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PURCHASING AND SUPPLY CHAIN MANAGEMENT

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1 / 50

SCM. Which of the following is the least likely decision to be made by Operations Managers

Selecting the location and layout of a facility

Deciding which market areas to manufacture products for

How much capacity is required to balance demand

Designing and improving the jobs of the workforce

2 / 50

SCM. The supply chain management philosophy emerged in which decade?

1960s

1970s

1980s

1990s

3 / 50

SCM. Which one of the following would not generally be considered an aspect of operations management?

Schedule work

Secure financial resources

Maintain quality

Oversee the transformation process

4 / 50

SCM. What is the meaning of MRP11

A Machinery resource plan

B, Manufacturers Resources Planning

C, material recources progrmming

5 / 50

SCM. Lean production involves

Elimination of cost only

Improvement of quality only

Improvement of speed only

Elimination of all types of waste

6 / 50

SCM. A supply chain is a sequence of firms that perform activities required:

To find products that are similar

To create synergy in their training programs

To create and deliver goods to consumers

7 / 50

SCM. What is a perfect order?

a) simultaneous achievement of relevant customer metrics

b) an order that arrives on time

c) an order that arrives undamaged

d) an order that is easy for the receiver to fill

8 / 50

SCM. Among the tools of TQM, the tool ordinarily used to aid in understanding the sequence of events through which a product travels is a

Pareto chart

Flow chart

check sheet

9 / 50

SCM. The most common form of quality control includes:

Planning

Organizing

Inspection

Directing

10 / 50

SCM. Which of the following functions is not a core function of an organisation?

The Product/Service Dev.Function

The Operations Function

The Marketing ( Including Sales ) Function

The accounting and finance function

11 / 50

SCM. What is SCM?

A, Supply Chain Management

B, Sourcing Coordinating Method.

C, Supply Chain methodology

12 / 50

SCM. Julie Newmar recognizes that her company needs to provide better customer service and trim distribution costs through teamwork, both inside the company and among all the marketing channel organizations. Julie will begin the practice of ________.

intermediation

customer relationship management

integrated logistics management

supply chain management

13 / 50

SCM. Intermediaries play an important role in matching ________.

dealer with customer

manufacturer to product

information and promotion

supply and demand

14 / 50

SCM. what is the meaning of EOQ

A, Economic Order Quantity

B, Economic Optimum Quantity.

C, Economy Ordering quantity.

15 / 50

SCM.What name is often given to the Japanese „total approach‟ to removing anything that does not add value to the final product?

Jobbing processes

Lean production processes

Continuous processes.

16 / 50

SCM. What is the best way of informing workers of management decisions:

A, Problem solving.

B, Decision making

C, Communication.

17 / 50

SCM. To reduce inventory management costs, many companies use a system called ________, which involves carrying only small inventories of parts or merchandise, often only enough for a few days of operation

reduction-inventory management

supply chain management

economic order quantity

just-in-time logistics

18 / 50

SCM. A Supply Chain includes the chain of entities involved in the planning,procurement,production and ------------- of products and services

Distribution

Supply

Demand

19 / 50

SCM. Which of the following is not an area of responsibility for a logistics manager?

inventory

purchasing

warehousing

marketing

20 / 50

SCM. , In procurement objectives, what is not of essesnce?

A, Price,

B, Economy / Value

C, Efficiency.

21 / 50

SCM. What are the Pre- Transaction elements in Customer satisafaction?

A, Knowledge of avaialability

B, Quality sales representation.

C, Monitored stocked level.

D, All of the above

22 / 50

SCM. What best described “Lead Time”

A, The time between requisitioning period and the delivery time of the material.

B, Sourcing time up till the time of delivery.

C, All the time that are associated with supply chain management.

23 / 50

SCM. Which came last in the development of manufacturing techniques?

Lean production.

Division of labor.

Mass production

Interchangeable parts.

24 / 50

SCM. Supply chain concept originated in what discipline?

marketing

Operations

Logistics

Production

25 / 50

SCM. Which of the following is not a type of operations?

Goods production

storage/transportation

entertainment

price reduction

26 / 50

SCM. If two potential suppliers can deliver a part with the same quality and prices, the selection should be based on:

Age of the firms

A coin flip

Outside evaluation

The capabilities and flexibilities of the firms

27 / 50

SCM. Which of the following statements is true of LEAN?

Lean principles focus on advanced statistical methods

Lean principles include reducing waste.

