NEW QUESTION 1
A company originally based in Germany sets up companies in India, China, Vietnam, Mexico, and Brazil. It sources most of the raw materials locally and employs the local workforce to manage and produce finished goods. Most of the goods produced are consumed in the same country. The company can be classified as what type of enterprise?

• A. Globally integrated
• B. Domestic
• C. Multinational
• D. Virtual

Answer: C

NEW QUESTION 2
One operation in a four-stage process has been producing more than required and is causing elevated levels of work in process. Which of the following approaches would be most appropriate to address the situation?

• A. Kano
• B. Kanban
• C. Kaizen
• D. Keiretsu

Answer: B

NEW QUESTION 3
A service company has decided to create a customer-focused business and has identified the following steps in the process:
{exhibit 3860}
Which of the following sequences of steps is correct for implementing the company's decision?

• A. 2, 1, 4, 3, 5
• B. 4, 2, 1, 5, 3
• C. 3, 5, 2, 4, 1
• D. 4, 2, 5, 1, 3

Answer: B

NEW QUESTION 4
Which of the following actions is key to identifying potential problems in lean supply chain development?

• A. Implement vendor managed inventory
• B. Install a supply chain solution
• C. Reduce customer order size
• D. Reduce inventory levels

Answer: D

NEW QUESTION 5
Which of the following conditions are most indicative of a company that is effectively managing its cash?

• A. Low accounts receivable, low inventory, high accounts payable
• B. High accounts receivable, low inventory, high accounts payable
• C. Low accounts receivable , high inventory, low accounts payable
• D. High accounts receivable, high inventory, low accounts payable

Answer: A

NEW QUESTION 6
A company used Global Reporting Initiative guidelines to complete a self-assessment. Which of the following actions would be the most appropriate next step?

• A. Share information with all stakeholders
• B. Obtain top management support
• C. Identify action items
• D. Conduct gap analysis

Answer: D

NEW QUESTION 7
Which of the following statements describes a continuous replenishment strategy in a retail environment?

• A. Retailers make replenishment decisions.
• B. Retailers prepare individual orders and share sales data with vendors to improve customer service.
• C. Vendors use sales data and prepare shipments to maintain the desired level of inventory.
• D. Vendors take full control of inventory policy.

Answer: C

NEW QUESTION 8
Which of the following situations is an example of postponement?

• A. Shipments are broken down into small groups for reshipment.
• B. Shipments are consolidated immediately for reshipment.
• C. Production begins after a customer order is received.
• D. Partially assembled goods are assembled at a later stage.

Answer: D

NEW QUESTION 9
A company exports products to emerging markets. Which of the following approaches would be used to enhance compliance, minimize risks, and connect supply chain activities?

• A. Logistics network planning
• B. Distribution requirements planning
• C. Supply chain event management
• D. Global trade management

Answer: D

NEW QUESTION 10
A company operates under a make-to-order policy, and its supplier operates under a make- to-stock policy. Which of the following risks poses the greatest threat?

• A. Inventory risk for the company
• B. Inventory risk for the supplier
• C. Debt leverage risk for the company
• D. Debt leverage risk for the supplier

Answer: B

NEW QUESTION 11
The purpose of continuous improvement in the supply chain is to:

• A. eliminate the root causes of problems.
• B. improve interorganizational communication.
• C. develop better written procedures.
• D. reduce product costs.

Answer: A

NEW QUESTION 12
Point-of-sale information fails to measure actual demand most likely because:

• A. holidays interrupt typical sales patterns.
• B. inventory levels are inaccurate.
• C. there is lag time in the system.
• D. data about lost sales cannot be captured.

Answer: D

NEW QUESTION 13
Which of the following actions is most appropriate when implementing a strategy to create customer-affordable value?

• A. Use a more rapid transportation mode.
• B. Increase safety stock.
• C. Extend product warranty.
• D. Employ lean principles.

Answer: D

NEW QUESTION 14
The most appropriate reason for a business to comply with the United Nations (UN) Global Compact practices typically would be to:

• A. enhance the competitive advantage.
• B. gain access to proven management tools.
• C. reduce the threat of organized labor.
• D. reduce the cost of operating in multiple countries.

Answer: A

NEW QUESTION 15
A firm expands distribution of its products into additional countries. Some customers initiate order batching, which could lead to which of the following outcomes?

• A. Bullwhip effect
• B. Price fluctuations
• C. Rationing
• D. Better forecasting

Answer: A

NEW QUESTION 16
A large, global third party logistics provider (3PL) is contemplating the switch to the use of ethanol-based fuel in its truck fleet and wants to identify the impact of this change on food prices. Which of the following attributes of the triple bottom line (TBL) are part of this trade off decision?

• A. Organizational, financial and social
• B. Social, financial and environmental
• C. Social, environmental and organizational
• D. Organizational, financial and environmental

Answer: B

NEW QUESTION 17
Which of the following strategies typically will require the lowest inventory investment and deliver the shortest lead time?

• A. Producing finished goods to forecast and shipping directly to customers
• B. Producing finished goods to forecast and distributing through a multi-echelon network
• C. Producing subassemblies to forecast and doing final assembly and shipping from the factory
• D. Producing subassemblies to forecast and doing final assembly and shipping from regional centers

Answer: D