Operations and Supply Chain Strategy
Midterm Exam
Course Introduction
Operations and Supply Chain Strategy explores the key concepts and frameworks for designing, managing, and improving operations and supply chains in a global context. The course examines how organizations align their operations and supply chain processes with overall business strategy to achieve competitive advantage. Topics include strategic decision-making in sourcing, production, distribution, and logistics, as well as supply chain integration, sustainability, risk management, and the impact of technology. Emphasis is placed on both analytical tools and real-world case studies to develop practical skills for effective operations and supply chain management.
Recommended Textbook
Purchasing and Supply Chain Management 6th Edition by Robert M. Monczka
Available Study Resources on Quizplus
20 Chapters
1518 Verified Questions
1518 Flashcards
Source URL: https://quizplus.com/study-set/1154 Page 2
Chapter 1: Introduction to Purchasing and Supply Chain Management
Available Study Resources on Quizplus for this Chatper
46 Verified Questions
46 Flashcards
Source URL: https://quizplus.com/quiz/22659
Sample Questions
Q1) Most of the features that make their way into final products originate with suppliers. A)True
B)False Answer: False
Q2) Sophisticated customers, both industrial and consumer, no longer talk about price increases - they demand price reductions!
A)True
B)False Answer: True
Q3) Which of the following is not one of the features of the new model of progressive purchasing?
A) Developing closer relationships with important suppliers.
B) Performing due diligence on suppliers before awarding longer-term contracts.
C) Focusing primarily on price analysis and short term contracts.
D) Conducting worldwide Internet searches for the best sources of supply.
E) Inviting key suppliers to participate in product and process development.
Answer: C
To view all questions and flashcards with answers, click on the resource link above.
Page 3
Chapter 2: The Purchasing Process
Available Study Resources on Quizplus for this Chatper
79 Verified Questions
79 Flashcards
Source URL: https://quizplus.com/quiz/22660
Sample Questions
Q1) Which of the following is not one of the conditions under which negotiation is effective?
A) When the purchase requires agreement about a wide range of performance factors, such as price, quality, delivery, risk sharing, and product support.
B) When the buyer requires early supplier involvement.
C) When the specifications or requirements are clear to the seller.
D) When the supplier cannot determine risks and costs.
E) When the supplier requires a long period of time to develop and produce the items purchased.
Answer: C
Q2) Which of the following is not one of the common ways that internal customers should communicate their needs to purchasing?
A) Purchase requisitions from internal users.
B) Chance meeting in the company cafeteria.
C) Forecasts and customer orders.
D) Material requirements identified during new-product development.
E) Routine reordering systems.
Answer: B
To view all questions and flashcards with answers, click on the resource link above.
4
Chapter 3: Purchasing Policy and Procedures
Available Study Resources on Quizplus for this Chatper
28 Verified Questions
28 Flashcards
Source URL: https://quizplus.com/quiz/22661
Sample Questions
Q1) All of the following are characteristics of effective policies except _____.
A) action-oriented
B) relevant
C) concise
D) highly detailed and written.
E) timely and current
Answer: D
Q2) Buyers do not need to consider a supplier's ability to comply with environmental regulations as a condition for selection.
A)True
B)False
Answer: False
Q3) A procedure is ineffective if it specifies too many steps to carry out or presents unnecessary detail.
A)True
B)False
Answer: True
To view all questions and flashcards with answers, click on the resource link above.
Page 5
Chapter 4: Supply Management Integration for Competitive Advantage
Available Study Resources on Quizplus for this Chatper
67 Verified Questions
67 Flashcards
Source URL: https://quizplus.com/quiz/22662
Sample Questions
Q1) When _____ is present, the total group effort is _____ the expected sum of the individual parts.
A) process loss .less than B) groupthink .more than C) process loss .more than D) collaboration .less than E) synergy .the same as
Q2) Purchasing offices were once corporate backwaters, filled with people who didn't dream of advancing to the top rungs of their organization.
A)True
B)False
Q3) Membership on a team can have negative effects on individuals.
A)True
B)False
Q4) Experience reveals that cross-functional sourcing teams are usually part-time/continuous assignments, making the use of sourcing teams a challenging way to work.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 6
Chapter 5: Purchasing and Supply Management Organization
Available Study Resources on Quizplus for this Chatper
73 Verified Questions
73 Flashcards
Source URL: https://quizplus.com/quiz/22663
Sample Questions
Q1) _____ is the process of personally or electronically contacting suppliers to determine the status of past-due or near-past-due shipments.
