Online MCQ Assignment Answer
QN1: A(n) ___ is a sequence of firms that perform activities required to create and deliver a good or service to consumers or industrial users.
a. effective response system
b. demand channel
c. materials handling requirements
d. supply chain
Answer: d. supply chainAnswer
QN2: Supply chain manufacturers balance total logistics cost factors against customer service factors. Which of the following is an example of one of the customer service factors?
a. inventory
b. order processing
c. convenience
d. transportation
Answer: c. convenienceAnswer
QN3: The four key logistical functions in a supply chain include transportation, warehousing and materials handling, order processing, and:
a. communication between buyer and seller
b. inventory management
c. order cycle time.
d. on-time delivery of product
Answer: b. inventory managementAnswer
QN4: What is the first step in choosing a supply chain?
a. developing an umbrella mission statement
b. understanding the customer
c. creating a unifying inter-organizational strategy
d. determining what the competition is doing
Answer: b. understanding the customerAnswer
QN5: Supply chain management is becoming a necessity, especially for large companies, for all of the following except:
a. The need to improve operations
b. Increasing levels of outsourcing
c. Government contract requirements
d. Competitive pressures
Answer: c. Government contract requirementsAnswer
QN6: Which of the following is not a supply chain strategy?
a. Negotiation with several suppliers
b. Short-term relationships with a few suppliers
c. Vertical integration
d. Virtual companies
Answer: b. Short-term relationships with a few suppliersAnswer
QN7: According to Marshall Fisher, which of the following types of products need to be delivered with efficient supply-chains?
a. Custom products
b. Innovative products
c. Cheap products
d. High technology products
Answer: b. Innovative productsAnswer
QN8: According to Hau Lee, which of the following types of products need to be delivered with efficient supply-chains?
a. Custom products
b. High technology products
c. Responsive products
d. Grocery products
Answer: d. Grocery productsAnswer
QN9: Supply-chain response relates to the following
a. How quickly a customer order can be filled
b. How quickly a company can react to a new competing product
c. a & b
d. How inexpensive the product is?
Answer: c. a & bAnswer
QN10: The inventory turnover is mathematically the inverse of the
a. Gross margin
b. Weeks-of-supply
c. Cost of goods sold
d. Profit
Answer: b. Weeks-of-supplyAnswer
QN11: In the fixed-order quantity model, stock-outs may occur during:
a. The lead time
b. The order time
c. The holding time
d. The setup time
Answer: a. The lead timeAnswer
QN12: Supply chain manufacturers balance total logistics cost factors against customer service factors. Which of the following is an example of one of the total logistics cost factors?
a. convenience costs
b. time
c. stockout costs
d. communication costs
Answer: c. stockout costsAnswer
QN13: Lead time is:
a. also called replenishment time
b. typically more important to resellers than to consumers
c. defined as the time that passes from ordering an item until it is received and ready for use or sale
d. also called order cycle time
e. All the above
Answer: e. All the aboveAnswer
QN14: Which of the following results is not a benefit of JIT?
a. Flexibility
b. Lower Inventories
c. Work Cells
d. Lower total setup costs
Answer: d. Lower total setup costsAnswer
QN15: Modes of transportation are typically evaluated on the basis of all of the following criteria EXCEPT:
a. accessibility
b. perishability
c. capability
d. dependability
Answer: b. perishabilityAnswer
QN16: Which of the following statements about railroads is not true?
a. Railroads carry bulky items over fairly long distances.
b. Railroads apply the unit train concept to intermodal transportation
c. Railroad routes are more extensive than water carriers or pipelines.
d. Railroads are a relatively high cost mode of transportation
Answer: d. Railroads are a relatively high cost mode of transportationAnswer
QN17: Which of the following statements about air carriers is true?
a. One advantage of air carriers is there is door-to-door delivery
b. There are space constraint limitations as to what can be transported in planes.
c. This method of transportation is especially effective for goods that are time-sensitive.
d. Air carriers are commonly used for perishable flowers, clothing, and electronics parts.
Answer: c. This method of transportation is especially effective for goods that are time-sensitive.Answer
QN18: With which customer service factor are quick response and efficient consumer response delivery systems most closely related?
a. time
b. dependability
c. inventory costs
d. communication
Answer: a. timeAnswer
QN19: The objective of logistics management in a supply chain is to deliver maximum customer service and to:
a. minimize employee productivity
b. minimize relevant logistics costs
c. minimize shareholder’s return on investment
d. maximize employee wages
Answer: b. minimize relevant logistics costsAnswer
QN20: The major purpose of a trailer on flatcar (TOFC) is to:
a. attract freight that would normally move by boat.
b. implement a JIT transportation strategy both domestically and internationally
c. combine the economy of rail carriers with the flexibility of motor carriers
d. eliminate the need for containers
Answer: c. combine the economy of rail carriers with the flexibility of motor carriersAnswer
QN21: A warehouse that emphasizes timely movement of goods:
a. is a storage warehouse.
b. is a freight forwarder.
c. is an inventory expediting center.
d. is a distribution center.
