SCM 300 DAVILA ASU FINAL EXAM Questions with Correct
Answers (Grade A+)
Question 1: What is a process?
Answer: mini supply chain within an organization. tiny cells in the bones Any activity or group of activities
that takes an input, adds value to it, and provides an output to an internal or external customer.
Question 2: recipe for pizza example
Answer: Recipe = business process manage from afar guiding someone to success
Question 3: Process Maps (Flowcharts)
Answer: A diagram made up of a series of symbols that maps a process. Each symbol represents a different
step or activity in the process. The chart aids in building a quality process and identifying points of concern
in terms of managing and delivering quality.
Question 4: Critical Paths
Answer: longest path out of all options
Question 5: Crashing
Answer: when you lower the length of your critical path
Question 6: Process Maps symbols
Answer: Rectangle: task or operation (what size pizza) Diamond: decision point (pickup or delivery) answer
takes us in one direction or the other skinny Arrow: which direction things go Oval: Terminator, entry or
exit point Rectangle within rectangle: process within it's own (hand order to people making pizza, and then
have to wait until its done to be boxed up.) Box Arrow: transportation Circle: inspection Box D: delay
Connector: move parts to different pages.
Question 7: Series vs. Parallel
Answer: Use Series for pizza example, there's only one way to go. Parallel there's lots of ways to go
Question 8: Why do we measure?
Answer: can motivate good behavior help us manage from afar help us manage large numbers of resources,
outcomes makes decisions help identify/establish standards - design and performance
Page 1
,Question 9: Whats a good metric?
Answer: metrics that motivate companies to work toward outcomes that favor both sides of a supply chain
relationship is vital. measurable easily understood attainable
Question 10: types of metrics
Answer: descriptive - what happened? predictive - what could happen? prescriptive - what should we do?
discovery - things we don't know, weren't looking for. questions and answers we didn't know existed.
Question 11: bad metric
Answer: GPA - plague on education can cause poor outcomes lower morale processes not being manageable
high costs and low efficiency when employees push for perfection
Question 12: Process Velocity
Answer: A measure of how long a unit sits in a process versus the amount of work time that is expended on
the unit. optimal time is when it doesn't sit in inventory. 1.0 process velocity
Question 13: Capacity Utilization
Answer: A ratio of the amount of product produced by a manufacturing process versus the maximum
capacity of that facility. what they're producing/what they can produce
Question 14: Cash to Cash Cycle
Answer: A measure of the number days between the time a company pays their supplier for inventory and
the time that same company is paid for the same inventory by their customer.
Question 15: Quality
Answer: The ability of a product or service to meet a consumer's expectations. products vs services
Question 16: Dimensions of Quality (cars, phones, clothing, tv)
Answer: performance reliability durability features aesthetics reputation/brand serviceability service
response
Question 17: Dimensions of quality: service
Answer: time timely complete accurate responsive courtesy consistent accessible convenient
Page 2
, Question 18: Awards and Certifications
Answer: Some organizations utilize certifications and awards to self-assess and also to motivate employees
to focus on quality within the organization ISO 9000 - international quality certification that helps orgs to
understand the basics of quality management.
Question 19: TQM
Answer: Total Quality Management one of the oldest As the name would suggest, Total Quality
Management seeks to address the management of quality at all levels of an organization and/ or supply
chain.
Question 20: Benchmarking
Answer: Benchmarking is a process whereby companies compare their practices and performance
measurements to those of other companies. Has 4 steps: Identify area to benchmark Identify Leaders
Contact Leaders, Gather Data Analyze, Act, Follow-up
Question 21: Six Sigma
Answer: Six Sigma is a quality program that was developed by Motorola in the 1980' s and has been used
widely around the world since the 1990' s. This program strives for the complete elimination of defects. The
program uses different techniques and quality tools to assess and improve business processes. The Six
Sigma program requires integrated efforts where teams from different parts of a company work to identify
root causes and then develop solutions. One of the keys to maintaining such strict quality standards is that
Six Sigma demands processes that are extremely consistent, thus they have very little variation.
Question 22: Reliability and Reliability with Backups
Answer: Reliability is a measure of the percentage of time a system or product operates successfully.
Reliability with a back-up Sometimes a product can utilize a back-up component when the primary
component is in an unreliable state.
Question 23: Condom Reliability Example
Answer: 50 condoms, what's the probability that one will be unreliable? (0.98)^50 = 36.4% all 50 are
reliable. so that means that 63.6% of the time one of the 50 will be unreliable
Question 24: Reliability Example Pool Cleaner
Answer: What are the odds that all 35 parts will be working 99% of the time? (.99)^35 = 70.3% reliable
Page 3
Answers (Grade A+)
Question 1: What is a process?
