SCM 300 EXAM 1 DAVILA ASU 2025/2026 WITH
100% ACCURATE ANSWERS
1. If a company needs to ship a large quantity of heavy machinery
internationally but does not require quick delivery, which transportation
mode would be most appropriate?
Air transport
Rail transport
Truck transport
Ocean transport
2. The demand when items usually include finished products, such as the
completed tricycle or replacement parts sold to customers.
Independent demand
Dependent demand
3. Vertical integration can be best defined as:
the sequence of all activities that are performed by a firm to turn
raw materials into a finished product.
a graphic representation of the relationship between cost per
unit of a product and its scale of production.
breaking a large process into smaller tasks that require
specialized knowledge.
bringing business processes or activities previously conducted
by outside companies in-house.
,4. If a company relies solely on ocean transportation for its products, what
strategy could it implement to mitigate the risks associated with slow
delivery times?
Eliminate inventory management practices
Switch to air transportation for all shipments
Reduce the number of suppliers
Increase safety stock levels
5. Describe the main advantage of using a fixed position layout for large
items.
The main advantage is that it reduces the need for safety stock.
The main advantage is that it increases the speed of production.
The main advantage is that it simplifies inventory management.
The main advantage is that workers and machines can come to
the worksite and move around the item as needed.
6. If a company is experiencing bottlenecks in its production process, how
might re-evaluating the design of workstations help alleviate this issue?
By focusing solely on procurement processes.
By increasing the number of employees at each workstation.
By eliminating workstations altogether.
By redistributing tasks among workstations to balance the
workload and reduce cycle time.
7. If a company needs to transport high-value items quickly and securely,
which mode of transport should they prioritize, and why?
Air transport, due to its speed and minimal exposure to risks.
, Sea transport, as it can handle large volumes at once.
Road transport, since it is the most flexible option.
Rail transport, because it is the most cost-effective option.
8. A bottleneck is
a resource that has the smallest capacity
a resource that can affect the flow rate of a production process
a resource that can determine the capacity of the entire process
all of the above
9. What did Japanese manufacturers do differently in the 1980s, which
enabled them to capture U.S. market share?
They emphasized longer-term relationships
They integrated more tightly with their supply partners
They promoted just-in-time sourcing
They pursued the Keiretsu structure
All of the above
10. Describe the role of downstream activities in enhancing supply chain
efficiency.
Downstream activities involve only the transportation of goods
without any interaction with retailers.
Downstream activities facilitate the flow of goods and
information, ensuring that products reach the end customer
efficiently and meet their needs.
Downstream activities are primarily concerned with sourcing raw
materials for production.
, Downstream activities focus solely on manufacturing processes
without considering customer relationships.
11. A flexible flow strategy organizes equipment and the work force around
the process. Under which of the following situations does the flexible
flow fit better than a line flow?
when the variety of products and flexibility of volume are
required
when the price is more emphasized
when short delivery time is required
when production volume is high
12. How does vertical integration impact a company's control over its
supply chain?
Vertical integration has no significant impact on supply chain
control.
Vertical integration reduces a company's control by relying on
external suppliers.
Vertical integration allows a company to have greater control
over its supply chain by managing more processes internally.
Vertical integration only affects the financial aspects of a
company.
13. What is Operations Management?
Strategically managing resources including manpower, materials,
and machinery, to ensure the seamless functioning of business
activities.
Activities that relate to the creation of goods and services
through the transformation of inputs to outputs, including
planning, coordinating, and controlling resources and
100% ACCURATE ANSWERS
1. If a company needs to ship a large quantity of heavy machinery
internationally but does not require quick delivery, which transportation
mode would be most appropriate?
Air transport
Rail transport
Truck transport
Ocean transport
2. The demand when items usually include finished products, such as the
completed tricycle or replacement parts sold to customers.
Independent demand
Dependent demand
3. Vertical integration can be best defined as:
the sequence of all activities that are performed by a firm to turn
raw materials into a finished product.
a graphic representation of the relationship between cost per
unit of a product and its scale of production.
breaking a large process into smaller tasks that require
specialized knowledge.
bringing business processes or activities previously conducted
by outside companies in-house.
,4. If a company relies solely on ocean transportation for its products, what
strategy could it implement to mitigate the risks associated with slow
delivery times?
Eliminate inventory management practices
Switch to air transportation for all shipments
Reduce the number of suppliers
Increase safety stock levels
5. Describe the main advantage of using a fixed position layout for large
items.
The main advantage is that it reduces the need for safety stock.
The main advantage is that it increases the speed of production.
The main advantage is that it simplifies inventory management.
The main advantage is that workers and machines can come to
the worksite and move around the item as needed.
6. If a company is experiencing bottlenecks in its production process, how
might re-evaluating the design of workstations help alleviate this issue?
By focusing solely on procurement processes.
By increasing the number of employees at each workstation.
By eliminating workstations altogether.
By redistributing tasks among workstations to balance the
workload and reduce cycle time.
7. If a company needs to transport high-value items quickly and securely,
which mode of transport should they prioritize, and why?
Air transport, due to its speed and minimal exposure to risks.
, Sea transport, as it can handle large volumes at once.
Road transport, since it is the most flexible option.
Rail transport, because it is the most cost-effective option.
8. A bottleneck is
a resource that has the smallest capacity
a resource that can affect the flow rate of a production process
a resource that can determine the capacity of the entire process
all of the above
9. What did Japanese manufacturers do differently in the 1980s, which
enabled them to capture U.S. market share?
They emphasized longer-term relationships
They integrated more tightly with their supply partners
They promoted just-in-time sourcing
They pursued the Keiretsu structure
All of the above
10. Describe the role of downstream activities in enhancing supply chain
efficiency.
Downstream activities involve only the transportation of goods
without any interaction with retailers.
Downstream activities facilitate the flow of goods and
information, ensuring that products reach the end customer
efficiently and meet their needs.
Downstream activities are primarily concerned with sourcing raw
materials for production.
, Downstream activities focus solely on manufacturing processes
without considering customer relationships.
11. A flexible flow strategy organizes equipment and the work force around
the process. Under which of the following situations does the flexible
flow fit better than a line flow?
when the variety of products and flexibility of volume are
required
when the price is more emphasized
when short delivery time is required
when production volume is high
12. How does vertical integration impact a company's control over its
supply chain?
Vertical integration has no significant impact on supply chain
control.
Vertical integration reduces a company's control by relying on
external suppliers.
Vertical integration allows a company to have greater control
over its supply chain by managing more processes internally.
Vertical integration only affects the financial aspects of a
company.
13. What is Operations Management?
Strategically managing resources including manpower, materials,
and machinery, to ensure the seamless functioning of business
activities.
Activities that relate to the creation of goods and services
through the transformation of inputs to outputs, including
planning, coordinating, and controlling resources and
