MGT 375 Chapter 3 Exam Questions
and Answers
In the service industry, a provider who utilizes standardization techniques can reduce
their supply base, lower operating costs, and
A) decrease quantity of services.
B) lower customer service levels.
C) offer lower prices.
D) charge higher prices. - Answer- C
Cost of ownership includes the actual cost of goods and services but also includes
(multiple answers)
A) warranty costs
B) inventory
C) employee pay
D) spare parts
E) quality levels - Answer- A, B, D, E
Organizations wishing to restructure with a decentralized plan may find they have a
significant concern with
A) locating qualified personnel.
B) dismantling the centralized unit effectively.
C) purchasing supplies for each unit.
D) training new employees. - Answer- B
Industry sector will influence supply responsibilities; industries can be divided into
(multiple answers)
A) supplier industry
B) process industry
C) resale industry
D) discrete goods industry - Answer- B, D
, Supplier council is an important forum and is useful for (multiple answers)
A) agreeing on competitive delivery terms
B) reducing admin costs
C) identifying problems with the supply base early
D) encourage internal continuous improvement - Answer- A, C
Commodity management teams engage in activities such as (multiple answers)
A) supply base reduction
B) management of supplier relationships
C) new product development
D) management of deliveries - Answer- A, B, D
Discrete goods from industries face challenges within the supply chain from consumer
preferences, innovation, and
A) purchases for resale
B) short product life cycles
C) long product life cycles
D) retail sales purchases - Answer- B
Within hybrid supply models many tasks are often handled at the corporate level to
ensure business units are aligned, these can include (multiple answers)
A) development of individual business unit supply strategies.
B) common use item purchasing.
C) policy and procedure establishment.
D) training of employees.
E) supply performance auditing. - Answer- B, C, D, E
Organizations that move to a decentralized structure will most likely maintain some of
the core supply capabilities at the ___________
level. - Answer- corporate
Supply managers can add value to corporate decisions through (multiple answers)
and Answers
In the service industry, a provider who utilizes standardization techniques can reduce
their supply base, lower operating costs, and
A) decrease quantity of services.
B) lower customer service levels.
C) offer lower prices.
D) charge higher prices. - Answer- C
Cost of ownership includes the actual cost of goods and services but also includes
(multiple answers)
A) warranty costs
B) inventory
C) employee pay
D) spare parts
E) quality levels - Answer- A, B, D, E
Organizations wishing to restructure with a decentralized plan may find they have a
significant concern with
A) locating qualified personnel.
B) dismantling the centralized unit effectively.
C) purchasing supplies for each unit.
D) training new employees. - Answer- B
Industry sector will influence supply responsibilities; industries can be divided into
(multiple answers)
A) supplier industry
B) process industry
C) resale industry
D) discrete goods industry - Answer- B, D
, Supplier council is an important forum and is useful for (multiple answers)
A) agreeing on competitive delivery terms
B) reducing admin costs
C) identifying problems with the supply base early
D) encourage internal continuous improvement - Answer- A, C
Commodity management teams engage in activities such as (multiple answers)
A) supply base reduction
B) management of supplier relationships
C) new product development
D) management of deliveries - Answer- A, B, D
Discrete goods from industries face challenges within the supply chain from consumer
preferences, innovation, and
A) purchases for resale
B) short product life cycles
C) long product life cycles
D) retail sales purchases - Answer- B
Within hybrid supply models many tasks are often handled at the corporate level to
ensure business units are aligned, these can include (multiple answers)
A) development of individual business unit supply strategies.
B) common use item purchasing.
C) policy and procedure establishment.
D) training of employees.
E) supply performance auditing. - Answer- B, C, D, E
Organizations that move to a decentralized structure will most likely maintain some of
the core supply capabilities at the ___________
level. - Answer- corporate
Supply managers can add value to corporate decisions through (multiple answers)
