Question 1.Some strategic supplier agreements reward the highest performing suppliers with a share of the cost reductions resulting from supplier improvements, additional purchasing contracts, or contract extensions on existing contracts.
True
False
Question 2. Product parts, processes, and product assembly should all be designed by the manufacturing firm to assure a single-minded approach that the suppliers can follow. Supplier involvement in these design phases is considered counterproductive.
True
False
Question 3.A company using a weighted-criteria evaluation system has established these 3 categories and the appropriate weight in parentheses: Quality(0.30), Delivery(0.40), Cost(0.30). The scores for each category are shown below. Which of the following companies has the highest total score?
Company A: Quality(90), Delivery(80), Cost(60)
Company C: Quality(70), Delivery(95), Cost(60)
Company B: Quality(70), Delivery(80), Cost(80)
All companies scored the same.
Question 4. Which of the following is TRUE?
VMI stands for Vertically Managed Inventory
3PL stands for Third Party Leverage
VMI stands for Vendor-Managed Inventory
3PL stands for Three Point Logistics
Question 5. The acronym SRM refers to:
Supplier Requisition Monitoring
Supplier Relationship Management
Shipment Response Monitoring
Supply chain Relationship Management
Question 6. Which of the following would most likely be considered a functional product?
PDA- Personal Digital Assistant
HDTV- High Definition Televisions
DVD recorders
Disposable Camera
Question 7. Which of the following is NOT a step suggested in the Supply Chain Sourcing Strategy Framework?
Classify supplier items as either innovative or functional
Define the goals of the supply chain and check for consistency with products and firm strategy
Distribute free samples of all purchased products to the end-user for detailed evaluation and feedback on supply chain development
Identify and evaluate the capabilities of suppliers and then identify areas which could be improved
Question 8. Hard-bargaining sourcing departments focused on decreasing purchasing spend may experience which of the following from their suppliers?
Lower levels of quality from their suppliers
Lower levels of service from their suppliers
Deteriorating buyer-supplier relationships
All of these
Question 9. Which of the following is FALSE?
The use of 3PL's has been increasing as companies seek more effective supply chain strategies.
VMI provides retail facilities the opportunity to communicate to manufacturers that the customers are requesting customized items
The use of 3PL providers allows companies to gain competitive advantages without having to gain the required knowledge through firsthand experience.
VMI allows suppliers to manage their customers' inventory provided they have the capability to see inventory levels in real time
Question 10. A company using a weighted-criteria evaluation system has established these 5 categories and the appropriate weight in parentheses: Quality (0.30), Responsiveness (0.20), Delivery (0.20), Cost (0.20), Technology (0.10). Company X received the following ratings in each of the five categories: Quality(90), Responsiveness(80), Delivery(80), Cost(90), Technology(90). What is their total score?
87.0
85.5
86.0
84.0