SCM201 EVALUATION EXAM 2026 QUESTIONS AND
SOLUTIONS GRADED A+
✔✔false - ✔✔T/F: Sustainability reflects only the importance of strategic environmental
practices of an organization's suppliers but not the management of social responsibility
in the supply base.
✔✔true - ✔✔T/F: Overall reduction in material usage and disposal can be accomplished
through engineering design changes and reuse and recycle programs.
✔✔C - ✔✔Which of the following is NOT a typical qualitative service factor in a supplier
performance measurement system?
a. Problem resolution ability.
b. Technical ability.
c. Process capability.
d. Ongoing progress reporting.
e. Wavelength.
✔✔D - ✔✔Which of the following is NOT one of the typical uses of supplier
measurement data?
a. Supporting supply base rationalization and optimization.
b. Identifying those highly capable suppliers that may qualify for consideration of longer-
term partnerships or designation as preferred suppliers.
c. Identifying those suppliers that are not performing at expected levels so that
appropriate remedial or development actions can be taken.
d. Deciding where to locate supplier facilities.
e. Determining a supplier's future purchase volume based on its past performance.
✔✔B - ✔✔Which of the following is NOT a disadvantage of a categorical supplier
evaluation system?
a. Least reliable.
b. Cost accounting system required.
c. Less frequent generation of evaluations.
d. Most subjective.
e. Usually manual.
✔✔E - ✔✔All of the following are advantages of a categorical supplier evaluation
system EXCEPT _____.
a. easy to implement
b. requires minimal data
c. different personnel can contribute
d. low-cost system
e. greatest potential for long-range improvement
, ✔✔A - ✔✔Which of the following is a disadvantage of a weighted-point supplier
evaluation system?
a. Tends to focus on unit price.
b. Most complex, so implementation costs are high.
c. Most subjective.
d. Least reliable.
e. Cost accounting system required.
✔✔D - ✔✔All of the following are advantages of a weighted-point supplier evaluation
system EXCEPT _____.
a. flexible system
b. supplier ranking allowed
c. moderate implementation costs
d. total cost approach
e. quantitative and qualitative factors combined into a single system
✔✔B - ✔✔Which of the following is a disadvantage of a cost-based supplier evaluation
system?
a. Least reliable.
b. Most complex so implementation costs are high.
c. Less frequent generation of evaluations.
d. Most subjective.
e. Tends to focus on unit price.
✔✔E - ✔✔All of the following are advantages of a cost-based supplier evaluation
system EXCEPT _____.
a. total cost approach
b. specific areas of supplier nonperformance identified
c. objective supplier ranking
d. greatest potential for long-range improvement
e. good for firms with limited resources
✔✔C - ✔✔The _____ supplier evaluation system seeks to identify and quantify the total
cost of doing business with a given supplier, as the lowest purchase price may not
always result in the lowest total cost for an item or service.
a. Six Sigma
b. zero defects
c. cost-based
d. categorical
e. weighted-point
✔✔E - ✔✔In supplier measurement, the basic logic of the _____ is built around the
calculation of a/an _____.
a. categorical system, supplier performance index (SPI)
b. cost-based system, process capability index
c. weighted-point system, Q adjustment factor
SOLUTIONS GRADED A+
✔✔false - ✔✔T/F: Sustainability reflects only the importance of strategic environmental
practices of an organization's suppliers but not the management of social responsibility
in the supply base.
✔✔true - ✔✔T/F: Overall reduction in material usage and disposal can be accomplished
through engineering design changes and reuse and recycle programs.
✔✔C - ✔✔Which of the following is NOT a typical qualitative service factor in a supplier
performance measurement system?
a. Problem resolution ability.
b. Technical ability.
c. Process capability.
d. Ongoing progress reporting.
e. Wavelength.
✔✔D - ✔✔Which of the following is NOT one of the typical uses of supplier
measurement data?
a. Supporting supply base rationalization and optimization.
b. Identifying those highly capable suppliers that may qualify for consideration of longer-
term partnerships or designation as preferred suppliers.
c. Identifying those suppliers that are not performing at expected levels so that
appropriate remedial or development actions can be taken.
d. Deciding where to locate supplier facilities.
e. Determining a supplier's future purchase volume based on its past performance.
✔✔B - ✔✔Which of the following is NOT a disadvantage of a categorical supplier
evaluation system?
a. Least reliable.
b. Cost accounting system required.
c. Less frequent generation of evaluations.
d. Most subjective.
e. Usually manual.
✔✔E - ✔✔All of the following are advantages of a categorical supplier evaluation
system EXCEPT _____.
a. easy to implement
b. requires minimal data
c. different personnel can contribute
d. low-cost system
e. greatest potential for long-range improvement
, ✔✔A - ✔✔Which of the following is a disadvantage of a weighted-point supplier
evaluation system?
a. Tends to focus on unit price.
b. Most complex, so implementation costs are high.
c. Most subjective.
d. Least reliable.
e. Cost accounting system required.
✔✔D - ✔✔All of the following are advantages of a weighted-point supplier evaluation
system EXCEPT _____.
a. flexible system
b. supplier ranking allowed
c. moderate implementation costs
d. total cost approach
e. quantitative and qualitative factors combined into a single system
✔✔B - ✔✔Which of the following is a disadvantage of a cost-based supplier evaluation
system?
a. Least reliable.
b. Most complex so implementation costs are high.
c. Less frequent generation of evaluations.
d. Most subjective.
e. Tends to focus on unit price.
✔✔E - ✔✔All of the following are advantages of a cost-based supplier evaluation
system EXCEPT _____.
a. total cost approach
b. specific areas of supplier nonperformance identified
c. objective supplier ranking
d. greatest potential for long-range improvement
e. good for firms with limited resources
✔✔C - ✔✔The _____ supplier evaluation system seeks to identify and quantify the total
cost of doing business with a given supplier, as the lowest purchase price may not
always result in the lowest total cost for an item or service.
a. Six Sigma
b. zero defects
c. cost-based
d. categorical
e. weighted-point
✔✔E - ✔✔In supplier measurement, the basic logic of the _____ is built around the
calculation of a/an _____.
a. categorical system, supplier performance index (SPI)
b. cost-based system, process capability index
c. weighted-point system, Q adjustment factor
