SCM 300 ALL QUESTIONS WITH
COMPLETE SOLUTION.
Supply Chain Management - CORRECT ANSWER-The effective and efficient
integration of the suppliers, manufacturers, transportation organizations as well
as the other parties responsible for collectively bringing products and services to
market
Procurement - CORRECT ANSWER-The branch or an organization responsible
for acquiring materials, equipments, products, and services.
Operations - CORRECT ANSWER-The branch of the supply chain responsible
for making business processes effective and efficient. In essence, operations
seeks to help the organization create high quality products and/ or services using
the fewest resources possible.
Logistics - CORRECT ANSWER-The branch of the supply chain responsible for
developing the transportation itinerary and finding the appropriate transportation
and storage partners to successfully navigate the flow of materials from the point
of origin to the final destination.
Reverse Logistics - CORRECT ANSWER-The management of products and
packaging the flow backward in the supple chain, away from the consumer and
back in the direction of manufacturers.
Global supply chain management - CORRECT ANSWER-When suppliers,
manufacturers, transportation companies, warehouse and distribution centers,
retailers, and other supply chain partners span across multiple countries and/or
continents, those are considered global supply chains. Effective and efficient
management of supply chain partners across multiple countries can offer both
competitive advantages as well as complicating circumstances.
Supply Chain Illustration - CORRECT ANSWER-S2 ---> S1 ---> Manufacturer
---> Distributor ---> Retailer
,1st tier suppliers - CORRECT ANSWER-A company's direct supplier. A firm that
directly provides goods and/or services to a company.
2nd tier suppliers - CORRECT ANSWER-A firm that provides goods and/or
services to a company's first-tier supplier
Downstream Supply Chain - CORRECT ANSWER-In a supply chain the direction
in which products flow towards and end consumer.
Upstream Supply Chain - CORRECT ANSWER-In a supply chain the direction
from customers to suppliers
SCM Flows - CORRECT ANSWER-In order for supply chains to function and
developed, three things must continuously flow: Materials, Money, and
Information
- Money: If money stops flowing, the supply chain breaks down. When suppliers
aren't getting paid they stop sending materials.
Business Model - CORRECT ANSWER-A company's plan for how it will
purchase items, transform them, deliver them, and sell them in an effort to
produce a profit.
- Amazon vs traditional bookstore
Inventory Visibility (Supply chain visibility) - CORRECT ANSWER-The ability to
see what is happening with inventory up and down a supply chain.
Profit - CORRECT ANSWER-Profit = Revenue - Cost
- Supply chains play a role in both revenue and cost. Supply chain managers
play a large role in controlling many types of cost (materials, labor, energy,
transportation, packaging, storage, defects, insurance...)that ensure that
manufacturing and delivery of the very best products and services.
- Poorly manufactured products that are delivered late and/or damaged will not
make customers want to buy a company's product at premium prices.
, ROI - CORRECT ANSWER-Return on Investment. An economic measure that
helps evaluate the return of an investment.
- ROI = total profit / total invest money
Competitive Priorities - CORRECT ANSWER-- Cost: materials, energy, wages,
transportation, rent...
- Quality: Design, reliability, consistency, materials and fabrics...
- Speed: Delivery, on-time, innovation time...
- Flexibility: customization, size of order, design...
- Fast food vs sit down restaurant
Core Competencies - CORRECT ANSWER-The primary advantage a company
has over its competitors. Typically, a core competency would be difficult, if not
impossible, to replicate.
Value - CORRECT ANSWER-Value is the ratio of "output purchased" divided by
"inputs used to purchase" the product or service. Value can be increased by
giving the customer more for the same price, or b giving them the same amount
at a lower price.
- Value can be simplified as: what did i buy? / what did it cost me?
Productivity - CORRECT ANSWER-The ratio of outputs of inputs. From a
manufacturing perspective companies seek to maximize the amount of outputs
that can be produced and delivered to market while minimizing the required
inputs.
- Ex: 300 backpacks at $25. Energy, labor, material costs = $3000
(300 x $25)/ $3000 = 2.50 ---> productivity
Primary supply chain goals - CORRECT ANSWER-- Effectiveness: Are we
getting the job done? Does the product or service create and do what it is
support to do? Does the car meet all of the customer's expectations? Did the
massage make the customer feel better both physically and mentally?
