INTRODUCTION TO SUPPLY CHAIN
MANAGEMENT - FINAL EXAM –
RUTGERS QUESTIONS AND
ANSWERS
Logistics: - Correct Answers -Is that part of supply chain management that plans,
implements, and controls the efficient, effective flow and storage of goods, services, and
related information, from point of origin to point of consumption, in order to meet
customer requirements
Logistics is Necessary to: - Correct Answers --Move goods and materials from suppliers
to buyers
-Move goods and materials between sites (internal and external)
-Move finished goods to the customer
Warehouse - Correct Answers -A facility used to store purchases, work-in-process
(WIP), and finished good inventory.
Warehousing - Correct Answers -Function that allows a company to receive, store,
breakdown, repackage, and distribute items to a manufacturing location, or finished
products to a customer.
Decisions that are driving warehouse management include: - Correct Answers -Site
selection, the number of warehouse facilities in the network, the layout of the
warehouse(s), and the methods of receiving, storing, retrieving, and distributing
products and materials.
Primary Functions of a Warehouse: (5 Functions) - Correct Answers -1. RECEIVING:
Physical receipt of material, identification, inspection for conformance with the
purchase order (quantity and damage), put-away, and preparation of receiving reports.
2. STORAGE:
The safe and secure retention of parts or products for future use or shipment.
3. PICKING:
, Withdrawing components from stock to make assemblies or finished goods, or to ship
to a customer.
4. PACKING:
Placing one or more items of an order into an appropriate container for safe shipping,
and marking and labeling the container with customer shipping destination data, and
other information that may be required.
5. SHIPPING:
Outgoing shipment of parts, components, and products. Includes packaging, marking,
weighing, and loading for shipment.
Other Functions of a Warehouse: - Correct Answers -QUALITY INSPECTIONS:
Incoming and outgoing.
REPACKAGING:
For specific customer orders.
ASSEMBLY OPERATION:
Warehouse operation that puts products together with other items/components before
shipping them out to the final customer.
(EXAMPLES: Literature, Spare Parts, Advertising Materials)
Types of Warehouses - Correct Answers -OWNERSHIP TYPES:
-Public Warehouses
-Contract Warehouses
-Private Warehouses
FUNCTION TYPES:
-Consolidation
-Break Bulk
-Cross-Docking
TYPES OF WAREHOUSE OWNERSHIP:
PUBLIC - Correct Answers -A business that provides storage and related warehouse
functions to companies on a short or long-term basis, generally from month-to-month.
-Own their own equipment and hire their own staff to manage the facility.
-Fees are typically a combination of a monthly storage fee plus a pallet-in fee and a
pallet-out fee.
, (Note: fees will vary based on what is being stored and/or a variety of other factors such
as: Size and weight of the pallets, if they can be stacked, how fragile the product is,
value of goods and hazards associated with the goods).
{There may also be some document and account management fees}
TYPES OF WAREHOUSE OWNERSHIP:
PUBLIC (Advantages) - Correct Answers --No capital investment or property taxes
-Flexibility:
+Can be short or long term contract+
+For seasonal products+
+Add storage capacity even on short notice
-Lower costs and reduced risk
-Access to special features and services:
+Temperature-controlled storage
+Customer Service, Inventory Ordering, etc.
+Office space for customer's sales, accounting, etc.
TYPES OF WAREHOUSE OWNERSHIP:
PUBLIC (Disadvantages) - Correct Answers --Potential for incompatible computer
systems
-Specialized services may not be what is required/needed
-Space may not be available when/where needed
TYPES OF WAREHOUSE OWNERSHIP
CONTRACT - Correct Answers -A variation of public warehousing that handles the
shipping, receiving, and storage of goods on a CONTRACT BASIS
-The contract can be for an entire building, or for a defined portion within a building
-Usually requires a client to commit to services for years rather than months
-The fee structure may be fixed cost, cost-plus, or a combination of both.
-The company providing the space handles the employees, equipment, and
maintenance.
