MGSC 487 Exam 1 – Gaffney Questions
With Correct Answers
In today's "sourcing sandbox" _________ are at the center - CORRECT
| | | | | | | | | | |
ANSWER✔✔-customers
In a supply chain, information flows __________ from the customers to
| | | | | | | | | | |
the suppliers/raw materials, and materials and products flow
| | | | | | | |
____________ from the materials stage to the customers - CORRECT
| | | | | | | | | |
ANSWER✔✔-backward; forward |
Supply Chain: - CORRECT ANSWER✔✔-the integration of sequentially
| | | | | | | |
related firms' inbound and outbound logistics, together with operations
| | | | | | | | |
(manufacturing and service), and supporting information systems
| | | | | |
Profit Leverage Effect - CORRECT ANSWER✔✔-the increase in corporate
| | | | | | | | |
profit obtained by decreasing purchase spend; measured by
| | | | | | | |
determining the increase in profit obtained by a decrease in purchase
| | | | | | | | | | |
spend (ex. in the book shows that in order to achieve increased revenue
| | | | | | | | | | | | |
of $6mil, the company could either increase sales by 75% or decrease
| | | | | | | | | | | |
purchase spend by 10%); more realistic in firms that have neglected
| | | | | | | | | | |
supply and given sales a lot of attention already
| | | | | | | |
,better to dec spending than inc sales
| | | | | |
Return on Assets (ROA) - CORRECT ANSWER✔✔-displayed as a
| | | | | | | | |
percentage; an indicator of how profitable a company is relative to its
| | | | | | | | | | | |
total assets - gives an idea as to how efficient management is at using its
| | | | | | | | | | | | | |
assets to generate earnings (higher is better, in terms of attractiveness
| | | | | | | | | | | |
to investors)
|
__________________________ as a percentage of total revenues is a | | | | | | | | |
good indicator of supply's financial impact - CORRECT ANSWER✔✔-
| | | | | | | |
dollars spent with suppliers
| | |
Increased ______________ over the last decade has increased sourcing
| | | | | | | | |
spend significantly - CORRECT ANSWER✔✔-outsourcing
| | | |
In almost all manufacturing organizations, the __________ area
| | | | | | | |
represents by far the largest single category of spend, ranging from
| | | | | | | | | | |
about _____________ of revenue - CORRECT ANSWER✔✔-supply; 50-
| | | | | | |
80%
Collectively, private and public organizations in North America spend at
| | | | | | | | | |
least ________________ with suppliers - CORRECT ANSWER✔✔-$29
| | | | | | |
trillion (about 1.5 the combined GDPs)
| | | | |
,Evolution of the Supply Function: Early 1900s - CORRECT ANSWER✔✔-
| | | | | | | | |
clerical and tactical, focused on policies and procedures
| | | | | | |
key challenges: availability of supply and cost management
| | | | | | |
Evolution of the Supply Function: Early 21st Century - CORRECT
| | | | | | | | | |
ANSWER✔✔-strategy orientation, global supply chains, executive level | | | | | | |
leadership
key challenges: sustainability, security, globalization, risk management
| | | | | |
Supply in railroads in the 1900s: clerical - CORRECT ANSWER✔✔-
| | | | | | | | |
recognized as an important function, regarded by most firms as
| | | | | | | | | |
primarily a clerical activity (ADMINISTRATIVE)
| | | |
Supply in WWII factories: market unlimited - CORRECT ANSWER✔✔-
| | | | | | | |
market was pretty much unlimited.. not dependent on sales, so ability
| | | | | | | | | | |
to obtain materials, supplies, and services from suppliers became the
| | | | | | | | | |
key determinant of organizational success; attention was given to the
| | | | | | | | | |
organization, policies, and procedures of the supply function; emerged
| | | | | | | | |
as a recognized managerial activity (TRANSPORTATION)
| | | | |
Supply in the 1970s: supply shortages - CORRECT ANSWER✔✔-
| | | | | | | |
organizations faced an international shortage of almost all basic raw
| | | | | | | | | |
, materials and a rate of price increase far above the norm; Middle East
| | | | | | | | | | | | |
oil embargo in 1973 intensified these issues.. put the spotlight on supply
| | | | | | | | | | |
because their ability to obtain necessary items at realistic prices
| | | | | | | | | | |
determined success or failure (NEGOTIATION) | | | |
Supply in the 1990s: low cost labor - CORRECT ANSWER✔✔-became
| | | | | | | | | |
clear that companies must have efficient and effective supply chain to
| | | | | | | | | | |
compete in the global marketplace (ORGANIZATIONAL STRATEGY)
| | | | | |
Supply today: ethics, sustainability & risk - CORRECT ANSWER✔✔-the
| | | | | | | | |
early 21st century has brought new challenges in areas such as
| | | | | | | | | | |
sustainability, supply chain security, and risk management (BUSINESS
| | | | | | | |
LEADERSHIP)
Spending in the Supply Chain - CORRECT ANSWER✔✔-lead times are
| | | | | | | | | |
usually in months, value add times as very small percentages
| | | | | | | | |
The ________________ case study illustrates the logistics
| | | | | | |
considerations of supplying multiple locations - CORRECT ANSWER✔✔-
| | | | | | |
Qmont Mining |
The 3 major perspectives on how supply contributes to organizational
| | | | | | | | | |
goals and strategies - CORRECT ANSWER✔✔-1. operational vs. strategic
| | | | | | | |
