ISDS 3115 EXAM 3 | QUESTIONS AND ANSWERS |
WITH COMPLETE SOLUTION.
True/False: Outsourcing is a form of specialization that allows the outsourcing
firm to focus on its key success factors. Answer - True
True/False: The bullwhip effect refers to the increasing fluctuations in orders
that often occur as orders move through the supply chain. Answer - True
What is the practice of keeping a product generic as long as possible before
customizing? Answer - Postponement
A rice mill in south Louisiana purchases the trucking firm that transports
packaged rice to distributors. This is an example of of which of the following?
A. current transformation
B. Keirestsu
C. Horizontal integration
D. Backward Integration
E. Forward Integration Answer - E. Forward Integration
Local optimization is a supply-chain complication best described as: Answer -
Optimizing one's local area without full knowledge of supply chain needs.
,Hewlett-Packard withholds customization of its laser printers as long as
possible. This is an example of what? Answer - Postponement
Which of the following would NOT generally be a motive for a firm to hold
inventories?
A. to hedge against inflation
B. take advantage of quantity discounts
C. to decouple various parts of the production process
D. to minimize holding cost Answer - D. to minimize holding cost
The two most basic inventory questions answered by the typical inventory are:
Answer - Timing of orders and order quantity
Which of the following statements about the basic EOQ model is true?
-If the annual demand were to double, the number of orders per year would
increase
-If the carrying cost were to increase, the EOQ would fall
-If the annual demand were to double, the EOQ would increase
-if the ordering cost were to double the EOQ would rise
- All are true Answer - All statements are true
Which of the following statements regarding the production order quantity
model is true? Answer - It relaxes the assumption that all the order quantity is
received at one time
The proper quantity of safety stock is typically determined by: Answer - setting
the level of safety stock so that a given stockout risk is not exceeded
, which of the following should be higher in P system than Q system?
Order size
Lead time
Safety stock
Order spacing,
Demand Answer - Safety stock
Aggregate planning would entail which production aspects at BMW for a 12
month period? Answer - Total number of cars to produce
Dependence on an external source of supply is found in which aggregate
planning strategy? Answer - Subcontracting
Which of these is among the demand options of aggregate planning?
A. Changing inventory levels
B. Subcontracting
C. Varying workforce
D. Back ordering during high demand periods
E. Varying production rates through overtime or idle time Answer - D
Which aggregate planning strategy is a demand option? Answer - Changing
price
which of the following statements regarding aggregate planning is true?
Answer - Mixed strategies in aggregate planning may utilize inventory, work
force, and production rate changes over the planning horizon
WITH COMPLETE SOLUTION.
True/False: Outsourcing is a form of specialization that allows the outsourcing
firm to focus on its key success factors. Answer - True
True/False: The bullwhip effect refers to the increasing fluctuations in orders
that often occur as orders move through the supply chain. Answer - True
What is the practice of keeping a product generic as long as possible before
customizing? Answer - Postponement
A rice mill in south Louisiana purchases the trucking firm that transports
packaged rice to distributors. This is an example of of which of the following?
A. current transformation
B. Keirestsu
C. Horizontal integration
D. Backward Integration
E. Forward Integration Answer - E. Forward Integration
Local optimization is a supply-chain complication best described as: Answer -
Optimizing one's local area without full knowledge of supply chain needs.
,Hewlett-Packard withholds customization of its laser printers as long as
possible. This is an example of what? Answer - Postponement
Which of the following would NOT generally be a motive for a firm to hold
inventories?
A. to hedge against inflation
B. take advantage of quantity discounts
C. to decouple various parts of the production process
D. to minimize holding cost Answer - D. to minimize holding cost
The two most basic inventory questions answered by the typical inventory are:
Answer - Timing of orders and order quantity
Which of the following statements about the basic EOQ model is true?
-If the annual demand were to double, the number of orders per year would
increase
-If the carrying cost were to increase, the EOQ would fall
-If the annual demand were to double, the EOQ would increase
-if the ordering cost were to double the EOQ would rise
- All are true Answer - All statements are true
Which of the following statements regarding the production order quantity
model is true? Answer - It relaxes the assumption that all the order quantity is
received at one time
The proper quantity of safety stock is typically determined by: Answer - setting
the level of safety stock so that a given stockout risk is not exceeded
, which of the following should be higher in P system than Q system?
Order size
Lead time
Safety stock
Order spacing,
Demand Answer - Safety stock
Aggregate planning would entail which production aspects at BMW for a 12
month period? Answer - Total number of cars to produce
Dependence on an external source of supply is found in which aggregate
planning strategy? Answer - Subcontracting
Which of these is among the demand options of aggregate planning?
A. Changing inventory levels
B. Subcontracting
C. Varying workforce
D. Back ordering during high demand periods
E. Varying production rates through overtime or idle time Answer - D
Which aggregate planning strategy is a demand option? Answer - Changing
price
which of the following statements regarding aggregate planning is true?
Answer - Mixed strategies in aggregate planning may utilize inventory, work
force, and production rate changes over the planning horizon
