Global Supply Chain Management
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Course Introduction
Global Supply Chain Management explores the strategies, processes, and technologies involved in the efficient movement of goods, services, and information across international borders. The course examines key concepts such as logistics, sourcing, procurement, demand forecasting, risk management, and sustainability, emphasizing how global networks are established and optimized to create value for businesses and customers. Through case studies and practical applications, students will develop an understanding of challenges related to cultural differences, geopolitical risks, regulatory compliance, and emerging trends such as digitalization and green supply chains.
Recommended Textbook Operations Management in the Supply Chain Decisions and Cases 7th Edition by Roger Schroeder
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Page 2
Chapter 1: The Operations Function
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Sample Questions
Q1) Which of the following is NOT one of the important challenges facing operations and supply chain managers?
A) Service operations lagging behind manufacturing operations
B) Other functions (e.g., marketing, finance) being unwilling to share information
C) Finding suppliers with appropriate sustainability practices
D) Applying scientific management principles to increase efficiency
Answer: D
Q2) Which of the following would NOT be considered an output of an airline flight operation?
A) Transportation from point A to point B
B) Flight safety
C) Satisfied customer
D) Seat assignment
Answer: D
Q3) The process view provides a basis for viewing an entire business as a system of interconnected processes.
A)True
B)False
Answer: True
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Page 3
Chapter 2: Operations and Supply Chain Strategy
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Q1) Operations strategy is a
A) functional strategy.
B) business strategy.
C) divisional strategy.
D) corporate strategy.
Answer: A
Q2) Which of the following would NOT be examined in a sustainable operations initiative?
A) New product development
B) Packaging
C) Services
D) All of these would be examined.
Answer: D
Q3) A retailer that invests extensively in customer service training is most likely pursuing which operations objective?
A) Flexibility
B) Deliver
C) Cost
D) Quality
Answer: D
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Page 4
Chapter 3: Product Design
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Sample Questions
Q1) The third common phase of product development focuses on pilot production and testing.Which of the following is NOT an activity of the pilot production and testing?
A) Prototype testing to ensure performance specifications are met.
B) Finalization of process design.
C) Introduction of full-scale production and market introduction.
D) Information package finalization.
Answer: C
Q2) The market-pull view of new product innovation is to A) "pull" the products into the market as fast as possible.
B) develop products that the company can sell, based on customer needs.
C) market whatever the company makes best.
D) make new products appealing through innovative packaging.
Answer: B
Q3) With the technology push view of new product introduction,technology and the market equally determine which products a firm should make.
A)True
B)False
Answer: False
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5
Chapter 4: Process Selection
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Sample Questions
Q1) Job shop operations typically use special-purpose equipment.
A)True
B)False
Q2) What are the three areas of process selection decisions that affect environmental impact?
Q3) Continuous processes and assembly lines are very efficient but have little flexibility.
A)True
B)False
Q4) Which of the following would NOT be considered an advantage of 3-D printing?
A) It allows distributed manufacturing.
B) It allows production of items with hard-to-produce dimensional characteristics.
C) It is expected to quickly replace traditional manufacturing.
D) It is expected to come down in price.
Q5) Process efficiency is usually highest in which type of process?
A) Assembly line
B) Batch
C) Project
D) Job shop
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Chapter 5: Service Delivery System Design
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Sample Questions
Q1) The major difference between the service delivery system matrix and the product-process matrix is that service process design generally does not vary with customer volume.
A)True
B)False
Q2) Which of the following is NOT a correct statement?
A) A service is produced and consumed simultaneously.
B) Services are provided in a bundle of services and goods.
C) The service delivery system should be designed primarily around the employees in the system.
D) Low-contact services can usually be made more efficient than high-contact services.
Q3) A visit to Disney World would be classified as which type of service?
A) A provider-routed service
B) A co-routed service
C) A customer-routed service
D) None of the above
Q4) Identify some of the prominent differences between service operations and manufacturing operations.Describe the challenges that are unique to service operations,and describe some methods to overcome them.
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Chapter 6: Process-Flow Analysis
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Q1) A bank has an average of 10 customers per hour arriving into the system,and it takes an average of 30 minutes for the clerk to complete a transaction with a customer.What is the average length of the queue in the bank?
A) 20 customers
B) 5 customers
C) 3 customers
D) None of the above
Q2) Flow rate is
A) the same as process capacity.
B) measured in units per day.
C) useful for manufacturing but not service delivery processes.
D) the least of either supply, demand, or capacity.
Q3) Elements of a system include all of the following EXCEPT
A) outputs.