2. direct & indirect
| | |
With Correct Answers
In today's "sourcing sandbox" _________ are at the center - CORRECT
| | | | | | | | | | |
ANSWER✔✔-customers
In a supply chain, information flows __________ from the customers to
| | | | | | | | | | |
the suppliers/raw materials, and materials and products flow
| | | | | | | |
____________ from the materials stage to the customers - CORRECT
| | | | | | | | | |
ANSWER✔✔-backward; forward |
Supply Chain: - CORRECT ANSWER✔✔-the integration of sequentially
| | | | | | | |
related firms' inbound and outbound logistics, together with operations
| | | | | | | | |
(manufacturing and service), and supporting information systems
| | | | | |
Profit Leverage Effect - CORRECT ANSWER✔✔-the increase in corporate
| | | | | | | | |
profit obtained by decreasing purchase spend; measured by
| | | | | | | |
determining the increase in profit obtained by a decrease in purchase
| | | | | | | | | | |
spend (ex. in the book shows that in order to achieve increased revenue
| | | | | | | | | | | | |
of $6mil, the company could either increase sales by 75% or decrease
| | | | | | | | | | | |
purchase spend by 10%); more realistic in firms that have neglected
| | | | | | | | | | |
supply and given sales a lot of attention already
| | | | | | | |
,better to dec spending than inc sales
| | | | | |
Return on Assets (ROA) - CORRECT ANSWER✔✔-displayed as a
| | | | | | | | |
percentage; an indicator of how profitable a company is relative to its
| | | | | | | | | | | |
total assets - gives an idea as to how efficient management is at using its
| | | | | | | | | | | | | |
assets to generate earnings (higher is better, in terms of attractiveness
| | | | | | | | | | | |
to investors)
|
__________________________ as a percentage of total revenues is a | | | | | | | | |
good indicator of supply's financial impact - CORRECT ANSWER✔✔-
| | | | | | | |
dollars spent with suppliers
| | |
Increased ______________ over the last decade has increased sourcing
| | | | | | | | |
spend significantly - CORRECT ANSWER✔✔-outsourcing
| | | |
In almost all manufacturing organizations, the __________ area
| | | | | | | |
represents by far the largest single category of spend, ranging from
| | | | | | | | | | |
about _____________ of revenue - CORRECT ANSWER✔✔-supply; 50-
| | | | | | |
80%
Collectively, private and public organizations in North America spend at
| | | | | | | | | |
least ________________ with suppliers - CORRECT ANSWER✔✔-$29
| | | | | | |
trillion (about 1.5 the combined GDPs)
| | | | |
,Evolution of the Supply Function: Early 1900s - CORRECT ANSWER✔✔-
| | | | | | | | |
clerical and tactical, focused on policies and procedures
| | | | | | |
key challenges: availability of supply and cost management
| | | | | | |
Evolution of the Supply Function: Early 21st Century - CORRECT
| | | | | | | | | |
ANSWER✔✔-strategy orientation, global supply chains, executive level | | | | | | |
leadership
key challenges: sustainability, security, globalization, risk management
| | | | | |
Supply in railroads in the 1900s: clerical - CORRECT ANSWER✔✔-
| | | | | | | | |
recognized as an important function, regarded by most firms as
| | | | | | | | | |
primarily a clerical activity (ADMINISTRATIVE)
| | | |
Supply in WWII factories: market unlimited - CORRECT ANSWER✔✔-
| | | | | | | |
market was pretty much unlimited.. not dependent on sales, so ability
| | | | | | | | | | |
to obtain materials, supplies, and services from suppliers became the
| | | | | | | | | |
key determinant of organizational success; attention was given to the
| | | | | | | | | |
organization, policies, and procedures of the supply function; emerged
| | | | | | | | |
as a recognized managerial activity (TRANSPORTATION)
| | | | |
Supply in the 1970s: supply shortages - CORRECT ANSWER✔✔-
| | | | | | | |
organizations faced an international shortage of almost all basic raw
| | | | | | | | | |
, materials and a rate of price increase far above the norm; Middle East
| | | | | | | | | | | | |
oil embargo in 1973 intensified these issues.. put the spotlight on supply
| | | | | | | | | | |
because their ability to obtain necessary items at realistic prices
| | | | | | | | | | |
determined success or failure (NEGOTIATION) | | | |
Supply in the 1990s: low cost labor - CORRECT ANSWER✔✔-became
| | | | | | | | | |
clear that companies must have efficient and effective supply chain to
| | | | | | | | | | |
compete in the global marketplace (ORGANIZATIONAL STRATEGY)
| | | | | |
Supply today: ethics, sustainability & risk - CORRECT ANSWER✔✔-the
| | | | | | | | |
early 21st century has brought new challenges in areas such as
| | | | | | | | | | |
sustainability, supply chain security, and risk management (BUSINESS
| | | | | | | |
LEADERSHIP)
Spending in the Supply Chain - CORRECT ANSWER✔✔-lead times are
| | | | | | | | | |
usually in months, value add times as very small percentages
| | | | | | | | |
The ________________ case study illustrates the logistics
| | | | | | |
considerations of supplying multiple locations - CORRECT ANSWER✔✔-
| | | | | | |
Qmont Mining |
The 3 major perspectives on how supply contributes to organizational
| | | | | | | | | |
goals and strategies - CORRECT ANSWER✔✔-1. operational vs. strategic
| | | | | | | |
2. direct & indirect
| | |