A) Buying
B) Negotiating
C) Outsourcing
D) Expediting
E) Insourcing
Q2) Purchasing is becoming more of a tactical function and less of a strategic function.
A)True
B)False
Q3) _____ refers to the assumption that local personnel understand and support the objectives of the business unit or division and feel a personal commitment to a particular operation.
A) Centralization of purchasing authority
B) Hybrid structure
C) Correlation
D) Specialization
E) Ownership
To view all questions and flashcards with answers, click on the resource link above. Page 7
Chapter 6: Category Strategy Development
Available Study Resources on Quizplus for this Chatper
80 Verified Questions
80 Flashcards
Source URL: https://quizplus.com/quiz/22664
Sample Questions
Q1) In the _____ of the process of supplier segmentation, the supplier views the buyer as a core customer, as the size of the account is significant to the supplier, and the account is also important from a strategic perspective.
A) COMMODITY segment
B) DEVELOP segment
C) EXPLOIT segment
D) NUISANCE segment
E) CORE segment
Q2) A/An _____ may be used as a decision support tool in which the sourcing team assigns a weight to the different categories and develops a numerical score for each supplier in each category, thereby developing a final performance score.
A) make-buy analysis
B) portfolio analysis matrix
C) reverse auction
D) e-catalog
E) supplier selection scorecard
Q3) The RFI constitutes a binding agreement by both the supplier and the purchaser.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 8
Chapter 7: Supplier Evaluation and Selection
Available Study Resources on Quizplus for this Chatper
78 Verified Questions
78 Flashcards
Source URL: https://quizplus.com/quiz/22665
Sample Questions
Q1) Which of the following key financial ratios is calculated as Profit after taxes/Sales?
A) Current debt to equity.
B) Fixed asset turnover.
C) Return on assets.
D) Says sales outstanding.
E) Net profit margin.
Q2) _____ is defined as the continual monitoring of the strength of suppliers' financial condition to ensure their ability to meet the purchaser's performance requirements for products or services.
A) Operational risk management
B) Sole sourcing
C) Financial risk management
D) Multiple sourcing
E) None of the above.
Q3) Traditional purchasers understand the risk/reward tradeoff and are prepared to manage it better to attain overall lower costs.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 9
Chapter 8: Supplier Quality Management
Available Study Resources on Quizplus for this Chatper
94 Verified Questions
94 Flashcards
Source URL: https://quizplus.com/quiz/22666
Sample Questions
Q1) Quality is only for manufacturing.
A)True
B)False
Q2) Slogans, signs, and posters are highly effective in changing worker behavior because they assume that most, if not all, quality problems are due to human behavior.
A)True
B)False
Q3) Which of the following is not one of Deming's 14 points?
A) Encourage education and self-improvement.
B) Take action.
C) Institute leadership.
D) Optimize the efforts of teams.
E) Utilize numerical quotas and measurement by objective to motivate management.
Q4) Buyers should focus only on a supplier's physical output (the end result), never on the supporting inputs, systems, and processes that created that output.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 10
Chapter 9: Supplier Management and Development:
Creating a World-Class Supply Base
Available Study Resources on Quizplus for this Chatper
84 Verified Questions
84 Flashcards
Source URL: https://quizplus.com/quiz/22667
Sample Questions
Q1) If a supplier's product or service is deemed routine to the buyer, it should then be considered for supplier development.
A)True
B)False
Q2) Which of the following is not a typical qualitative service factor in a supplier performance measurement system?
A) Problem resolution ability.
B) Technical ability.
C) Process capability.
D) Ongoing progress reporting.
E) Wavelength.
Q3) The remaining suppliers in a rationalized and optimized supply base are seldom capable of performing additional tasks or providing other products and services that add value to the buyer-supplier relationship.
A)True
B)False
Q4) Few international shipments of merchandise require insurance coverage.
A)True
B)False
11
To view all questions and flashcards with answers, click on the resource link above.
Chapter 10: Worldwide Sourcing
Available Study Resources on Quizplus for this Chatper
87 Verified Questions
87 Flashcards
Source URL: https://quizplus.com/quiz/22668
Sample Questions
Q1) _____ occurs when a selling company agrees to accept goods from the buying country as partial payment.
