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NEW QUESTION 154
A company recently faced an increase in backorders. The company's marketing department recently ran a sales promotion. The purchasing and planning departments were not aware of the promotional activity. Which of the following processes will help to solve this type of problem in the future?
- A. Customer relationship management (CRM)
- B. Sales and operations planning (S&OP)
- C. Supplier relationship management (SRM)
- D. Advanced planning and scheduling (APS)
Answer: B
Explanation:
Section: Implementation and Operations
NEW QUESTION 155
The primary objective of supply chain management is:
- A. taking a systems approach.
- B. reducing inventory levels.
- C. minimizing transportation costs.
- D. implementing advanced technologies.
Answer: A
NEW QUESTION 156
Which of the following strategies is most appropriate for managing unknown risks in a global supply chain?
- A. Vertical integration
- B. Strengthening supplier relationships
- C. Technology integration with suppliers
- D. Investing in redundancy
Answer: D
NEW QUESTION 157
What action has members of supply chains historically taken to protect themselves againstvariability in supply and demand?
- A. decreasing costs
- B. holding inventory
- C. improving quality
- D. shortening lead times
- E. sharing information
Answer: B
NEW QUESTION 158
A manufacturer of consumer packaged goods with a single plant and nine regional distribution centers is considering reducing the number of distribution centers in its system. Reducing the number of distribution centers most likely will reduce fixed warehousing and the cost of:
- A. transportation from the plant to the distribution centers.
- B. transportation from the distribution centers to the customer.
- C. storing finished-goods inventory at the manufacturing plants.
- D. storing cycle inventory in the distribution centers.
Answer: A
NEW QUESTION 159
Which group of users are most impacted by a DSS?
- A. most middle managers
- B. all end-users
- C. small group of decision makers
- D. executives
Answer: C
NEW QUESTION 160
What is the primary benefit of using modular rather than integral designs?
- A. Reduced complexity of bills of material
- B. Lower cost of manufacturing
- C. Increased product performance
- D. Greater responsiveness in marketing and production
Answer: D
NEW QUESTION 161
Keeping all other factors equal, a company typically will try to maintain higher service levels for products with:
- A. wider variety.
- B. higher profit margins.
- C. shorter lead time.
- D. lower sales volumes.
Answer: B
NEW QUESTION 162
Which of the following strategies is key to sustainable sourcing?
- A. Promoting positive social change through organizational buying behavior
- B. Purchasing at fair prices to promote producers in disadvantaged and developing countries
- C. Purchasing goods and services aimed at exploiting global efficiencies in production
- D. Taking into account the long-term impact of procurement on people, profit, and the planet
Answer: D
Explanation:
Section: Mixed questions
NEW QUESTION 163
All of the following are reasons why companies are adding more services around their productsEXCEPT:
- A. desire of companies to compete on price
- B. increase in IT capabilities that make this offering possible
- C. need to get closer to the customer
- D. commoditization of products
Answer: A
NEW QUESTION 164
An advanced planning system differs primarily from enterprise resources planning by:
- A. optimizing operations scheduling.
- B. concentrating on production.
- C. translating plans into action.
- D. linking to the transportation management system.
Answer: A
Explanation:
Section: Implementation and Operations
NEW QUESTION 165
Allowing for organizational restructuring is an example of which of the following steps in creating successful strategic alliances among suppliers?
- A. Planning for change
- B. Managing multifaceted relationships
- C. Conducting pulse checks
- D. Negotiating a win-win deal
Answer: A
NEW QUESTION 166
Which of the following criteria are important when establishing a warehouse distribution system?
- A. Service level desired and local presence
- B. Material and handling costs and proximity to customers
- C. Cost of the overall system and service level desired
- D. Transportation costs and material handling costs
Answer: D
NEW QUESTION 167
Which of the following indicators is most appropriate to use as a measure of supply chain utilization?
- A. Production equipment productivity
- B. Upside flexibility
- C. Net asset turnover
- D. Value-added productivity per employee
Answer: C
Explanation:
Section: Fundamentals of Supply Chain Management
NEW QUESTION 168
An information technology system that couples enterprise resources planning and an advanced planning system would be most appropriate for which of the following types of business operations?
- A. Multiple plants in the same supply chain
- B. Multiple supply chains of different products
- C. Multiple supply chains of the same product
- D. Multiple plants in multiple industries
Answer: A
Explanation:
Section: Implementation and Operations
Explanation/Reference:
NEW QUESTION 169
Medium-term demand management projections are used primarily to:
- A. develop the master production schedule.
- B. complete strategic business planning of facilities.
- C. aggregate demand for production planning.
- D. complete forecasts at the item level.
Answer: C
NEW QUESTION 170
A practical way to eliminate an unprofitable customer is to:
- A. establish a tiered pricing structure based on service levels and refuse to discount premier service
- B. increase product price by 30% to 50% within 3 to 6 months of the customer's initial order
- C. gradually reduce the quality of customer service
- D. ask the customer to order products in much higher quantities than they typically do
Answer: A
Explanation:
Section: Mixed questions
NEW QUESTION 171
Which of the following circumstances must exist to implement a warehouse management system (WMS)?
- A. The warehouse must utilize a random location system
- B. The warehousing and enterprise resources planning (ERP) systems must directly interact
- C. The facility must be able to put away product and identify the physical product location
- D. The facility must have implemented radio frequency identification (RFID)
Answer: B
Explanation:
Section: Mixed questions
Explanation/Reference: https://searcherp.techtarget.com/definition/warehouse-management-system-WMS
NEW QUESTION 172
What is the starting point of a product when a customer-focused strategy is pursued?
- A. marketing driven
- B. product development
- C. technology
- D. customer need
Answer: D
NEW QUESTION 173
Using financial tools to minimize the impact of currency fluctuations is an example of what type of risk management strategy?
- A. Diversification
- B. Prevention
- C. Mitigation
- D. Recovery
Answer: C
NEW QUESTION 174
A large retailer has negotiated buyback contracts with several suppliers. The suppliers typically will need which of the following systems to effectively implement the contracts?
- A. Sales incentives to reward the retailer
- B. Point-of-sale tracking
- C. Well-developed reverse logistics
- D. Monitoring the retailer's revenue
Answer: C
NEW QUESTION 175
Which statement concerning physical cost and mediation costs is most often true?
- A. The market mediation costs exceed the physical costs for the supply chain of a functionalproduct.
- B. The physical and market mediation costs are approximately the same for supply chains,independent of whether the chain supports innovative or functional products.
- C. The physical cost exceeds the market mediation costs for the supply chain of a functionalproduct.
- D. Neither cost is taken into consideration when designing and managing a supply chain.Product?
Answer: C
NEW QUESTION 176
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