TYPES OF WAREHOUSE OWNERSHIP:
MANAGEMENT - FINAL EXAM –
RUTGERS QUESTIONS AND
ANSWERS
Logistics: - Correct Answers -Is that part of supply chain management that plans,
implements, and controls the efficient, effective flow and storage of goods, services, and
related information, from point of origin to point of consumption, in order to meet
customer requirements
Logistics is Necessary to: - Correct Answers --Move goods and materials from suppliers
to buyers
-Move goods and materials between sites (internal and external)
-Move finished goods to the customer
Warehouse - Correct Answers -A facility used to store purchases, work-in-process
(WIP), and finished good inventory.
Warehousing - Correct Answers -Function that allows a company to receive, store,
breakdown, repackage, and distribute items to a manufacturing location, or finished
products to a customer.
Decisions that are driving warehouse management include: - Correct Answers -Site
selection, the number of warehouse facilities in the network, the layout of the
warehouse(s), and the methods of receiving, storing, retrieving, and distributing
products and materials.
Primary Functions of a Warehouse: (5 Functions) - Correct Answers -1. RECEIVING:
Physical receipt of material, identification, inspection for conformance with the
purchase order (quantity and damage), put-away, and preparation of receiving reports.
2. STORAGE:
The safe and secure retention of parts or products for future use or shipment.
3. PICKING:
, Withdrawing components from stock to make assemblies or finished goods, or to ship
to a customer.
4. PACKING:
Placing one or more items of an order into an appropriate container for safe shipping,
and marking and labeling the container with customer shipping destination data, and
other information that may be required.
5. SHIPPING:
Outgoing shipment of parts, components, and products. Includes packaging, marking,
weighing, and loading for shipment.
Other Functions of a Warehouse: - Correct Answers -QUALITY INSPECTIONS:
Incoming and outgoing.
REPACKAGING:
For specific customer orders.
ASSEMBLY OPERATION:
Warehouse operation that puts products together with other items/components before
shipping them out to the final customer.
(EXAMPLES: Literature, Spare Parts, Advertising Materials)
Types of Warehouses - Correct Answers -OWNERSHIP TYPES:
-Public Warehouses
-Contract Warehouses
-Private Warehouses
FUNCTION TYPES:
-Consolidation
-Break Bulk
-Cross-Docking
TYPES OF WAREHOUSE OWNERSHIP:
PUBLIC - Correct Answers -A business that provides storage and related warehouse
functions to companies on a short or long-term basis, generally from month-to-month.
-Own their own equipment and hire their own staff to manage the facility.
-Fees are typically a combination of a monthly storage fee plus a pallet-in fee and a
pallet-out fee.
, (Note: fees will vary based on what is being stored and/or a variety of other factors such
as: Size and weight of the pallets, if they can be stacked, how fragile the product is,
value of goods and hazards associated with the goods).
{There may also be some document and account management fees}
TYPES OF WAREHOUSE OWNERSHIP:
PUBLIC (Advantages) - Correct Answers --No capital investment or property taxes
-Flexibility:
+Can be short or long term contract+
+For seasonal products+
+Add storage capacity even on short notice
-Lower costs and reduced risk
-Access to special features and services:
+Temperature-controlled storage
+Customer Service, Inventory Ordering, etc.
+Office space for customer's sales, accounting, etc.
TYPES OF WAREHOUSE OWNERSHIP:
PUBLIC (Disadvantages) - Correct Answers --Potential for incompatible computer
systems
-Specialized services may not be what is required/needed
-Space may not be available when/where needed
TYPES OF WAREHOUSE OWNERSHIP
CONTRACT - Correct Answers -A variation of public warehousing that handles the
shipping, receiving, and storage of goods on a CONTRACT BASIS
-The contract can be for an entire building, or for a defined portion within a building
-Usually requires a client to commit to services for years rather than months
-The fee structure may be fixed cost, cost-plus, or a combination of both.
-The company providing the space handles the employees, equipment, and
maintenance.
TYPES OF WAREHOUSE OWNERSHIP:
