Test Bank for Managing Supply Chains A Logistics Approach International Edition 9th Edition by John J. Coyle, C. John Langley, Jr., Robert A.

CoyleQSupplyQChainQManagement:QAQLogisticsQPerspective,Q9thQEditio
n
ChapterQ1QTestQBank




1-7

,CoyleQSupplyQChainQManagement:QAQLogisticsQPerspective,Q9thQEditio
n
ChapterQ1QTestQBank
CHAPTERQ 1Q TESTQ QUESTIONS
True-False
1. TheQ firstQ decadeQ ofQ theQ twenty-
firstQ centuryQ wasQ aQ periodQ ofQ rapidQchangeQ forQ organizations,QespeciallyQbusinesses.
ANSWER:QTrue,QPageQ5
2. AQkeyQ elementQ inQ Wal-
Mart’sQ abilityQ toQ discountQ brandQ nameQ productsQ wasQ anQ understandingQofQtheQcriticalityQofQ effi
ciencyQinQitsQlogisticsQandQsupplyQchainQsystem.
ANSWER:QTrue,QPageQ6
3. GlobalizationQhasQ hadQlittleQeffectQ onQconsumers.
ANSWER:QFalse,QPageQ7
4. SupplyQandQdemandQhasQbecomeQlessQvolatileQasQmanagersQbecomeQmoreQadeptQatQcontrollin
gQtheQelements.
ANSWER:QFalse,QPageQ8
5. OutsourcingQisQaQfairlyQnewQconcept.
ANSWER:QFalse,QPageQ9
6. SABQshouldQexamineQtheirQoff-
shoreQpurchasingQpolicy,QevenQthoughQtheQproductsQareQsourcedQfromQtheQU.S.
ANSWER:QTrue,QPageQ9
7. ItQisQexpectedQthatQsomeQorQallQofQtheQBRICQcountriesQ(Brazil,QRussia,QIndiaQ&Qchina)QwillQrepl
aceQtheQso-
calledQVISTAQcountriesQ(Vietnam,QIndonesia,QS.QAfrica,QTurkeyQandQArgentina)asQlowQcostQ
producersQofQvariousQproductsQandQservices.
ANSWER:Q False,QPageQ9
8. TheQworldQeconomyQstillQfavorsQtheQUnitedQStatesQandQEuropeanQcountries,QevenQthoughQChi
naQandQIndiaQcanQparticipateQinQtheQglobalQeconomyQmuchQmoreQreadily.
ANSWER:QFalse,QPageQ10
9. ItQisQpredictedQthatQsocialQnetworksQsuchQasQFacebookQandQTwitterQwillQinfluenceQsupplyQcha
insQbecauseQofQtheirQimpactQonQcustomerQdemandQandQtheQspeedQofQinformationQtransfers.
ANSWER:QTrue,QPageQ10
10. TheQU.S.QtransportationQsystemQwasQderegulatedQinQtheQ1930sQandQ1940sQinQresponseQtoQeco
nomicQconditionsQandQWorldQWarQ2
ANSWER:QFalse,QPageQ12
11. EvenQthoughQthereQareQreferencesQtoQsupplyQchainQmanagementQinQtheQ1980s,QSCMQdidQnotQ
captureQtheQattentionQofQsenior-levelQmanagementQ untilQtheQ1990s.
ANSWER:QTrue,QPageQ15
12. SupplyQchainQmanagersQnoQlongerQneedQtoQworryQaboutQsuboptimizationQinQlightQofQtoday’sQt
echnology.
ANSWER:QFalse,QPageQ19

