WGU C720 OA LATEST COMPREHENSIVE EXAM
QUESTIONS AND ANSWERS SURE A+
✔✔Backward Vertical Integration - ✔✔When a company owns the supplier or supply
process in the supply chain.
✔✔Forward Vertical Integration - ✔✔When a company owns the retailer or retail
process in the supply chain.
✔✔Insourcing - ✔✔The goods and services are provided by the organization itself
✔✔Outsourcing - ✔✔The goods and services are obtained from outside suppliers
✔✔Vendor Managed Inventory - ✔✔The vendor, or supplier, can better coordinate its
own production with the replenishment of supplier inventory, thus reducing costs and
improving delivery performance between the supplier and the retailer.
To make this work, the suppliers receive daily point-of-sale (POS) data from the retail
stores, and they also have access to the retailer's inventory files.
✔✔Agile - ✔✔The use of responsiveness, competency, flexibility, and quickness to
manage how well a supply chain entity operates on a daily basis.
, Suitable for innovative products like cell phones and computers.
Focus: Speed and flexibility.
For products with short lifespan and unpredictable demand.
✔✔LEAN - ✔✔Traditional "factory" chain, which focuses on producing high volume at
low cost.
The goal is to add value for customers by reducing the cost of goods and lowering
waste or non-value added activities.
Most suitable for traditional products with minimal innovation such as curtain rods or can
openers.
Focus: Eliminate waste and reduce costs.
For products with long life cycles and stable demand.
✔✔Constraint - ✔✔Any resource whose capacity is less than or equal to demand for
that resource
✔✔Bottleneck - ✔✔The most limiting constraint on the system
✔✔Strategic Alliance - ✔✔An agreement between two or more parties to pursue a set of
agreed upon objectives needed while remaining independent organizations.
Identify, Exploit, Subordinate, Elevate, Don't stop now.
✔✔Capacity - ✔✔A measure of an organization's ability to sustainably provide
customers with the demanded services or goods in the amount requested and in a
timely manner, given current resources. Capacity also describes an organization's
maximum sustainable rate of production.
✔✔Capacity planning - ✔✔Needed to support customer demand and maintain
production capacity as demands for products change
✔✔Lead - ✔✔Adds capacity with the anticipation of an increase in demand. This
strategy is considered aggressive and is primarily used in an effort to obtain customers
from
competitors by reducing the amount of lead time and improving service levels. Using
this strategy ensures adequate capacity is available to meet all demands
during high growth periods.
QUESTIONS AND ANSWERS SURE A+
✔✔Backward Vertical Integration - ✔✔When a company owns the supplier or supply
process in the supply chain.
✔✔Forward Vertical Integration - ✔✔When a company owns the retailer or retail
process in the supply chain.
✔✔Insourcing - ✔✔The goods and services are provided by the organization itself
✔✔Outsourcing - ✔✔The goods and services are obtained from outside suppliers
✔✔Vendor Managed Inventory - ✔✔The vendor, or supplier, can better coordinate its
own production with the replenishment of supplier inventory, thus reducing costs and
improving delivery performance between the supplier and the retailer.
To make this work, the suppliers receive daily point-of-sale (POS) data from the retail
stores, and they also have access to the retailer's inventory files.
✔✔Agile - ✔✔The use of responsiveness, competency, flexibility, and quickness to
manage how well a supply chain entity operates on a daily basis.
, Suitable for innovative products like cell phones and computers.
Focus: Speed and flexibility.
For products with short lifespan and unpredictable demand.
✔✔LEAN - ✔✔Traditional "factory" chain, which focuses on producing high volume at
low cost.
The goal is to add value for customers by reducing the cost of goods and lowering
waste or non-value added activities.
Most suitable for traditional products with minimal innovation such as curtain rods or can
openers.
Focus: Eliminate waste and reduce costs.
For products with long life cycles and stable demand.
✔✔Constraint - ✔✔Any resource whose capacity is less than or equal to demand for
that resource
✔✔Bottleneck - ✔✔The most limiting constraint on the system
✔✔Strategic Alliance - ✔✔An agreement between two or more parties to pursue a set of
agreed upon objectives needed while remaining independent organizations.
Identify, Exploit, Subordinate, Elevate, Don't stop now.
✔✔Capacity - ✔✔A measure of an organization's ability to sustainably provide
customers with the demanded services or goods in the amount requested and in a
timely manner, given current resources. Capacity also describes an organization's
maximum sustainable rate of production.
✔✔Capacity planning - ✔✔Needed to support customer demand and maintain
production capacity as demands for products change
✔✔Lead - ✔✔Adds capacity with the anticipation of an increase in demand. This
strategy is considered aggressive and is primarily used in an effort to obtain customers
from
competitors by reducing the amount of lead time and improving service levels. Using
this strategy ensures adequate capacity is available to meet all demands
during high growth periods.
