Coyle Supply Chain Management: A Logistics Perspective, 9th Edition
Chapter 1 Test Bank
1-7
,CoylewqSupplywqChainwqManagement:wqAwqLogisticswqPerspective,wq9thwqEdi
tion
Chapter 1 Test Bank
CHAPTERw q 1w q TESTw q QUESTIONS
True-False
1. Thewqfirstwqdecadewqofwqthewqtwenty-
firstwqcenturywqwaswqawqperiodwqofwqrapidwqchangewqforwqorganizations,wqespeciallywqbusinesses.
ANSWER:wqTrue,wqPagewq5
2. AwqkeywqelementwqinwqWal-
Mart’swqabilitywqtowqdiscountwqbrandwqnamewqproductswqwasw q anwqunderstandingw q ofwqthewqcriticalityw
qofwqefficiencywqinwqitswqlogisticswqandwqsupplywqchainwqsystem.
ANSWER:wqTrue,wqPagewq6
3. Globalizationwq haswq hadwqlittlewqeffectwq onwqconsumers.
ANSWER:wqFalse,wqPagewq7
4. Supplywqandwqdemandwqhaswqbecomewqlesswqvolatilewqaswqmanagerswqbecomewqmorewqadeptwqatwqco
ntrollingwqthewqelements.
ANSWER:wqFalse,wqPagewq8
5. Outsourcingwqiswqawqfairlywqnewwqconcept.
ANSWER:wqFalse,wqPagewq9
6. SABwqshouldwqexaminewqtheirwqoff-
shorewqpurchasingwqpolicy,wqevenwqthoughwqthewqproductswqarewqsourcedwqfromwqthewqU.S.
ANSWER:wqTrue,wqPagewq9
7. ItwqiswqexpectedwqthatwqsomewqorwqallwqofwqthewqBRICwqcountrieswq(Brazil,wqRussia,wqIndiawq&wqchina)wqw
illwqreplacewqthewqso-
calledwqVISTAwqcountrieswq(Vietnam,wqIndonesia,wqS.wqAfrica,wqTurkeywqandwqArgentina)aswqlow
wqcostwqproducerswqofwqvariouswqproductswqandwqservices.
ANSWER:w q False,wqPagewq9
8. ThewqworldwqeconomywqstillwqfavorswqthewqUnitedwqStateswqandwqEuropeanwqcountries,wqevenwqthou
ghwqChinawqandwqIndiawqcanwqparticipatewqinwqthewqglobalwqeconomywqmuchwqmorewqreadily.
ANSWER:wqFalse,wqPagewq10
9. ItwqiswqpredictedwqthatwqsocialwqnetworkswqsuchwqaswqFacebookwqandwqTwitterwqwillwqinfluencewqsupp
lywqchainswqbecausewqofwqtheirwqimpactwqonwqcustomerwqdemandwqandwqthewqspeedwqofwqinformation
wqtransfers.
ANSWER:wqTrue,wqPagewq10
10. ThewqU.S.wqtransportationwqsystemwqwaswqderegulatedwqinwqthewq1930swqandwq1940swqinwqresponsew
qtowqeconomicwqconditionswqandwqWorldwqWarwq2
ANSWER:wqFalse,wqPagewq12
11. Evenwqthoughwqtherewqarewqreferenceswqtowqsupplywqchainwqmanagementwqinwqthewq1980s,wqSCMwqd
idwqnotwqcapturewqthewqattentionwqofwqsenior-levelwqmanagementwquntilwqthewq1990s.
ANSWER:wqTrue,wqPagewq15
12. Supplyw q chainw q managersw q now q longerw q needw q tow q worryw q aboutw q suboptimizationw q inw q lightw q ofw q today’s
technology.
ANSWER:wqFalse,wqPagewq19
1-7
,CoylewqSupplywqChainwqManagement:wqAwqLogisticswqPerspective,wq9thwqEdi
tion
Chapter 1 Test Bank
MultiplewqChoice
13. Mostwqretailerswqarewqessentiallywqsupplywqchainwqcompanieswqsince
A.w q theywqdominatewqthewqconsumerwqmarket.
b. ownwqtheirwqwarehouseswqandwqtrucks.
c. theywqbuywqproductswqproducedwqbywqothers.
d. engagewqinwqoff-shorewqsourcing.