1-7

,CoyleQSupplyQChainQManagement:QAQLogisticsQPerspective,Q9thQEditio
n
ChapterQ1QTestQBank
MultipleQChoice
13. MostQretailersQareQessentiallyQsupplyQchainQcompaniesQsince
A.Q theyQdominateQtheQconsumerQmarket.
b. ownQtheirQwarehousesQandQtrucks.
c. theyQbuyQproductsQproducedQbyQothers.
d. engageQinQoff-shoreQsourcing.
ANSWER:Qc,QPageQ6
14. WhichQ ofQ theQbelowQisQ notQ oneQ ofQ theQexternalQforcesQ drivingQtheQ rateQofQ cha
ngeQandQshapingQourQeconomicQandQpoliticalQlandscape?
a. GovernmentQpolicy
b. Technology
c. EnvironmentalQconcerns
d. Globalization
ANSWER:Qc,QPageQ7
15. OutsourcingQinvolves
a. movingQcompanyQfacilitiesQ awayQfromQtheQhomeQoffice.
b. hiringQforeignQnationalsQ toQ manageQpartsQ ofQ theQbusiness.
c. obtainingQmaterials,Qparts,QandQproductsQfromQotherQcompanies.
d. buildingQaQfactoryQinQanotherQcountry.
ANSWER:Qc,QPageQ9
16. SomeQindividualsQ describeQtheQcurrentQconsumerQ asQtheQ“clickQhere”Qgenerati
onQbecause
a. weQallQhaveQInternetQaccess.
b. weQnoQlongerQwaitQforQinformationQtoQbeQ“pushedQout”QtoQus.
c. weQbuyQsoQmuchQmerchandiseQonQline.
d. weQtakeQlittleQtimeQtoQmakeQpurchasingQdecisions.
ANSWER:Qb,QPageQ10
17. TheQdemographicsQofQourQsocietyQhasQchangedQbecause
a. theQ“BabyQBoom”QgenerationQisQnowQturningQ60.
b. ofQtheQincreaseQinQtwo-careerQfamiliesQandQsingle-parentQhouseholds.
c. ofQimmigration.
d. birthQratesQhaveQchanged.
ANSWER:Qb,QPageQ12
18. TheQSupplyQChainQConcept
a. isQveryQnewQandQconsideredQcuttingQedgeQtechnology.

1-7

, CoyleQSupplyQChainQManagement:QAQLogisticsQPerspective,Q9thQEditio
n
ChapterQ1QTestQBank
b. isQhighlyQdependentQofQcomputerization.
c. isQnotQalwaysQwellQunderstoodQbyQseniorQmanagers.
d. developedQfromQtheQpreviousQPhysicalQDistributionQconcept.
ANSWER:Qd,QPageQ15
19. Logistics,QinQitsQsimplestQform,
a. isQaQmilitaryQterm,QasQitQwasQdevelopedQoriginallyQtoQsupplyQtheQbattlefield.
b. combinesQinboundQlogisticsQwithQtheQoutboundQlogisticsQofQphysicalQdistribution.
c. isQanotherQtermQforQtransportationQmanagement.
d. doesQnotQinvolveQcustomerQserviceQorQotherQrelatedQfunctions.
ANSWER:Q b,QPageQ16
20. OneQofQtheQmajorQchallengesQofQsupplyQchainQmanagementQis
a. forwardQbuying.
b. maintainingQtheQvisibilityQofQinventory.
c. buildingQsafety-stockQinventory.
d. PushingQinventoryQbackQtoQvendors.
ANSWER:Qb,QPage18
21. WhichQofQtheseQflowsQonlyQoneQwayQasQillustratedQinQFigureQ1-4?
a. information
b. productsQandQservices
c. financials
d. NoneQofQtheseQanswers
ANSWER:Qd,QPageQ18
22. Traditionally,QinformationQhasQbeenQviewedQasQflowingQinQtheQoppositeQdirectionQ ofQprod
ucts,QthatQis,QfromQtheQmarket/customerQbackQtoQtheQwholesalers,Qmanufacturers,QandQven
dors.
a. ThisQisQstillQtrueQandQhasQnotQchanged.
b. ComputerizationQhasQgreatlyQincreasedQtheQflowQofQinformationQfromQtheQsource.
c. TheQ“BigQBox”QstoresQhaveQdevelopedQtheirQownQsources.
d. NoneQofQtheseQanswers
ANSWER:Qd,QPageQ21
23. OneQofQtheQfourQsupplyQchainQflowsQinQFigureQ1Q–
Q8QthatQhasQreceivedQincreasedQattentionQ
fromQsupplyQchainQmanagersQdueQtoQtheQgrowt
hQinQtechnologyQis:
a. ProductQflow
b. InformationQflow
c. CashQflow

1-7