important challenge to consider when sourcing globally is:

• A. the identification of sources capable of producing the materials.
• B. the availability of low-cost labor and energy.
• C. complying with specific import/export issues.
• D. balancing the difference between piece price and total cost.

Answer: D

NEW QUESTION 13
A business is changing from a business to business model to a business to consumer model. Which of the following statements about this supply chain change is true?

• A. Returns from customers will decrease.
• B. Number of supplier orders will increase.
• C. Number of customer orders will increase.
• D. Average supplier order size will increase.

Answer: C

NEW QUESTION 14
The employees at a convenience store are trained to ask customers purchasing snack foods whether they also would like to purchase a beverage. This situation is an example of:

• A. cross-selling.
• B. customer service.
• C. product marketing.
• D. selling an upgrade.

Answer: A

NEW QUESTION 15
Which of the following techniques allows users to automate the notification of appropriate parties when exceptions to specific business rules occur?

• A. Enterprise resources planning
• B. Supply chain event management
• C. Advanced planning and scheduling
• D. Automatic identification and data capture

Answer: B

NEW QUESTION 16
Which of the following situations is a consequence of global operations?

• A. Decreased logistic cost
• B. Increased logistic complexity
• C. Reduced product variety
• D. Longer lead times

Answer: B

NEW QUESTION 17
A firm has discovered a product quality issue. What should be the first step in responding to this issue?

• A. Determine the root cause of the quality issue.
• B. Separate the non-conforming products.
• C. Trace the location of the faulty product in the supply chain.
• D. Replace faulty products when they are returned by the end user.

Answer: C