Supply Chain Management
Final Exam
Course Introduction
Supply Chain Management explores the strategies and processes involved in coordinating the flow of goods, services, information, and finances from raw material suppliers to end consumers. The course covers key topics such as procurement, inventory management, logistics, demand forecasting, production planning, and relationship management among supply chain partners. Students will learn how to optimize supply chain performance through analytical techniques, technology integration, and sustainable practices, while addressing challenges related to globalization, risk management, and ethical considerations. By the end of the course, students will understand how efficient supply chain management contributes to business competitiveness and customer satisfaction in various industries.
Recommended Textbook
Production and Operations Management 2nd Edition by Martin Starr
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Page 2
Chapter 1: Product Line Planning and the Systems Approach
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Q1) Understanding global competitors requires an understanding of their strategies within the context of the national character of their operations management system.
A)True
B)False
Answer: False
Q2) Care should be taken to avoid stereotyping services as being all too human,and,therefore,difficult to control for quality and productivity.
A)True
B)False
Answer: True
Q3) The manufacturer can measure input in terms of the number of units of each kind of product it produces.
A)True
B)False
Answer: False
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Page 3
Chapter 2: Productivity and Strategic Planning
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Sample Questions
Q1) P/OM history shows that the overall trend in global economies is to decrease productivity.
A)True
B)False
Answer: False
Q2) Competitors keep jockeying and leapfrogging each other with the adoption of _____ technologies that _____ reduce productivity.There are various causes for the reduction.
A)new;initially
B)new;never
C)new;always
D)new;seldom
Answer: A
Q3) In the beginning of P/OM's development,production transformations were by hand and _____were very small.
A)input volumes
B)periods of time
C)output volumes
D)both a and b
Answer: C
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Chapter 3: Demand Creation and Predictive Planning
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Sample Questions
Q1) _____ is a forecasting method that relies on expert estimation of future events.
A)Weighted moving average
B)Time series analysis
C)Delphi method
D)Exponential smoothing
Answer: C
Q2) _____ is responsible for using different pricing,advertising,and promotion activities during appropriate life cycle stages.
A)Management
B)Operations management
C)Marketing
D)Management information systems
Answer: C
Q3) When using regression analysis the simplest assumption that is generally made first is that the relationship between the correlate pairs is nonlinear.
A)True
B)False
Answer: False
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5
Chapter 4: Understanding Quality: ITS Management and Strategic Importance
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Sample Questions
Q1) It is the producer's problem to choose the appropriate quality standards so that the market judges them to be fitting for that price class.
A)True
B)False
Q2) American companies that have won the Deming Prize are Florida Power and Light and a Texas Instruments division located in Japan.
A)True
B)False
Q3) ISO nongovernmental organizations form a network of the national standards institutes,currently numbering 15 countries,on the basis of one member per country.
A)True
B)False
Q4) P/OM produces the level of variety determined by a firms marketing strategy. A)True
B)False
Q5) How can better quality result in savings for the manufacturing company?
Q6) What issues should be considered when developing an appropriate warranty policy?
Q7) Discuss both the producer's and the consumer's view of quality.
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Chapter 5: Process Configuration Strategies
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Sample Questions
Q1) The analytic process does not apply to information systems.
A)True
B)False
Q2) _____ are defined as the final part of the means-end chain.
A)Means
B)Ends
C)Processes
D)Chains
Q3) The advantages of converting both analytic and synthetic processes into flow shop form include cost per unit reduction.
A)True
B)False
Q4) India is developing a no-frills car for their local market.They will also use a paced conveyor to move the chassis from station to station in a synthetic process.If the assembly process of the newly designed assembly plant takes 17 hours to make the automobile and there are 798 workstations along the conveyor path,what is the length of time that the conveyor is stopped at each station?
Q5) What were the key elements in the success of Henry Ford?
Q6) What is a process? How is a process chosen?
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Chapter 6: Process Analysis and Redesign
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Q1) Remedial maintenance is a complete and total plan to prevent failures of various kinds.
A)True
B)False
Q2) The _____ chart provides both visual and quantitative data that summarizes the pros and cons of making changes.
A)flow
B)process
C)control
D)operations
Q3) Starting from scratch (reengineering a process) generally does not delay new order processing.
A)True
B)False
Q4) What is the likelihood that a cutting tool will fail during the month?
Q5) Among the reasons for detailing spatial dimensions is A)calculating the distances that parts will be transported. B)choosing the best means for transporting parts.
C)being certain that there is clearance for large parts.
D)all of the above
8
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Chapter 7: Quality Assurance
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Q1) For the _____ to apply,the sample size should be small as compared to the lot size.
A)multiple distribution
B)Poisson distribution
C)binomial distribution
D)scatter distribution
Q2) _____ seek to identify the most frequently occurring categories.
A)Cause and effect charts
B)Histograms
C)Bar charts
D)Pareto analyses
Q3) _____ determines the most frequent types of defects and puts them in rank order.