Answer: mini supply chain within an organization. tiny cells in the bones Any activity or group of activities
that takes an input, adds value to it, and provides an output to an internal or external customer.
Question 2: recipe for pizza example
Answer: Recipe = business process manage from afar guiding someone to success
Question 3: Process Maps (Flowcharts)
Answer: A diagram made up of a series of symbols that maps a process. Each symbol represents a different
step or activity in the process. The chart aids in building a quality process and identifying points of concern
in terms of managing and delivering quality.
Question 4: Critical Paths
Answer: longest path out of all options
Question 5: Crashing
Answer: when you lower the length of your critical path
Question 6: Process Maps symbols
Answer: Rectangle: task or operation (what size pizza) Diamond: decision point (pickup or delivery) answer
takes us in one direction or the other skinny Arrow: which direction things go Oval: Terminator, entry or
exit point Rectangle within rectangle: process within it's own (hand order to people making pizza, and then
have to wait until its done to be boxed up.) Box Arrow: transportation Circle: inspection Box D: delay
Connector: move parts to different pages.
Question 7: Series vs. Parallel
Answer: Use Series for pizza example, there's only one way to go. Parallel there's lots of ways to go
Question 8: Why do we measure?
Answer: can motivate good behavior help us manage from afar help us manage large numbers of resources,
outcomes makes decisions help identify/establish standards - design and performance
Page 1
,Question 9: Whats a good metric?
Answer: metrics that motivate companies to work toward outcomes that favor both sides of a supply chain
relationship is vital. measurable easily understood attainable
Question 10: types of metrics
Answer: descriptive - what happened? predictive - what could happen? prescriptive - what should we do?
discovery - things we don't know, weren't looking for. questions and answers we didn't know existed.
Question 11: bad metric
Answer: GPA - plague on education can cause poor outcomes lower morale processes not being manageable
high costs and low efficiency when employees push for perfection
Question 12: Process Velocity
Answer: A measure of how long a unit sits in a process versus the amount of work time that is expended on
the unit. optimal time is when it doesn't sit in inventory. 1.0 process velocity
Question 13: Capacity Utilization
Answer: A ratio of the amount of product produced by a manufacturing process versus the maximum
capacity of that facility. what they're producing/what they can produce
Question 14: Cash to Cash Cycle
Answer: A measure of the number days between the time a company pays their supplier for inventory and
the time that same company is paid for the same inventory by their customer.
Question 15: Quality
Answer: The ability of a product or service to meet a consumer's expectations. products vs services
Question 16: Dimensions of Quality (cars, phones, clothing, tv)
Answer: performance reliability durability features aesthetics reputation/brand serviceability service
response
Question 17: Dimensions of quality: service
Answer: time timely complete accurate responsive courtesy consistent accessible convenient
Page 2
, Question 18: Awards and Certifications
Answer: Some organizations utilize certifications and awards to self-assess and also to motivate employees
to focus on quality within the organization ISO 9000 - international quality certification that helps orgs to
understand the basics of quality management.
Question 19: TQM
Answer: Total Quality Management one of the oldest As the name would suggest, Total Quality
Management seeks to address the management of quality at all levels of an organization and/ or supply
chain.
Question 20: Benchmarking
Answer: Benchmarking is a process whereby companies compare their practices and performance
measurements to those of other companies. Has 4 steps: Identify area to benchmark Identify Leaders
Contact Leaders, Gather Data Analyze, Act, Follow-up
Question 21: Six Sigma
Answer: Six Sigma is a quality program that was developed by Motorola in the 1980' s and has been used
widely around the world since the 1990' s. This program strives for the complete elimination of defects. The
program uses different techniques and quality tools to assess and improve business processes. The Six
Sigma program requires integrated efforts where teams from different parts of a company work to identify
root causes and then develop solutions. One of the keys to maintaining such strict quality standards is that
Six Sigma demands processes that are extremely consistent, thus they have very little variation.
Question 22: Reliability and Reliability with Backups
Answer: Reliability is a measure of the percentage of time a system or product operates successfully.
Reliability with a back-up Sometimes a product can utilize a back-up component when the primary
component is in an unreliable state.
Question 23: Condom Reliability Example
Answer: 50 condoms, what's the probability that one will be unreliable? (0.98)^50 = 36.4% all 50 are
reliable. so that means that 63.6% of the time one of the 50 will be unreliable
Question 24: Reliability Example Pool Cleaner
Answer: What are the odds that all 35 parts will be working 99% of the time? (.99)^35 = 70.3% reliable
Page 3