A) Compensation trading
B) Buy-back
C) Barter
D) Counterpurchase
E) Switch trading
Q2) Most offshore organizations like dealing with the U.S. legal system and long contracts.
A)True
B)False
Q3) _____ relates to a commercial purchase transaction between a buyer and a supplier located in different countries.
A) International purchasing
B) Re-shoring
C) Global sourcing
D) Nearshoring
E) None of the above.
To view all questions and flashcards with answers, click on the resource link above. Page 12
Chapter 11: Strategic Cost Management
Available Study Resources on Quizplus for this Chatper
83 Verified Questions
83 Flashcards
Source URL: https://quizplus.com/quiz/22669
Sample Questions
Q1) Economic conditions seldom determine whether a market is favorable to the seller or to the purchaser.
A)True
B)False
Q2) Which of the following is not one of the categories of products in the strategic cost management matrix?
A) Commodities.
B) One-time buys.
C) Critical products.
D) Unique products.
E) Generics.
Q3) Under traditional pricing approaches, product cost + profit = selling price.
A)True
B)False
Q4) Under penetration pricing, using final price as a basis, the product is disaggregated into major subsystems, each of which has its own target cost.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 13
Chapter 12: Purchasing and Supply Chain Analysis: Tools and Techniques
Available Study Resources on Quizplus for this Chatper
67 Verified Questions
67 Flashcards
Source URL: https://quizplus.com/quiz/22670
Sample Questions
Q1) Organizations should not use process mapping to redesign or reengineer processes.
A)True
B)False
Q2) According to Ohno and Toyota, _____ is a category of waste that occurs when employees are standing about and inventory is at a standstill.
A) waiting time
B) defect
C) overproduction
D) unnecessary movement
E) over-processing
Q3) A/An _____ is a series of tasks that requires the completion of specific objectives within a certain time frame; has defined start and stop dates; consumes resources, particularly time, personnel, and budget; and operates with limited resources.
A) process
B) work order
C) purchase order
D) project
E) team charter
To view all questions and flashcards with answers, click on the resource link above. Page 14
Chapter 13: Negotiation and Conflict Management
Available Study Resources on Quizplus for this Chatper
98 Verified Questions
98 Flashcards
Source URL: https://quizplus.com/quiz/22671
Sample Questions
Q1) It is easy to develop common ground in the negotiation without knowing what the other party is seeking.
A)True
B)False
Q2) _____ is a negotiation tactic that involves not immediately responding when the other party makes an offer in the hope that an awkward silence will encourage further offers or concessions from the other party.
A) Trial balloon
B) Silence
C) High ball
D) Questions
E) Planned concessions
Q3) When preparing for a negotiation with a supplier located in another country, companies must invest in substantial extra time and effort in planning for the negotiation to accommodate new language translations, travel, modes of transportation, and other foreign business requirements.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 15
Chapter 14: Contract Management
Available Study Resources on Quizplus for this Chatper
109 Verified Questions
109 Flashcards
Source URL: https://quizplus.com/quiz/22672
Sample Questions
Q1) The _____ the term of the purchase agreement, the _____ firm fixed-price contracts will be acceptable to the supplier.
A) shorter .less likely
B) longer .more likely
C) longer .less likely
D) longer .same likelihood that
E) There is no relationship between contract term and acceptability to the supplier.
Q2) The most basic contractual pricing mechanism is called a/an _____ contract.
A) fixed price with escalation
B) cost plus incentive fee
C) firm fixed price
D) cost-sharing
E) fixed price with redetermination
Q3) Perhaps the simplest method of resolving a contractual disagreement involves straightforward, face-to-face negotiation between the two parties involved.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 16
Chapter 15: Purchasing Law and Ethics
Available Study Resources on Quizplus for this Chatper
107 Verified Questions
107 Flashcards
Source URL: https://quizplus.com/quiz/22673
Sample Questions
Q1) The Federal Trade Commission Act makes price discrimination illegal and prohibits sellers from exclusive arrangements with purchasers or product distributors.
A)True
B)False
Q2) Which of the following is falseregarding the risks of unethical behavior by a purchaser?
A) The buyer pays too little for a purchased good or service.
B) Unethical behavior presents a personal risk to a buyer's reputation.
C) buyer who performs an unethical act runs the risk that the act is also illegal.