ANSWER:wqc,wqPagewq6
14. Whichwqofwqthewqbelowwqiswqnotwqonewqofwqthewqexternalwqforceswqdrivingwqthewqratewq
ofwqchangewqandwqshapingwqourwqeconomicwqandwqpoliticalwqlandscape?
a. Governmentwqpolicy
b. Technology
c. Environmentalwqconcerns
d. Globalization
ANSWER:wqc,wqPagewq7
15. Outsourcingwq involves
a. movingwqcompanywqfacilitieswq awaywqfromwqthewq homewq office.
b. hiringwqforeignwqnationalswq towq managewqpartswq ofwq thewqbusiness.
c. obtainingwqmaterials,wqparts,wqandwqproductswqfromwqotherwqcompanies.
d. buildingwqawqfactorywqinwqanotherwqcountry.
ANSWER:wqc,wqPagewq9
16. Somewqindividualswqdescribewqthewqcurrentwqconsumerwqaswqthewq―clickwqhere‖wqgen
erationwqbecause
a. wewqallwqhavewqInternetwqaccess.
b. wewqnowqlongerwqwaitwqforwqinformationwqtowqbewq“pushedwqout”wqtowqus.
c. wewqbuywqsowqmuchwqmerchandisewqonwqline.
d. wewqtakewqlittlewqtimewqtowqmakewqpurchasingwqdecisions.
ANSWER:wqb,wqPagewq10
17. Thewqdemographicswqofwqourwqsocietywqhaswqchangedwqbecause
a. thewq―BabywqBoom‖wqgenerationwqiswqnowwqturningwq60.
b. ofwqthewqincreasewqinwqtwo-careerwqfamilieswqandwqsingle-parentwqhouseholds.
c. ofwqimmigration.
d. birthwqrateswqhavewqchanged.
ANSWER:wqb,wqPagewq12
18. ThewqSupplywqChainwqConcept
a. iswqverywqnewwqandwqconsideredwqcuttingwqedgewqtechnology.
1-7
, CoylewqSupplywqChainwqManagement:wqAwqLogisticswqPerspective,wq9thwqEdi
tion
Chapter 1 Test Bank
b. iswqhighlywqdependentwqofwqcomputerization.
c. iswqnotwqalwayswqwellwqunderstoodwqbywqseniorwq managers.
d. developedwqfromwqthewqpreviouswqPhysicalwqDistributionwqconcept.
ANSWER:wqd,wqPagewq15
19. Logistics,wqinwqitswqsimplestwqform,
a. iswqawqmilitarywqterm,wqaswqitwqwaswqdevelopedwqoriginallywqtowqsupplywqthewqbattlefield.
b. combineswqinboundwqlogisticswqwithwqthewqoutboundwqlogisticswqofwqphysicalwqdistribution.
c. iswqanotherwqtermwqforwqtransportationwqmanagement.
d. doeswqnotwqinvolvewqcustomerwqservicewqorwqotherwqrelatedwqfunctions.
ANSWER:wqb,wqPagewq16
20. Onewqofwqthewqmajorwqchallengeswqofwqsupplywqchainwqmanagementwqis
a. forwardwqbuying.
b. maintainingwqthewqvisibilitywqofwqinventory.
c. buildingwqsafety-stockwqinventory.
d. Pushingwqinventorywqbackwqtowqvendors.
ANSWER:wqb,wqPage18
21. WhichwqofwqthesewqflowswqonlywqonewqwaywqaswqillustratedwqinwqFigurewq1-4?
a. information
b. productswqandwqservices
c. financials
d. Nonewqofwqthesewqanswers
ANSWER:wqd,wqPagewq18
22. Traditionally,wqinformationwqhaswqbeenwqviewedwqaswqflowingwqinwqthewqoppositewqdirectionwqof
w q products,wqthatwqis,wqfromwqthewqmarket/customerwqbackwqtowqthewqwholesalers,wqmanufactur
ers,wqandwqvendors.
a. Thiswqiswqstillwqtruewqandwqhaswqnotwqchanged.
b. Computerizationwqhaswqgreatlywqincreasedwqthewqflowwqofwqinformationwqfromwqthewqsource.
c. Thewq―BigwqBox‖wqstoreswqhavewqdevelopedwqtheirwqownwqsources.
d. Nonewqofwqthesewqanswers
ANSWER:wqd,wqPagewq21
23. OnewqofwqthewqfourwqsupplywqchainwqflowswqinwqFigurewq1wq–
wq8wqthatwqhaswqreceivedwqincreasedwqattentionwqfromwqsupplywqchainwqmanagerswqduewqtowqth
ewqgrowthwqinwqtechnologywqis:
a. Productwqflow
b. Informationwqflow
c. Cashwqflow
1-7
Chapter 1 Test Bank
1-7
,CoylewqSupplywqChainwqManagement:wqAwqLogisticswqPerspective,wq9thwqEdi
tion
Chapter 1 Test Bank
CHAPTERw q 1w q TESTw q QUESTIONS
True-False
1. Thewqfirstwqdecadewqofwqthewqtwenty-
firstwqcenturywqwaswqawqperiodwqofwqrapidwqchangewqforwqorganizations,wqespeciallywqbusinesses.
