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Multiple Choice Quiz
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1
Which of the following was not a motivating force behind the adoption of supply chain management?
A)Improved communication brought about by better technology
B)Recognition that customer decision dictate costs for suppliers
C)Increased competition
D)Cost cutting efforts by dominant companies in supply chains
2
Cost savings on purchases typically:
A)Affect a small proportion of a businesses costs
B)Do not affect profit, only expenses
C)Go directly to the bottom line and dramatically impact profit
D)Only affect the weakest companies
3
Which of the following is not considered a component of supply chain management?
A)Strategic partnering
B)Mutual pricing strategies
C)Cooperative product design
D)Distribution network configuration
4
Process standardization:
A)Increases productivity
B)Decreases competitiveness
C)Reduces barriers of entry
D)Adds costs because of economies of scale
5
Strategic partnering means:
A)Avoiding a mutual dependence
B)Helping each other get better at what each company does
C)Focusing on a financial relationship
D)Eliminating dependence on long-term suppliers
6
A company with a high commitment to a cooperative relationship with suppliers and a high commitment to competitive pricing would be an example of:
A)Darwinian rivalry
B)Unleveraged purchasing
C)Balanced sourcing
D)A trust-based partnership
7
One of the decisions that must be made relating to information management for the supply chain is:
A)Which hardware should be used
B)When should information be deleted
C)Who is information shared with
D)What privacy policies should be implemented
8
One of the common causes of the bullwhip effect is:
A)Customers not paying attention to supply
B)The batching of orders
C)Suppliers keeping prices locked
D)Failure to update forecasts
9
Wide fluctuations in demand:
A)Increase costs for the entire supply chain
B)Affect only the ends of the supply chain
C)Don't affect inventory levels
D)Can be eliminated with a level production strategy
10
Risk pooling works because when pooled together, high and low demands from individual stores:
A)Result in wider distributions
B)Compound the variability
C)Cancel each other out
D)Increase







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