28 / 50

SCM. Which of the following would not be normally considered as a key feature of Operations Management?

Operations is the part of an organisation which creates wealth through the management of the transformation process

World class Operations can give an organisation competitive advantage

Most new technology is implemented in Operations areas

Operations is the area of a business where most people work

29 / 50

SCM. Zero defects in manufacturing is

a. is a relevant goal only in electronic assembly

b. is readily achievable in all areas

c. is the goal of TQM

d. is an unobtainable and misleading idea

30 / 50

SCM. Which of the following is NOT a benefit of SCM Purchasing?

a) Consistent quality

b) Savings on resources

c) Lower costs

d) Less dependence on suppliers

31 / 50

SCM. A fishbone diagram is also known as a

cause-and-effect diagram

poka-yoke diagram

Kaizen diagram

Taguchi diagram

32 / 50

SCM. Which of the following is not true about a lean production system?

It puts emphasis on quality, flexibility, and time reduction.

It puts emphasis on reducing a company's labor force.

It is involved in maintaining and improving the system with lower amounts of inventory.

It relies on buffers against unforeseen occurrences.

33 / 50

SCM. The trend in organizations is to place the SCM function:

Under the manufacturing function

Under the finance function

Under the engineering function

At the same level as the other major functions

34 / 50

SCM. Quality is both quantitative and

Supportive

Qualitative

Measurable

Conclusive

35 / 50

SCM. ____ is an example of a pure good.

Restaurant

Dentist

Coal Mining

Education

36 / 50

SCM. The amount of inventory kept at each stock point in a warehouse network is usually based on:

Minimizing transportation costs

Constant demand

Tradeoffs between warehousing, inventory, and transportation costs

Product pricing strategy

37 / 50

SCM. The bullwhip effect:

a) is an ineffective way to motivate warehouse employees

b) applies to rodeos and has nothing to do with supply chain management

c) refers to the “swaying” motion associated with triple trailers

d) refers to variability in demand orders among supply chain participants.

38 / 50

SCM. Which of the following is not a key activity of an operations manager?

Understanding the needs of customer

Continually learning

Managing cash flows

Exploiting technology to produce goods and services

39 / 50

SCM. Which one of the following is not a typical question dealt with by an operations managers?

How much capacity will be needed in the months ahead?

What is a satisfactory location for a new facility?

How to motivate employees?

All are typical of operations decisions

40 / 50

SCM. According to the manufacturing-based definition of quality

"quality is the degree of excellence at an acceptable price and the control of variability at an acceptable cost

quality depends on how well the product fits patterns of consume

preferences even though quality cannot be defined, you know what it is

quality is the degree to which a specific product conforms to standards

41 / 50

SCM. If a sample of parts is measured and the mean of the measurements is outside the control limits the process is

in control, but not capable of producing within the established control limits

out of control and the process should be investigated for assignable variation

within the established control limits with only natural causes of variation monitored closely to see if the next sample mean will also fall outside the control limits

42 / 50

SCM. An important feature of supply chain management is its application of electronic commerce technology that allows companies to share and operate systems for:

Order processing, transportation scheduling, and inventory management

cost-effective flowing of raw materials

future purchasing of computer systems

future merger opportunities

43 / 50

SCM."Quality is defined by the customer" is

An unrealistic definition of quality

A user-based definition of quality

A manufacturing-based definition of quality

A product-based definition of quality

44 / 50

SCM.Which one of the following would not generally be considered an aspect of operations management?

Work methods

Secure financial resources

Maintain quality

Product or service design

45 / 50

SCM. Companies manage their supply chains through ________.

information

transportation modes

competitors

the Internet

46 / 50

SCM. The inputs to a transformation process include all of the following except

Material

People

Information

Assembly

47 / 50

SCM. Which function typically employs more people than any other functional area?

Information System

Operations

Marketing

Finance

48 / 50

SCM. Which of the following are not key attributes of supply chain management?

inventory control

leveraging technology

customer power

all are key attributes

49 / 50

SCM. Which of the following is true regarding control charts?

Values above the upper and lower control limits indicate points out of adjustment.

Control charts are built so that new data can be quickly compared to past performance data.

Control charts graphically present data.

All of the above are true.

50 / 50

SCM. The supply chain management philosophy emerged in which decade?

1960s

1970‟

1980s

1990s

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Purchasing and Supply Chain Management Examination

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