COMPLETE SOLUTION.
Supply Chain Management - CORRECT ANSWER-The effective and efficient
integration of the suppliers, manufacturers, transportation organizations as well
as the other parties responsible for collectively bringing products and services to
market
Procurement - CORRECT ANSWER-The branch or an organization responsible
for acquiring materials, equipments, products, and services.
Operations - CORRECT ANSWER-The branch of the supply chain responsible
for making business processes effective and efficient. In essence, operations
seeks to help the organization create high quality products and/ or services using
the fewest resources possible.
Logistics - CORRECT ANSWER-The branch of the supply chain responsible for
developing the transportation itinerary and finding the appropriate transportation
and storage partners to successfully navigate the flow of materials from the point
of origin to the final destination.
Reverse Logistics - CORRECT ANSWER-The management of products and
packaging the flow backward in the supple chain, away from the consumer and
back in the direction of manufacturers.
Global supply chain management - CORRECT ANSWER-When suppliers,
manufacturers, transportation companies, warehouse and distribution centers,
retailers, and other supply chain partners span across multiple countries and/or
continents, those are considered global supply chains. Effective and efficient
management of supply chain partners across multiple countries can offer both
competitive advantages as well as complicating circumstances.
Supply Chain Illustration - CORRECT ANSWER-S2 ---> S1 ---> Manufacturer
---> Distributor ---> Retailer
,1st tier suppliers - CORRECT ANSWER-A company's direct supplier. A firm that
directly provides goods and/or services to a company.
2nd tier suppliers - CORRECT ANSWER-A firm that provides goods and/or
services to a company's first-tier supplier
Downstream Supply Chain - CORRECT ANSWER-In a supply chain the direction
in which products flow towards and end consumer.
Upstream Supply Chain - CORRECT ANSWER-In a supply chain the direction
from customers to suppliers
SCM Flows - CORRECT ANSWER-In order for supply chains to function and
developed, three things must continuously flow: Materials, Money, and
Information
- Money: If money stops flowing, the supply chain breaks down. When suppliers
aren't getting paid they stop sending materials.
Business Model - CORRECT ANSWER-A company's plan for how it will
purchase items, transform them, deliver them, and sell them in an effort to
produce a profit.
- Amazon vs traditional bookstore
Inventory Visibility (Supply chain visibility) - CORRECT ANSWER-The ability to
see what is happening with inventory up and down a supply chain.
Profit - CORRECT ANSWER-Profit = Revenue - Cost
- Supply chains play a role in both revenue and cost. Supply chain managers
play a large role in controlling many types of cost (materials, labor, energy,
transportation, packaging, storage, defects, insurance...)that ensure that
manufacturing and delivery of the very best products and services.
- Poorly manufactured products that are delivered late and/or damaged will not
make customers want to buy a company's product at premium prices.
, ROI - CORRECT ANSWER-Return on Investment. An economic measure that
helps evaluate the return of an investment.
- ROI = total profit / total invest money
Competitive Priorities - CORRECT ANSWER-- Cost: materials, energy, wages,
transportation, rent...
- Quality: Design, reliability, consistency, materials and fabrics...
- Speed: Delivery, on-time, innovation time...
- Flexibility: customization, size of order, design...
- Fast food vs sit down restaurant
Core Competencies - CORRECT ANSWER-The primary advantage a company
has over its competitors. Typically, a core competency would be difficult, if not
impossible, to replicate.
Value - CORRECT ANSWER-Value is the ratio of "output purchased" divided by
"inputs used to purchase" the product or service. Value can be increased by
giving the customer more for the same price, or b giving them the same amount
at a lower price.
- Value can be simplified as: what did i buy? / what did it cost me?
Productivity - CORRECT ANSWER-The ratio of outputs of inputs. From a
manufacturing perspective companies seek to maximize the amount of outputs
that can be produced and delivered to market while minimizing the required
inputs.
- Ex: 300 backpacks at $25. Energy, labor, material costs = $3000
(300 x $25)/ $3000 = 2.50 ---> productivity
Primary supply chain goals - CORRECT ANSWER-- Effectiveness: Are we
getting the job done? Does the product or service create and do what it is
support to do? Does the car meet all of the customer's expectations? Did the
massage make the customer feel better both physically and mentally?