ANSWER:wqTrue,wqPagewq5
2. AwqkeywqelementwqinwqWal-
Mart’swqabilitywqtowqdiscountwqbrandwqnamewqproductswqwasw q anwqunderstandingw q ofwqthewqcriticalityw
qofwqefficiencywqinwqitswqlogisticswqandwqsupplywqchainwqsystem.
ANSWER:wqTrue,wqPagewq6
3. Globalizationwq haswq hadwqlittlewqeffectwq onwqconsumers.
ANSWER:wqFalse,wqPagewq7
4. Supplywqandwqdemandwqhaswqbecomewqlesswqvolatilewqaswqmanagerswqbecomewqmorewqadeptwqatwqco
ntrollingwqthewqelements.
ANSWER:wqFalse,wqPagewq8
5. Outsourcingwqiswqawqfairlywqnewwqconcept.
ANSWER:wqFalse,wqPagewq9
6. SABwqshouldwqexaminewqtheirwqoff-
shorewqpurchasingwqpolicy,wqevenwqthoughwqthewqproductswqarewqsourcedwqfromwqthewqU.S.
ANSWER:wqTrue,wqPagewq9
7. ItwqiswqexpectedwqthatwqsomewqorwqallwqofwqthewqBRICwqcountrieswq(Brazil,wqRussia,wqIndiawq&wqchina)wqw
illwqreplacewqthewqso-
calledwqVISTAwqcountrieswq(Vietnam,wqIndonesia,wqS.wqAfrica,wqTurkeywqandwqArgentina)aswqlow
wqcostwqproducerswqofwqvariouswqproductswqandwqservices.
ANSWER:w q False,wqPagewq9
8. ThewqworldwqeconomywqstillwqfavorswqthewqUnitedwqStateswqandwqEuropeanwqcountries,wqevenwqthou
ghwqChinawqandwqIndiawqcanwqparticipatewqinwqthewqglobalwqeconomywqmuchwqmorewqreadily.
ANSWER:wqFalse,wqPagewq10
9. ItwqiswqpredictedwqthatwqsocialwqnetworkswqsuchwqaswqFacebookwqandwqTwitterwqwillwqinfluencewqsupp
lywqchainswqbecausewqofwqtheirwqimpactwqonwqcustomerwqdemandwqandwqthewqspeedwqofwqinformation
wqtransfers.
ANSWER:wqTrue,wqPagewq10
10. ThewqU.S.wqtransportationwqsystemwqwaswqderegulatedwqinwqthewq1930swqandwq1940swqinwqresponsew
qtowqeconomicwqconditionswqandwqWorldwqWarwq2
ANSWER:wqFalse,wqPagewq12
11. Evenwqthoughwqtherewqarewqreferenceswqtowqsupplywqchainwqmanagementwqinwqthewq1980s,wqSCMwqd
idwqnotwqcapturewqthewqattentionwqofwqsenior-levelwqmanagementwquntilwqthewq1990s.
ANSWER:wqTrue,wqPagewq15
12. Supplyw q chainw q managersw q now q longerw q needw q tow q worryw q aboutw q suboptimizationw q inw q lightw q ofw q today’s
technology.
ANSWER:wqFalse,wqPagewq19
1-7
,CoylewqSupplywqChainwqManagement:wqAwqLogisticswqPerspective,wq9thwqEdi
tion
Chapter 1 Test Bank
MultiplewqChoice
13. Mostwqretailerswqarewqessentiallywqsupplywqchainwqcompanieswqsince
A.w q theywqdominatewqthewqconsumerwqmarket.
b. ownwqtheirwqwarehouseswqandwqtrucks.
c. theywqbuywqproductswqproducedwqbywqothers.
d. engagewqinwqoff-shorewqsourcing.