A)Cause and effect charting
B)p-charting
C)Pareto analysis
D)Bar charting
Q4) Deming diagrams enumerate and organize the potential causes of various kinds of quality failures.
A)True
B)False
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Chapter 8: Management of Technology Mot
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Sample Questions
Q1) _____ is a measure of how well two component parts fit together.
A)Tolerance testing
B)Tolerance matching
C)Variance testing
D)Variance matching
Q2) The systems analysis of product delivery quality entails getting answers to _____ lines of inquiry.
A)three
B)four
C)five
D)six
Q3) _____ is the study of similarities between human brains and electronic systems.
A)Cybernetics
B)Neural network analysis
C)Expert systems analysis
D)Flexible service systems analysis
Q4) It has been said that the P/OM workforce has been replacing white-collar scholars with blue-collar workers.
A)True
B)False
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Chapter 9: Teamwork Planning Requires Job Design
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Sample Questions
Q1) Synthetic time standards provide a solution to problems associated with setting standards for new products a where people are opposed to being studied on the job.
A)True
B)False
Q2) _____ is trading jobs for a period of time.This allows one to stand in the other's shoes.It encourages systems-wide thinking.
A)Cross-training
B)Action learning
C)Team learning
D)Team building
Q3) How can training program effectiveness be determined?
Q4) P/OM has included ABC accounting methods when discussing the increasing irrelevance of using labor charges as the guide for allocation of overhead charges,or when discussing capacity planning.
A)True
B)False
Q5) Why is performance evaluation so important in service industries in particular?
Q6) How does NPV accounting effect long-term planning?
Q7) What are the advantages of computer-based training?
Page 11
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Chapter 10: Supply Chain Capacity Planning
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Sample Questions
Q1) Capacity planning involves not only machinery and _____,but also _____.
A)labor;management
B)employees' motivation;materials
C)training;vendor management
D)all of the above
Q2) _____ charts were developed in the 1930s by Walter Rautenstrauch,professor of Industrial Engineering at Columbia University and have become an influential model of P/OM,providing important information for capacity decisions.
A)Gantt
B)Capacity
C)SPC
D)Breakeven
Q3) _____ are the inputs that tend to be fully chargeable and directly attributable to the product in the ABC accounting sense.
A)Total variable costs
B)Total revenues
C)Variable costs per unit
D)Total costs
Q4) What is capacity? How is it defined? Is 100 percent capacity realistic?
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Chapter 11: Facilities Planning: Location and Layout
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Q1) There are four main components of facilities planning and they strongly interact with each other.Which of the following are included?
A)Location of facilities
B)Structure and specific site selection
C)Equipment choice
D)all of the above
Q2) Location,structure,and site come as a package of tangible conditions.Intangible issues have no costs and should not be included in analysis.
A)True
B)False
Q3) Factorial computations play a part in determining how many combinations of possible plant layouts need to be considered.How many combinations need to be studied with five work centers?
A)25
B)120
C)3125
D)60
Q4) Give three reasons why the plants in a TM might produce units at different costs.
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Page 13
Chapter 12: Materials Management Impacts All Supply
Chain Participants
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Sample Questions
Q1) Bidding models show that as the number of bidders competing _____,the size of the winning bid decreases.
A)decreases
B)changes
C)increases
D)is unknown
Q2) Purchasing agents and their buying organizations,have the traditional role of bringing needed supplies into the organization.
A)True
B)False
Q3) _____ involve smaller order quantities of far more kinds of materials than _____.
A)Job shops;flow shops
B)Flexible shops;flow shops
C)Flow shops;job shops
D)Job shops;intermittent flow shops
Q4) Flow shops require continuous supply of specific sets of unchanging materials. A)True
B)False
Q5) Explain cross-docking.
Page 14
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Chapter 13: Aggregate Planning to Balance Supply and Demand
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Q1) Overstaffing seldom places burdens on the human resources managers who have to deal with personnel needs and the long-term repercussions of asking people to leave without notice.
A)True
B)False
Q2) Loading is the production scheduling function that assigns jobs to departments.This must be done after sequencing jobs within departments.
A)True
B)False
Q3) Productivity rate and production output rate are not equivalent terms.
A)True
B)False
Q4) Information is essential for forecasting at levels two and three,where aggregate units have become specific jobs to be loaded by department and sequenced into ordered queues.
A)True
B)False
Q5) What is the advantage of LP for aggregate planning?
Q6) Explain the Fundamental Theorem of Linear Programming.
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Chapter 14: Inventory Management for Smooth and Continuous Demand Patterns
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Sample Questions
Q1) What professional society has played an influential role in the inventory management area?
A)APICS
B)AMA
C)ABPI
D)ACDM
Q2) The best definition of a reorder point is
A)the optimal interval between orders with order quantity fixed.
B)the stock-on-hand level at which successive new orders must be placed.
C)the optimal order size when the interval between orders is fixed.
D)the trigger for expediting an order for more stock.
