Question 1

Which of the following is not uncovered during an analysis of supply market intelligence?

Accepted Answer

A)  The number of potential suppliers.
B)  Which of the company's current purchases are from which supplier.
C)  The number of other buyers.
D)  The potential level of supply chain risk.E) A) and D)
F) A) and B)

Question 2

The most important stage in the negotiation process is:

Accepted Answer

A)  Planning for the negotiation.
B)  The face-to-face meeting.
C)  When the contract is signed.
D)  Forming the negotiating team.E) B) and D)
F) A) and C)

Question 3

All of the following can increase supply chain risk except:

Accepted Answer

A)  Using a supplier that is having financial difficulty.
B)  Holding higher levels of inventory of critical materials.
C)  A company in Canada using suppliers in Thailand.
D)  Single sourcing.E) None of the above
F) B) and C)

Question 4

Which of the following would NOT be a step in conducting an insourcing/outsourcing analysis?

Accepted Answer

A)  Assessing quantitative costs of outsourcing
B)  Evaluating new suppliers who could make the SKU
C)  Assessing the relationship of the product to the firm's core competencies
D)  Conducting a detailed internal audit of purchasing practicesE) A) and D)
F) None of the above D

Question 5

The Rodriguez Manufacturing Co.uses a weighted-point model to evaluate new suppliers.Based on its competitive priorities,quality performance is weighted 50 percent,delivery performance is 20 percent,and cost is 30 percent.On a five-point scale,a supplier is rated 3 on quality,2 on delivery,and 5 on cost.What is its overall weighted score?

Accepted Answer

A)  10.
B)  3.4.
C)  33.
D)  3.E) All of the above
F) None of the above

Question 6

The identification,acquisition,positioning,and management of resources and capabilities that a firm needs to attain its strategic objectives is:

Accepted Answer

A)  Sourcing.
B)  Supply management.
C)  Supply chain management.
D)  Spend analysis.E) A) and D)
F) None of the above

Question 7

Supply management:

Accepted Answer

A)  Only focuses on direct materials that are used in a company's products.
B)  Is essential for an organization to attain its strategic objectives.
C)  Is only involved with supplier selection.
D)  Should always strive for the lowest purchase price.E) A) and B)
F) None of the above

Question 8

Williams Inc.has acquired software to help manage interactions with its supply base.This suggests that Williams Inc.is involved in:

Accepted Answer

A)  Vendor-managed inventory.
B)  Supplier relationship management.
C)  Online reverse auctions.
D)  Supplier auditing.E) B) and C)
F) All of the above

Question 9

If you are evaluating whether a supplier's workforce is receiving fair wages,you are most likely doing a(n) :

Accepted Answer

A)  Spend analysis.
B)  Assessment of sustainability.
C)  ISO 9000 assessment.
D)  Total cost of ownership assessment.E) B) and C)
F) B) and D)

Question 10

Local sourcing:

Accepted Answer

A)  Reduces delivery costs.
B)  Is called "nearshoring."
C)  Is used when cost is the primary objective.
D)  Takes advantage of lower trade barriers from trade agreements.E) None of the above
F) A) and B)

Question 11

Determining the right number of suppliers that a company should use is:

Accepted Answer

A)  Spend analysis.
B)  Strategic sourcing.
C)  Supply base optimization.
D)  Supply chain resilience.E) All of the above
F) A) and D)

Question 12

The Smith Manufacturing Co.uses a weighted-point model to evaluate new suppliers.Based on its competitive priorities,quality performance is weighted 60 percent,delivery performance is 25 percent,and cost is 15 percent.On a five-point scale,a supplier is rated 4 on quality,5 on delivery,and 5 on cost.What is its overall weighted score?

Accepted Answer

A)  14.
B)  4.4.
C)  4.
D)  5.E) C) and D)
F) A) and D)

Question 13

Which of the following is true about the use of weighted scoring models for supplier selection?

Accepted Answer

A)  Once developed,the model weights should never change.
B)  The supply management department should determine the weights.
C)  The highest-scoring supplier should always be selected to receive the business.
D)  There is a good deal of subjectivity in developing and using the model.E) A) and D)
F) None of the above

Question 14

The process of understanding how a firm is spending its money and with which suppliers is called:

Accepted Answer

A)  Strategic sourcing.
B)  Make or buy analysis.
C)  Market analysis.
D)  Spend analysis.E) A) and D)
F) A) and C)

Question 15

All of the following are supply management goals EXCEPT:

Accepted Answer

A)  Ensure timely availability of resources.
B)  Purchase at the lowest price.
C)  Enhance quality.
D)  Assess technology and innovation.E) C) and D)
F) B) and D)

Question 16

A relationship with a supplier that is characterized by high levels of distrust,little communication,and short-term transactions is called a(n) :

