Long-term relationships with key supply chain participants

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Reference no: EM131965154

1) The difference between manufacturer's desire to produce large quantities of a limited variety of items vs. a customer's desire to demand small quantities of numerous items best describes which of the following?

       Discrepancy in space

       Discrepancy in quantity and assortment

       Discrepancy in time

       Discrepancy in logistics

2) Developing long-term relationships with key supply chain participants (e.g., consumers, intermediate customers, and suppliers) can be best described as:

       Relationship marketing

       Transactional marketing

       Niche marketing

       Micromarketing

3) According to the textbook, if orders shipped complete, average on-time delivery, average damage-free delivery, and average correct document are each 97 percent, the probability that any order will be delivered with no defects is approximately:

       100%

       78.5%

       98.5%

       88.5%

4) According to Figure 3.2 matrix on textbook p. 69, a customer with a medium expectation will be dissatisfied if the supplier's performance is:

       Low

       Medium

       High

       Ultra-high

5) One of the limitations of emphasizing customer satisfaction is that:

       Satisfied customers are always happy customers.

       Satisfied customers are always loyal customers.

       Firms always remember that satisfaction lies in the expectation and perception of individual customers.

       Satisfied customers are not necessarily loyal customers.

6) An example of a value-added service from a hair stylist might be:

       Offering a competitive price

       Cutting your hair as requested

       Coming to your place of business to do your hair

       Keeping your appointment time

7) Customer relation management (CRM) incorporates all of the following EXCEPT:

       Efforts to accommodate the needs and requirements of individual customers

       CRM technology and software

       Call centers

       One-time sales transactions with no attempt at after sales follow-up

8) ______________ is a process by which a supplier manages both the product mix and shelf quantities for major product categories of a retailer.

       Product placement

       Category management

       Market segmentation

       Pareto analysis

9) Typical perfect order failures include all of the following EXCEPT:

       Late or early delivery

       Wrong items

       Late customer payment

       Damaged items

10) According to the textbook, purchased goods and services account for approximately _____ of every sales dollar.

       15 cents

       20 cents

       55 cents

       99 cents

11) The three major categories for the Components of Total Cost of Ownership include all of the following EXCEPT:

       Hypertransaction

       Pretransaction

       Transaction

       Posttransaction

12) Which of the following statements best describes the term "outsourcing"?

       A firm has decided not to produce an item or service internally

       A firm has decided to purchase an item exclusively from a foreign supplier

       A firm has decided to produce a component internally

       A firm has decided to purchase an item exclusively from a domestic supplier

13) All of the following are advantages of Volume Consolidation EXCEPT:

       Increases the buyer's negotiation strength over the supplier

       Allows the supplier to improves its economies of scale

       Makes it more likely that the supplier will invest more in capacity or processes

       Decreases the risk of a raw material/component shortage

14) A complex and expensive piece of manufacturing equipment would probably fall into which of the following Procurement Strategy Matrix boxes?

       Routine purchases

       Bottleneck purchases

       Leverage purchases

       Critical purchases

15) Paper clips, pens, staplers, and other office supplies would probably fall into which of the following Procurement Strategy Matrix boxes?

       Routine purchases

       Bottleneck purchases

       Leverage purchases

       Critical purchases

16) All of the following are valid reasons for implementing a supplier development process EXCEPT:

       The firm wishes to sole-source a product or service

       The firm needs a new product that no supplier currently provides

       The firm wants a more convenient and less costly source of supply

       A current supplier lacks sufficient capacity to meet the firm's demand

17) Which of the following categories for a supplier scorecard might receive more weight relative to other categories if the customer's production line has very little buffer stock and the costs of a line shutdown are enormous?

       Correct documentation

       Flexibility

       All shipments on time

       Communication

18) Which of the following categories for a supplier scorecard might receive more weight relative to other categories if the customer's production schedule changes frequently with the demand of its own customers?

       Correct documentation

       Flexibility

       All shipments on time

       Communication

19) The technical term that describes the transmission of information between a firm and its suppliers is called:

       Economic Order Quantity (EOQ)

       Material Requirements Planning (MRP)

       Total Quality Management (TQM)

       Electronic Data Interchange (EDI)

Reference no: EM131965154

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