B) suppliers.
C) customers.
D) specifications.
Q4) A process will generally have at least one bottleneck.
A)True
B)False
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Chapter 7: Lean Thinking and Lean Systems
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Q1) Which of the following would NOT be an example of waste in a retail grocery store?
A) Produce found past its sell-by date.
B) Customers not able to find the product they seek.
C) Checkout clerk unable to accurately scan a package bar code.
D) All are examples of waste.
Q2) __________ is(are)the direct observation of work,conducted so that work practices can be improved.
A) 5 Whys
B) 5S
C) Gemba
D) Value stream mapping
Q3) How is the 5 Whys technique used in a lean system?
Q4) Preventive maintenance is another term for stabilizing the master schedule.
A)True
B)False
Q5) Takt time is the demand for the period divided by the available time for production.
A)True
B)False
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Chapter 8: Managing Quality
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Q1) Which of the following is NOT an element of the quality cycle?
A) Interpretation of customer needs.
B) Specification of quality attributes.
C) Production of product as specified.
D) Benchmarking product quality against best in class.
Q2) Which of the following is NOT a requirement for a successful quality improvement effort?
A) Suppliers are certified as having a functioning quality system.
B) The organization pursues a systemic approach to managing quality.
C) The organization addresses its culture, philosophies, and values.
D) The organization must select the right approach (e.g., ISO 9000, Malcolm Baldrige).
Q3) Which of the following is NOT true about the cost of quality?
A) Cost of quality is actually the cost of poor quality.
B) Increasing prevention cost increases appraisal, internal, and external failure costs.
C) Training cost is an example of prevention cost.
D) Warranty is an example of external failure cost.
Q4) Describe the concept of rolled yield and how it is related to managing quality in a supply chain.
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Page 10
Chapter 9: Quality Control and Improvement
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Q1) Which of the following statements is NOT correct?
A) Six sigma projects require measurement of financial impact be closely tracked, compared to lean projects that do not insist on financial tracking.
B) Six sigma relies more on dedicated experts to guide projects as compared to lean.
C) Lean projects tend to be smaller and simpler compared to six sigma projects.
D) Lean projects tend to support strategic priorities more than is the case for six sigma projects.
Q2) A cause-and-effect diagram
A) identifies common causes of quality defects .
B) is often used in conjunction with a Pareto chart.
C) is also called a fishbone diagram.
D) has all of the above features.
Q3) The seven tools of quality control are equally applicable to both manufacturing and service industries.
A)True
B)False
Q4) List and explain the five steps of the DMAIC process.
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Chapter 10: Forecasting
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Q1) Lengthening the forecast time horizon is a main method for counteracting forecast error.
A)True
B)False
Q2) Tracking signal is the ratio between cumulative forecast error and the most recent estimate of mean absolute deviation.
A)True B)False
Q3) Which of the following is NOT one of the important points to remember about collaborative planning,forecasting,and replenishment (CPFR)?
A) Any organization entering into a CPFR arrangement must expect to pay for the benefits received.
B) Sensitive information is not shared among partners, so proprietary information is not a factor in CPFR arrangements.
C) Ongoing management attention will be needed to maintain a long-term CPFR relationship with another organization.
D) All are important considerations for CPFR arrangements.
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Page 12
Chapter 11: Capacity Planning
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Sample Questions
Q1) A small cushion strategy is appropriate when capacity is inexpensive.
A)True
B)False
Q2) A firm produces 12 different services and has capacity to service 360,000 customers per year.A total of 24 service workers are employed.If 270,000 customers receive service during a particular year,what is the capacity cushion during that year?
A) 25%.
B) 50%.
C) 75%.
D) There is not enough information to determine the answer.
Q3) In aggregate planning,
A) the concern is over a long-range planning horizon.
B) output levels are set in the face of certain demand.
C) "aggregate" implies that planning is done for a single overall measure of output or at most a few products.
D) firms should never consider overtime, hiring, firing, or subcontracting.
Q4) Capacity utilization = actual output/capacity x 100%.
A)True
B)False
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Chapter 12: Scheduling Operations
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Sample Questions
Q1) If the critical ratio of a job is greater than 1,the job is late.
A)True
B)False
Q2) A bottleneck is
A) a resource that has the maximum capacity in the facility.
B) a resource whose capacity is less than the capacity of all other resources and whose capacity is less than the demand placed on it.
C) a resource that blocks labor productivity.
D) a resource that has the fastest processing time.
Q3) The preemptive rule in a manufacturing setting is based on remaining time until the due date and the remaining processing time.