Answer: d. is a distribution center.Answer
QN22: The idea of the Value Density calculation is:
a. Determining how a product should be shipped considering its weight and value
b. Finding a carrier that can handle the weight
c. Matching the weight of the product with an appropriate carrier
d. Finding the minimum cost carrier
Answer: a. Determining how a product should be shipped considering its weight and valueAnswer
QN23: Dramatic cost savings are possible when efficient transportation systems and information technology can be substituted for ___ costs
a. advertising
b. personal selling
c. publicity
d. inventory
Answer: d. inventoryAnswer
QN24: Which one of the following can have a negative impact on inventory velocity?
a. delayed differentiation
b. the bullwhip effect
c. cross-docking
d. bar codes
Answer: b. the bullwhip effectAnswer
QN25: The bullwhip effect is most closely associated with:
a. Late deliveries from suppliers
b. Demanding customers
c. Demanding suppliers
d. Inventory buildup
Answer: d. Inventory buildupAnswer
QN26: Reasons to outsource include:
a. To increase costs
b. To focus on new and different areas or activities
c. To reduce investments in assets
d. To increase investments in asset
Answer: b. To focus on new and different areas or activitiesAnswer
QN27: Which of the following is the best candidate for outsourcing by a telephone company which currently performs the function in house?
a. The company’s cafeteria
b. The company’s telephone operators..
c. The company’s telephone installation department
d. The company’s bookkeeping and accounting functions
Answer: a. The company’s cafeteriaAnswer
QN28: What factors the companies do not need to consider when sourcing product?
a. Material cost
b. Company’s overhead costs
c. Transportation cost
d. Outsourcing cost
Answer: d. Outsourcing costAnswer
QN29: Functional products are:
a. Staples people buy in a range of retail locations
b. Products that change over time
c. Do not include products in gas stations and grocery stores
d. Products with short life cycle
Answer: a. Staples people buy in a range of retail locationsAnswer
QN30: Supply chain management:
a. Means procurement only
b. Means delivery to end customer only
c. Means transportation of good only
d. Means linking the supplier to the customers
Answer: d. Means linking the supplier to the customersAnswer
QN31: Which of the following is not one of the ways that Wal-Mart created a competitive operations advantage?
a. Through the systems that they developed to manage their warehouses and their stores
b. Location advantage – competing head-to-head in large urban areas
c. Focusing on implementing total quality management system
d. A culture of supporting values, skills, technologies and approaches to motivation
Answer: c. Focusing on implementing total quality management systemAnswer
QN32: Which one is not included into the scope of Quality assurance:
a. Failure analysis
b. Trouble shooting
c. Product design improvements
d. Corporate Planning
Answer: d. Corporate PlanningAnswer
QN33: Quality is defined as:
a. The degree of excellence at an acceptable price and the control of variability at an acceptable cost
b. How well a product fits patterns of consumer preference?
c. The totality or features and characteristics of a product or service that bears on its ability to satisfy stated or implied needs
d. Cannot be defined
Answer: a. The degree of excellence at an acceptable price and the control of variability at an acceptable costAnswer
QN34: Which one of the following is not a true statement?
a. Employee behavior is an important issue for quality service
b. More attention to employee training and self-management must be paid in service organization
c. The management of quality is easier for services than for manufactured goods.
d. Quality characteristics are more difficult to define for service organizations than for manufacturing firms.
Answer: b. More attention to employee training and self-management must be paid in service organizationAnswer
QN35: To ensure success in implementing quality initiatives, the most important factor is
a. A reward and recognition program
b. A training program to explain and promote the quality initiative.
c. Upper management support
d. An empowered work force
Answer: c. Upper management supportAnswer
QN36: QMS is the achronym for
a. QulityMaint Service
b. Quality Monitoring Supervision
c. Quality Measurement System,
d. Quality Management System
Answer: d. Quality Management SystemAnswer
QN37: Which of the following is not consistent with the concept of TQM?
a. Organizational leadership
b. Quality control departments
c. Continuous improvement
d. Customer focus
Answer: b. Quality control departmentsAnswer
QN38: Performance measures concerned with specific work processes that are virtually the same for all industries refer to:
a. Internal benchmark
b. Competitive benchmark
c. Functional benchmark
d. Generic benchmark
Answer: d. Generic benchmarkAnswer
QN39: Value Analysis is a technique about
a. Root cause analysis
b. Pareto analysis
c. Cost of external failure
d. Optimizing Materials Cost
Answer: d. Optimizing Materials CostAnswer
QN40: EOQ is the order quantity that over our planning horizon
a. minimizes total ordering costs
b. minimizes total carrying costs
c. the required safety stock
d. minimizes total inventory cost
Answer: d. minimizes total inventory costAnswer