Q3) One of the seven classes of inventory situations is order repetition (e.g.,static vs.dynamic) situations.
A)True
B)False
Q4) Vertical integration is achieved by buying companies able to provide components that are otherwise purchased from suppliers.
A)True
B)False
Q5) What are EOQ and ELS? How are they different?
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Chapter 15: Material Requirements Planning Mrp for
Sporadic Demand Patterns
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Q1) MRP is supposed to do away with the need for _____.
A)scheduling
B)capacity planning
C)safety stock
D)purchasing
Q2) One unit of product A is made from two units of B and four units of C.One unit of component B is made from two units of D and three units of E.One unit of component C is made with three units of D and two units of F.Show a single-level bill of materials and an indented bill of materials.
Q3) Order promising is best defined as:
A)time between recognition of the need for an order and the acknowledged,genuine receipt of goods.
B)sales department commitments for delivery.As such,it answers the question "when can you ship?"
C)lists of all of subassemblies,parts,and raw materials that go into a parent assembly.As such,it shows the quantities required.
D)separating locations where end-items are built from locations of warehouses where subassemblies are stored.
Q4) What is net change MRP?
Page 17
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Chapter 16: Production Scheduling for Manufacturing and Service Operations
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Q1) The backlog is generally much larger than the work in process which can be seen as work waiting on the shop floor of facility.Some managers brag about how much work is waiting.It is taken as a sign of success.
A)True
B)False
Q2) Define sequencing.How is it used?
Q3) In facility loading,when work that is scheduled is not completed on time,_____.
A)the scheduler underestimated the time required for completion
B)there is a process problem to be determined
C)either a or b
D)neither a nor b
Q4) Each facility carries a backlog of work called _____.
A)the bottleneck
B)the load
C)burden
D)work-in-process (WIP)
Q5) Define loading.What is the importance of loading?
Q6) The assignment of work and its timing need to be orchestrated.
A)True
B)False Page 18
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Page 19
Chapter 17: Cycle-Time Management Increases
Productivity
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Q1) At The Burger Place,Jane's toaster produces 20 finished crowns and heels per minute while Jim dresses 10 burgers per minute.They have been trained to use push-production methods.When Jane sees that Jim has no more space,she helps out at the drive-through window.What is the waiting line if they both work at rated speed for 15 minutes? How big a storage space does Jim need? How is quality affected?
Q2) Helgeson and Birnie call their approach the A)ranked positional weight method.
B)ranked weight method.
C)K & W heuristic.
D)ranked operation time method.
Q3) Stochastic line-balancing exists when the assumption of fixed and deterministic times for all operations and total process time is correct.
A)True
B)False
Q4) What assumption is deterministic line balancing based on? Why?
Q5) The number of workstations n must always be an integer in both theory and practice.
A)True
B)False
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Chapter 18: Project Management for New Products and Processes
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Q1) How was PERT developed and what was its intended use?
Q2) Explicit knowledge is the description of what must be done to make things work. A)True
B)False
Q3) What are activity cycles in PERT networks?
Q4) Resource leveling cannot be used effectively to manage multiple projects.
A)True
B)False
Q5) Every event node in the PERT network is identified with a four-part scorecard. Which of the following is the correct four-part scorecard?
A)EF ES LS LF
B)ES EF LS LF
C)ES EF LF LS
D)ES LF LS EF
Q6) Networks representations often consist of arrows and nodes.The arrows connect the nodes while providing a sense of direction by means of the arrow heads.
A)True
B)False
Q7) How are projects defined?
21
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Chapter 19: Change Management With Faster Project Completions
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Q1) Design studies to replace workers with faster machines for tedious and repetitive work are part of an organization's _____.
A)vision
B)dissatisfaction
C)practical first steps
D)P/OM's benchmarking
Q2) Why have benchmarks been criticized?
Q3) Successful reengineering emphasizes maximizing production flow rates,not balancing process flows.
A)True
B)False
Q4) Using quadrant differentiation,processes in quadrant I are the most important processes for delivering special competitively beneficial capabilities.They also have the greatest potential for improvement.
A)True
B)False
Q5) Define vision (V).What are synonyms for this term?
Q6) What are practical first steps (P) in change management?
Q7) What is meant by change management?
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Chapter 20: Sustainability Issues: Environment, Ethics, and Security
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Sample Questions
Q1) The worst form of ethical failure occurs when quality problems arise for customers because of employee self-interest.Management is part of the employee group.Boards of Directors are not but should be included in this statement.
A)True
B)False
Q2) What is remanufacturing? Discuss.
Q3) Most production people have been accustomed to working with mobile service robots for over one hundred years as they navigate corridors and carry material between stations.
A)True
B)False
Q4) When office space is reengineered using hoteling,the square feet needed per employee may decrease from 200 to 48.What is the percent decline in space?
Q5) _____ refers to the take-back,send-back,and receive-back portions of the supply chain.
A)Reverse logistics
B)Reverse engineering
C)Shipping and handling
D)Repair and refurbishment
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