A)True
B)False
Q4) Theory of constraints,as it applies to business systems,is based on which of the following premises?
A) A business has the obligation to consider its responsibility to society.
B) The goal of a business is to make money now and in the future.
C) The goal of a business is to make inventory.
D) The goal of a business is to eliminate all constraints.
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Chapter 13: Project Planning and Scheduling
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Sample Questions
Q1) Which of the following statements is true about a critical path?
A) It consists of activities for which early start time equals late start time.
B) The total time of activities on the path take the longest time.
C) There is no slack in the activities along the critical path.
D) All of the above.
Q2) Multiple critical paths can exist under the critical path method (CPM)because
A) there is more than one way to complete the project.
B) different network paths can have the same total time.
C) great flexibility of activity sequences is available.
D) none of the above.
Q3) Given the information above,what is the project cost if the project is crashed by one day?
A) $125
B) $250
C) $270
D) None of the above.
Q4) A work breakdown structure is used in the scheduling activity of project management.
A)True
B)False
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Chapter 14: Independent Demand Inventory
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Sample Questions
Q1) A paint supplier that places orders for different colors of paint for delivery at the same time should use a
A) P system.
B) Q system.
C) dependent demand inventory model.
D) quantity discount model.
Q2) A decrease in an item's lead time will increase the amount of safety stock required to maintain a constant service level.
A)True
B)False
Q3) The EOQ formula could be modified to express demand and the carrying rate on a monthly basis.
A)True
B)False
Q4) The average inventory level is defined as the difference between the cycle stock and the safety stock.
A)True
B)False
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Page 16
Chapter 15: Materials Requirements Planning and ERP
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Sample Questions
Q1) A requirements-based system derives orders from A) customer requests.
B) forecast.
C) bill of materials.
D) master schedule.
Q2) Which of the following statements concerning MRP system operation is correct?
A) Research has shown that many companies are transitioning from safety stock to safety capacity as a means of dealing with uncertain demand.
B) A properly used MRP system allows for minimal levels of safety stock.
C) Additional safety lead time is a common strategy for reducing inventory levels.
D) All of the above are correct.
Q3) _______ systems use a requirements order philosophy,while _______ systems use a replenishment order philosophy.
A) Order-point, MRP
B) MRP, order-point
C) EOQ, quantity discount
D) P, Q
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Chapter 16: Supply Chain Management
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Sample Questions
Q1) Supply chain sustainability includes concern for human rights of workers in the supply chain.
A)True
B)False
Q2) Order placement involves two processes: getting the order from the customer and providing information regarding the order fulfillment process to customers.
A)True
B)False
Q3) List and define the three ways to change supply chain systems.
Q4) The objective of structural and system changes is the same: to remove sources of uncertainty,to reduce replenishment time,and to reduce the total cost of supplying the market.
A)True
B)False
Q5) Which of the following is NOT a form of structural change of the supply chain?
A) Forward and backward integration.
B) Creating cross-functional teams.
C) Major process simplification.
D) Outsourcing logistics to a third party.
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Chapter 17: Sourcing
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Q1) Which of the following indicates an item to be a good candidate for outsourcing?
A) The item is important to the company's competitive advantage.
B) The item is a standard product also sold to many other companies.
C) The item technologically advanced and will require close control.
D) All of the above.
Q2) Spend analysis includes
A) looking at what the company is buying, from whom, in what quantities, and at what price.
B) looking at spend data by division or facility to isolate spending patterns.
C) looking for opportunities to disperse purchasing activities to more areas within the organization.
D) all of the above.
Q3) Which of the following is a purchasing decision?
A) Which products and services does the firm want to outsource?
B) What products or services should be supplied from offshore?
C) How will the firm maintain positive relationships with suppliers?
D) All of the above.
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Chapter 18: Global Logistics
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Sample Questions
Q1) The Stout Warehousing Company offers logistics network design and warehouse management services to customers along with traditional trucking and storage services.This type of company is known as
A) an advanced logistics provider.
B) a contract transportation and warehouse provider.
C) a third-party logistics provider.
D) an IT (information technology) enhanced logistics provider.
Q2) Which of the following is NOT correct concerning the economics of transportation?
A) Larger shipments cost less per unit of weight.
B) Economies of distance replace economies of scale in transportation decisions.
C) Long distances drive down the cost per mile.
D) The transportation cost per unit increases as the utilization of container space decreases.
Q3) Which of the following was NOT given as one of the five modes of transportation?
A) Water.
B) Internet.
C) Pipelines.
D) Air.
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