ANSWER:wqc,wqPagewq6
14. Whichwqofwqthewqbelowwqiswqnotwqonewqofwqthewqexternalwqforceswqdrivingwqthewqratewq
ofwqchangewqandwqshapingwqourwqeconomicwqandwqpoliticalwqlandscape?
a. Governmentwqpolicy
b. Technology
c. Environmentalwqconcerns
d. Globalization
ANSWER:wqc,wqPagewq7
15. Outsourcingwq involves
a. movingwqcompanywqfacilitieswq awaywqfromwqthewq homewq office.
b. hiringwqforeignwqnationalswq towq managewqpartswq ofwq thewqbusiness.
c. obtainingwqmaterials,wqparts,wqandwqproductswqfromwqotherwqcompanies.
d. buildingwqawqfactorywqinwqanotherwqcountry.
ANSWER:wqc,wqPagewq9
16. Somewqindividualswqdescribewqthewqcurrentwqconsumerwqaswqthewq―clickwqhere‖wqgen
erationwqbecause
a. wewqallwqhavewqInternetwqaccess.
b. wewqnowqlongerwqwaitwqforwqinformationwqtowqbewq“pushedwqout”wqtowqus.
c. wewqbuywqsowqmuchwqmerchandisewqonwqline.
d. wewqtakewqlittlewqtimewqtowqmakewqpurchasingwqdecisions.
ANSWER:wqb,wqPagewq10
17. Thewqdemographicswqofwqourwqsocietywqhaswqchangedwqbecause
a. thewq―BabywqBoom‖wqgenerationwqiswqnowwqturningwq60.
b. ofwqthewqincreasewqinwqtwo-careerwqfamilieswqandwqsingle-parentwqhouseholds.
c. ofwqimmigration.
d. birthwqrateswqhavewqchanged.
ANSWER:wqb,wqPagewq12
18. ThewqSupplywqChainwqConcept
a. iswqverywqnewwqandwqconsideredwqcuttingwqedgewqtechnology.
1-7
, CoylewqSupplywqChainwqManagement:wqAwqLogisticswqPerspective,wq9thwqEdi
tion
Chapter 1 Test Bank
b. iswqhighlywqdependentwqofwqcomputerization.
c. iswqnotwqalwayswqwellwqunderstoodwqbywqseniorwq managers.
d. developedwqfromwqthewqpreviouswqPhysicalwqDistributionwqconcept.
ANSWER:wqd,wqPagewq15
19. Logistics,wqinwqitswqsimplestwqform,
a. iswqawqmilitarywqterm,wqaswqitwqwaswqdevelopedwqoriginallywqtowqsupplywqthewqbattlefield.
b. combineswqinboundwqlogisticswqwithwqthewqoutboundwqlogisticswqofwqphysicalwqdistribution.
c. iswqanotherwqtermwqforwqtransportationwqmanagement.
d. doeswqnotwqinvolvewqcustomerwqservicewqorwqotherwqrelatedwqfunctions.
ANSWER:wqb,wqPagewq16
20. Onewqofwqthewqmajorwqchallengeswqofwqsupplywqchainwqmanagementwqis
a. forwardwqbuying.
b. maintainingwqthewqvisibilitywqofwqinventory.
c. buildingwqsafety-stockwqinventory.
d. Pushingwqinventorywqbackwqtowqvendors.
ANSWER:wqb,wqPage18
21. WhichwqofwqthesewqflowswqonlywqonewqwaywqaswqillustratedwqinwqFigurewq1-4?
a. information
b. productswqandwqservices
c. financials
d. Nonewqofwqthesewqanswers
ANSWER:wqd,wqPagewq18
22. Traditionally,wqinformationwqhaswqbeenwqviewedwqaswqflowingwqinwqthewqoppositewqdirectionwqof
w q products,wqthatwqis,wqfromwqthewqmarket/customerwqbackwqtowqthewqwholesalers,wqmanufactur
ers,wqandwqvendors.
a. Thiswqiswqstillwqtruewqandwqhaswqnotwqchanged.
b. Computerizationwqhaswqgreatlywqincreasedwqthewqflowwqofwqinformationwqfromwqthewqsource.
c. Thewq―BigwqBox‖wqstoreswqhavewqdevelopedwqtheirwqownwqsources.
d. Nonewqofwqthesewqanswers
ANSWER:wqd,wqPagewq21
23. OnewqofwqthewqfourwqsupplywqchainwqflowswqinwqFigurewq1wq–
wq8wqthatwqhaswqreceivedwqincreasedwqattentionwqfromwqsupplywqchainwqmanagerswqduewqtowqth
ewqgrowthwqinwqtechnologywqis:
a. Productwqflow
b. Informationwqflow
c. Cashwqflow
1-7
