SUPPLY CHAIN MANAGEMENT EXAM STUDY GUIDE
WITH SOLUTIONS #12
What is Supply Chain? - correct answer It is the coordination of the network of the
otherwise independent trading partners who are creating a desired product or service
and then moving it through the supply chain out to customers, when and where the
customer wants it
The value of supply chain management - correct answer Creates value by managing
the process of all those independent trading partners so that they can collaborate with
one another in an efficient, effective, and cost conscious way
The goals of supply chain management - correct answer 1.) Increase Customer Service:
Getting the products and services that customers want to them, when and where they
want them at the lowest possible cost
2.) Reducing Inventory and Operating Expense: Achieving the first goal while keeping
your inventory as low as possible and also keeping your costs as low as possible
Supply Chain in the Service Industry - correct answer -Service firms offer intangible
products, meaning products cannot be touched.
-What customers are actually paying for is the labor and the intellectual property of the
service provider
-Customer are also much more directly involved in the delivery of services than they are
in supply of physical product
- While the service itself is not tangible, it frequently involves work on a tangible item
provided by customer
Companies today are focused on vertical integration encompassing the ownership and
coordination of all supply chain activities while also outsourcing their core competencies
T or F - correct answer False
Just-in-Time is a philosophy of manufacturing based on the planned elimination of all
waste and continuous productivity improvement.
T or F - correct answer True
What are the two basic Supply Chain Capability Models? - correct answer Efficient
Model and Responsive Model
The Supply Chain Capability Model designed to minimize cost is known as the
Responsive model.
, T or F - correct answer False
The business model that consists of producing finished products on the basis of
anticipated demand is?
Make-to-Stock
Assemble-to-Order
Just-in-Time
Make-to-Order - correct answer Make-to-stock
Strategic partnerships are seen as one of the foundations of supply chain management
T or F - correct answer True
Service firms offer intangible products (meaning products that cannot be physically
touched), therefore, they do not have a supply chain.
T or F - correct answer False
A supply chain consists of . . . ?
-Suppliers and Customers
-Product flow and Payment flow
-Suppliers, Manufacturers, and Customers
-Suppliers, Manufacturers, and Customers facilitated through the use of Logistics -
correct answer Suppliers, Manufacturers, and Customers facilitated through the use of
Logistics
As the supply chain continues to evolve, it's critical for companies to . . . ?
- increase inventory levels throughout the supply chain.
-Outsource their core competencies to trading partners that they can trust.
-Outsource their non-core competencies to trading partners that they can trust - correct
answer Outsource their non-core competencies to trading partners that they can trust
Supply Chain SCOR Model - correct answer Suppliers (External)
Source -->Make-->Deliver
Manufacturer (External)
Source-->Make Deliver
Customers (External)
Source--> Make--> Deliver
WITH SOLUTIONS #12
What is Supply Chain? - correct answer It is the coordination of the network of the
otherwise independent trading partners who are creating a desired product or service
and then moving it through the supply chain out to customers, when and where the
customer wants it
The value of supply chain management - correct answer Creates value by managing
the process of all those independent trading partners so that they can collaborate with
one another in an efficient, effective, and cost conscious way
The goals of supply chain management - correct answer 1.) Increase Customer Service:
Getting the products and services that customers want to them, when and where they
want them at the lowest possible cost
2.) Reducing Inventory and Operating Expense: Achieving the first goal while keeping
your inventory as low as possible and also keeping your costs as low as possible
Supply Chain in the Service Industry - correct answer -Service firms offer intangible
products, meaning products cannot be touched.
-What customers are actually paying for is the labor and the intellectual property of the
service provider
-Customer are also much more directly involved in the delivery of services than they are
in supply of physical product
- While the service itself is not tangible, it frequently involves work on a tangible item
provided by customer
Companies today are focused on vertical integration encompassing the ownership and
coordination of all supply chain activities while also outsourcing their core competencies
T or F - correct answer False
Just-in-Time is a philosophy of manufacturing based on the planned elimination of all
waste and continuous productivity improvement.
T or F - correct answer True
What are the two basic Supply Chain Capability Models? - correct answer Efficient
Model and Responsive Model
The Supply Chain Capability Model designed to minimize cost is known as the
Responsive model.
, T or F - correct answer False
The business model that consists of producing finished products on the basis of
anticipated demand is?
Make-to-Stock
Assemble-to-Order
Just-in-Time
Make-to-Order - correct answer Make-to-stock
Strategic partnerships are seen as one of the foundations of supply chain management
T or F - correct answer True
Service firms offer intangible products (meaning products that cannot be physically
touched), therefore, they do not have a supply chain.
T or F - correct answer False
A supply chain consists of . . . ?
-Suppliers and Customers
-Product flow and Payment flow
-Suppliers, Manufacturers, and Customers
-Suppliers, Manufacturers, and Customers facilitated through the use of Logistics -
correct answer Suppliers, Manufacturers, and Customers facilitated through the use of
Logistics
As the supply chain continues to evolve, it's critical for companies to . . . ?
- increase inventory levels throughout the supply chain.
-Outsource their core competencies to trading partners that they can trust.
-Outsource their non-core competencies to trading partners that they can trust - correct
answer Outsource their non-core competencies to trading partners that they can trust
Supply Chain SCOR Model - correct answer Suppliers (External)
Source -->Make-->Deliver
Manufacturer (External)
Source-->Make Deliver
Customers (External)
Source--> Make--> Deliver