D) Sellers quickly become aware of buyers who are open to offers "on the side."
E) A buyer who makes purchase decisions based on factors other than legitimate business criteria risks the reputation of the entire firm.
Q3) In agreeing to perform the purchasing duties for the employer, purchasing managers imply that they will never make a mistake.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
17
Chapter 16: Lean Supply Chain Management
Available Study Resources on Quizplus for this Chatper
73 Verified Questions
73 Flashcards
Source URL: https://quizplus.com/quiz/22674
Sample Questions
Q1) Which of the following is not one of the benefits of simplified designs?
A) Fewer suppliers.
B) Increased number of manual transactions.
C) Reduced transactions to support the inventory.
D) Fewer part numbers.
E) Lower inventory management costs.
Q2) Unnecessary inventory usually results from one thing: uncertainty.
A)True
B)False
Q3) Using a RFID system, if supplier quality and lead times are reliable, planners can time the arrival of components just before production of the final part number.
A)True
B)False
Q4) When firms produce goods in anticipation of future customer orders, they are operating in a just-in-time environment.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 18
Chapter 17: Purchasing Services
Available Study Resources on Quizplus for this Chatper
98 Verified Questions
98 Flashcards
Source URL: https://quizplus.com/quiz/22675
Sample Questions
Q1) _____ refers to the accuracy and on-time consistency of the transportation service, arriving neither late nor early.
A) Reliability
B) Capability
C) Accessibility
D) Total cost
E) Speed
Q2) The greatest competition between domestic transportation modes involves rail and motor carriers.
A)True
B)False
Q3) In order for _____ to work, both the buyer and the logistics service provider must explicitly agree as to what the buyer's desired outcomes, goals, and objectives are and how the logistics service provider can help meet them.
A) PBL
B) MRO
C) TQM
D) TCO
E) KPIs
To view all questions and flashcards with answers, click on the resource link above.
Page 19
Chapter 18: Supply Chain Information Systems and Electronic Sourcing
Available Study Resources on Quizplus for this Chatper
69 Verified Questions
69 Flashcards
Source URL: https://quizplus.com/quiz/22676
Sample Questions
Q1) A/An _____ system provides the means for tracking organizational resources, including people, processes, and technology.
A) MRP
B) ERP
C) EDI
D) legacy
E) decision support
Q2) _____ is Internet-based, and users share software and other information that is provided to computers and mobile devices on demand.
A) ERP
B) EDI
C) Cloud computing
D) A value-added network
E) None of the above.
Q3) EDI requires investment in general purpose hardware that could be used for a variety of purposes.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above. Page 20
Chapter 19: Performance Measurement and Evaluation
Available Study Resources on Quizplus for this Chatper
62 Verified Questions
62 Flashcards
Source URL: https://quizplus.com/quiz/22677
Sample Questions
Q1) _____ refers to the relationship between planned and actual sacrifices made to realize a previously agreed-upon goal.
A) Strategic benchmarking
B) Effectiveness
C) Efficiency
D) Operational benchmarking
E) None of the above.
Q2) Measurement fails to motivate and direct behavior toward desired end results.
A)True
B)False
Q3) _____ refers to the extent to which, by choosing a certain course of action, management can meet a previously established goal or standard.
A) Operational benchmarking
B) Efficiency
C) Support-activity benchmarking
D) Effectiveness
E) None of the above.
To view all questions and flashcards with answers, click on the resource link above. Page 21
Chapter 20: Purchasing and Supply Strategy Trends
Available Study Resources on Quizplus for this Chatper
36 Verified Questions
36 Flashcards
Source URL: https://quizplus.com/quiz/22678
Sample Questions
Q1) Purchasing and supply will be expected to play a growing role in sustainability efforts of the firms, many of which closely involve suppliers.
A)True
B)False
Q2) Providing ongoing purchase price and cost reduction, combined with quality and delivery performance improvement, is the maximum contribution expected of purchasing and supply.
A)True
B)False
Q3) Big data and analytics will play an increasingly important role in purchasing and supply chain management.
A)True
B)False
Q4) Strong hard-side skills, such as a collaborative working style, innovative supply approaches and leadership abilities versus a narrow process view, will be necessary to lead supply efforts and achieve results.
A)True
B)False
To view all questions and flashcards with answers, click on the resource link above.
Page 22