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

Answer: d. supply chain

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

Answer: c. convenience

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

Answer: b. inventory management

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

Answer: b. understanding the customer

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

Answer: c. Government contract requirements

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

Answer: b. Short-term relationships with a few suppliers

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

Answer: b. Innovative products

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

Answer: d. Grocery products

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

Answer: c. a & b

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

Answer: b. Weeks-of-supply

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

Answer: a. The lead time

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

Answer: c. stockout costs

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

Answer: e. All the above

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

Answer: d. Lower total setup costs

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

Answer: b. perishability

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

Answer: d. Railroads are a relatively high cost mode of transportation

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

Answer: c. This method of transportation is especially effective for goods that are time-sensitive.

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

Answer: a. time

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

Answer: b. minimize relevant logistics costs

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

Answer: c. combine the economy of rail carriers with the flexibility of motor carriers

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

Answer: d. is a distribution center.

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

Answer: a. Determining how a product should be shipped considering its weight and value

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

Answer: d. inventory

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

Answer: b. the bullwhip effect

QN25: The bullwhip effect is most closely associated with:

a. Late deliveries from suppliers

b. Demanding customers

c. Demanding suppliers

d. Inventory buildup

Answer

Answer: d. Inventory buildup

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

Answer: b. To focus on new and different areas or activities

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

Answer: a. The company’s cafeteria

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

Answer: d. Outsourcing cost

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

Answer: a. Staples people buy in a range of retail locations

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

Answer: d. Means linking the supplier to the customers

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

Answer: c. Focusing on implementing total quality management system

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

Answer: d. Corporate Planning

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

Answer: a. The degree of excellence at an acceptable price and the control of variability at an acceptable cost

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

Answer: b. More attention to employee training and self-management must be paid in service organization

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

Answer: c. Upper management support

QN36: QMS is the achronym for

a. QulityMaint Service

b. Quality Monitoring Supervision

c. Quality Measurement System,

d. Quality Management System

Answer

Answer: d. Quality Management System

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

Answer: b. Quality control departments

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

Answer: d. Generic benchmark

QN39: Value Analysis is a technique about

a. Root cause analysis

b. Pareto analysis

c. Cost of external failure

d. Optimizing Materials Cost

Answer

Answer: d. Optimizing Materials Cost

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

Answer: d. minimizes total inventory cost