Accepted Answer

A)  Adversarial relationship.
B)  Arm's-length relationship.
C)  Acceptance of mutual goals.
D)  Full partnership.E) B) and C)
F) All of the above

Question 17

Outsourcing is often a good choice when:

Accepted Answer

A)  There are only a few suppliers.
B)  A product is in the mature phase of the life cycle.
C)  Technology is new.
D)  The product is critical to a firm's competitiveness.E) A) and B)
F) A) and C) B

Question 18

Benefits of single sourcing include all of the following EXCEPT:

Accepted Answer

A)  Quantity discounts.
B)  More consistent quality.
C)  Better supplier relationships.
D)  Less supply risk.E) A) and B)
F) C) and D) D

Question 19

When you need to identify a supplier for a new purchase,the FIRST place that you should look is:

Accepted Answer

A)  A local trade show.
B)  The list of your company's current suppliers.
C)  The list of suppliers that your company has used in the past.
D)  The websites of industry groups.E) A) and B)
F) A) and C)

Question 20

The type and level of assessment of suppliers during the selection process:

Accepted Answer

A)  Should be the same for all of a company's purchases.
B)  Is always done by cross-functional teams.
C)  Depends upon factors such as the level of spend and type of relationship desired.
D)  Is normally very extensive for noncritical purchases.E) All of the above
F) B) and C)

Exam 8: Lean Systems

Which of the following is not uncovered during an analysis of supply market intelligence?

Correct Answer
verified

The most important stage in the negotiation process is:

Correct Answer
verified

All of the following can increase supply chain risk except:

Correct Answer
verified

Which of the following would NOT be a step in conducting an insourcing/outsourcing analysis?

Correct Answer
verified
D

Correct Answer
verified

The identification,acquisition,positioning,and management of resources and capabilities that a firm needs to attain its strategic objectives is:

Correct Answer
verified

Supply management:

Correct Answer
verified

Williams Inc.has acquired software to help manage interactions with its supply base.This suggests that Williams Inc.is involved in:

Correct Answer
verified

If you are evaluating whether a supplier's workforce is receiving fair wages,you are most likely doing a(n) :

Correct Answer
verified

Local sourcing:

Correct Answer
verified

Determining the right number of suppliers that a company should use is:

Correct Answer
verified

Correct Answer
verified

Which of the following is true about the use of weighted scoring models for supplier selection?

Correct Answer
verified

The process of understanding how a firm is spending its money and with which suppliers is called:

Correct Answer
verified

All of the following are supply management goals EXCEPT:

Correct Answer
verified

A relationship with a supplier that is characterized by high levels of distrust,little communication,and short-term transactions is called a(n) :

Correct Answer
verified

Outsourcing is often a good choice when:

Correct Answer
verified
B

Benefits of single sourcing include all of the following EXCEPT:

Correct Answer
verified
D

When you need to identify a supplier for a new purchase,the FIRST place that you should look is:

Correct Answer
verified

The type and level of assessment of suppliers during the selection process:

Correct Answer
verified

Exam 8: Lean Systems

Which of the following is not uncovered during an analysis of supply market intelligence?

Correct AnswerverifiedShow Answer

The most important stage in the negotiation process is:

Correct AnswerverifiedShow Answer

All of the following can increase supply chain risk except:

Correct AnswerverifiedShow Answer

Which of the following would NOT be a step in conducting an insourcing/outsourcing analysis?

Correct AnswerverifiedD

Correct AnswerverifiedShow Answer

The identification,acquisition,positioning,and management of resources and capabilities that a firm needs to attain its strategic objectives is:

Correct AnswerverifiedShow Answer

Supply management:

Correct AnswerverifiedShow Answer

Williams Inc.has acquired software to help manage interactions with its supply base.This suggests that Williams Inc.is involved in:

Correct AnswerverifiedShow Answer

If you are evaluating whether a supplier's workforce is receiving fair wages,you are most likely doing a(n) :

Correct AnswerverifiedShow Answer

Local sourcing:

Correct AnswerverifiedShow Answer

Determining the right number of suppliers that a company should use is:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Which of the following is true about the use of weighted scoring models for supplier selection?

Correct AnswerverifiedShow Answer

The process of understanding how a firm is spending its money and with which suppliers is called:

Correct AnswerverifiedShow Answer

All of the following are supply management goals EXCEPT:

Correct AnswerverifiedShow Answer

A relationship with a supplier that is characterized by high levels of distrust,little communication,and short-term transactions is called a(n) :

Correct AnswerverifiedShow Answer

Outsourcing is often a good choice when:

Correct AnswerverifiedB

Benefits of single sourcing include all of the following EXCEPT:

Correct AnswerverifiedD

When you need to identify a supplier for a new purchase,the FIRST place that you should look is:

Correct AnswerverifiedShow Answer

The type and level of assessment of suppliers during the selection process:

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
D

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
B

Correct Answer
verified
D

Correct Answer
verified

Correct Answer
verified