150 Practice Questions & Answers for Exam Preparation
Based on Tutorial Letters & Study Guide | UNISA | 2025/2026
SECTION 1: BASIC CONCEPTS & GOAL OF LOGISTICS
Questions 1–20
Question 1
Define logistics management according to the CSCMP definition.
Answer: Logistics management is the process of planning, implementing, and controlling
procedures for the efficient and effective transportation and storage of goods (services and
related information) from the point of origin to the point of consumption for the purpose of
conforming to customer requirements. The definition includes inbound, outbound, internal and
external movements .
Question 2
What is the difference between logistics and supply chain management (SCM)?
Answer: Logistics is a subset of SCM. Logistics focuses on the movement and storage of goods
(transportation, warehousing, inventory management). SCM is broader and includes logistics
plus sourcing, procurement, conversion, and coordination with channel partners across the
entire supply chain from original supplier to end-user .
Question 3
What is the goal of logistics?
Answer: The goal of logistics is "to support procurement, manufacturing and customer
accommodation operational requirements" with two important elements: service and cost. It
aims to satisfy customer expectations by ensuring the required quantity of a product is available
at the right place and time at the lowest total cost .
,Question 4
Define "logistical competency."
Answer: Logistical competency refers to a business's level of performance with regard to
logistics and customer requirements at a realistic total cost expenditure. Superior logistical
performance creates customer value, resulting in a competitive advantage .
Question 5
What is a supply chain?
Answer: A supply chain is the "alignment of firms bringing products/services to the market." It
consists of key business processes from the original supplier to the end-user that provide
products, services, and information which add value for customers and stakeholders .
Question 6
What is integrated logistics?
Answer: Integrated logistics serves to link and synchronize the overall supply chain as a
continuous process essential for effective supply chain connectivity. It integrates activities to
achieve a particular level of customer service at the lowest total cost .
Question 7
List five activities included in logistics management.
Answer: Logistics management includes: (1) order management & information, (2) inventory
management, (3) transportation, (4) warehousing, (5) materials handling and packaging .
Question 8
,What creates customer value in logistics?
Answer: Creation of customer value depends largely on effective logistics/logistical competency
- a relative assessment of the capability of a business to provide superior customer service at
the lowest total cost. When malfunction occurs, competency can be measured in terms of
recovery time .
Question 9
What is the renaissance in logistics?
Answer: The term "renaissance" characterizes the rapid change taking place in best practice
logistics. Because logistics is both old and new, this term reflects the evolution and
transformation occurring in the field .
Question 10
How does the CSCMP define supply chain management?
Answer: The CSCMP (Council of Supply Chain Management Professionals) defines SCM as
encompassing the planning and management of all activities involved in sourcing and
procurement, conversion, all logistics management activities, and coordination and collaboration
with channel partners (suppliers, intermediaries, third-party service providers, customers). It
essentially integrates supply and demand management within and across companies .
Question 11
What is the value of the supply chain concept?
Answer: The supply chain concept envisions new business arrangements offering potential to
improve competitiveness and highly effective business relationships that serve to improve
efficiency by eliminating duplicate and non-productive work .
Question 12
True or False: Logistics is the same as supply chain management.
, Answer: False. Logistics is a subset of and occurs within the broader framework of a supply
chain. SCM includes logistics plus additional activities like sourcing, procurement, and
collaboration with channel partners .
Question 13
What is the definition of a supply chain according to Stock & Lambert (2001)?
Answer: According to Stock & Lambert (2001), a supply chain consists of the key business
processes (from the original supplier to the end-user) that provide products, services, and
information which add value for customers and stakeholders .
Question 14
What does Bowersox, Closs, and Copper (2013) emphasize about supply chain management?
Answer: They emphasize that SCM involves "firms collaborating to leverage strategic
positioning and improve operating efficiency." Collaboration is central to effective supply chain
management .
Question 15
How does logistics create value?
Answer: Logistics is the process that creates value by timing and positioning inventory. By
ensuring the right product is at the right place at the right time, logistics adds time and place
utility .
Question 16
What is the difference between inbound and outbound logistics?
Answer: Inbound logistics involves the movement of raw materials and goods from suppliers to
the manufacturing facility. Outbound logistics involves the movement of finished products from
the manufacturing facility to customers .