1. The coefficient of variation measures...
A. the accuracy of the demand forecast.
B. the size of the uncertainty relative to demand.
C. the relevance of cycle inventory to demand.
D. the relative certainty of the forecast.
E. None of the above.
2. With reduced demand uncertainty, a supply chain manager can...
A. increase both overstocking and understocking.
B. increase overstocking and reduce understocking.
C. reduce overstocking and increase understocking.
D. reduce both overstocking and understocking.
E. None of the above.
3. Which of the following is not a factor that must be considered when scoring and assessing suppliers?
A. Purchase pricing.
B. Sales performance.
C. Design collaboration capability.
D. Exchange rates, taxes, and duties.
E. Supplier viability.
4. Seasonal demand can be met by...
A. maintaining enough manufacturing capacity to meet demand in any period.
B. building up inventory during the off season to meet demand during peak seasons.
C. offering a price promotion during periods of low demand to shift some of the demand into a slow period.
D. All of the above.
E. A. and B. only.