SCM EXAM 2 QUESTIONS WITH
CORRECT ANSWERS
Whiche3ofe3thee3followinge3ise3NOTe3ae3goale3ofe3JITe3partnerships?
a.e3removale3ofe3unnecessarye3activities
b.e3removale3ofe3in-plante3inventory
c.e3removale3ofe3in-transite3inventory
d.e3obtaine3improvede3qualitye3ande3reliability
e.e3alle3ofe3thee3abovee3aree3goalse3ofe3JITe3partnershipse3-e3ANS--
e)e3alle3ofe3thee3abovee3aree3goalse3ofe3JITe3partnerships
Whiche3onee3ofe3thee3followinge3ise3ae3concerne3expressede3bye3suppliers?
a.e3eliminatione3ofe3in-plante3inventory
b.e3deliverye3toe3thee3pointe3ofe3use
c.e3productione3withe3zeroe3defects
d.e3largee3lote3sizes
e.e3customers'e3infrequente3engineeringe3changese3-e3ANS--
c.e3productione3withe3zeroe3defects
Whiche3onee3ofe3thee3followinge3ise3note3ae3concerne3ofe3supplierse3ase3theye3preparee3toe3ent
ere3intoe3JITe3partnerships?
a.e3supplierse3feele3thate3theye3woulde3bee3lesse3ate3riske3ife3theye3contractede3withe3moree3tha
ne3onee3customer
b.e3supplierse3aree3concernede3thate3customerse3wille3presente3frequente3engineeringe3chan
gese3withe3inadequatee3timee3toe3deale3withe3them
c.e3supplierse3feele3thate3theire3processese3aree3suitede3fore3largere3lote3sizese3thane3thee3cust
omere3wants
d.e3supplierse3aree3concernede3thate3frequente3deliverye3ofe3smalle3quantitiese3ise3economica
llye3prohibitive
e.e3alle3ofe3thee3abovee3represente3JITe3concernse3-e3ANS--e.e3alle3ofe3thee3above
Whiche3onee3ofe3thee3followinge3ise3note3ae3layoute3tactice3ine3ae3JITe3environment?
a.e3worke3cellse3fore3familiese3ofe3products
b.e3fixede3equipment
c.e3minimizinge3distance
d.e3littlee3spacee3fore3inventory
e.e3poka-yokee3devicese3-e3ANS--b.e3fixede3equipment
Whiche3ofe3thee3followe3ise3thee3authore3ofe3thee3phrasee3"inventorye3ise3evil"?
a.e3Pokee3Yoke
b.e3Pate3"Keiretsu"e3Morita
c.e3Kanbae3Polka
d.e3Shigeoe3Shingo
,e.e3nonee3ofe3thee3abovee3-e3ANS--d.e3Shigeoe3Shingo
Ae3firme3wantse3toe3develope3ae3levele3materiale3usee3schedulee3basede3one3thee3followinge3d
ata.e3Whate3shoulde3bee3sete3upe3cost?e3
Desirede3lote3sizee3=e360
Annuale3demande3=e340,000
Holdinge3coste3=e3$20e3pere3unite3pere3year
Dailye3productione3ratee3=e3320
Worke3dayse3pere3yeare3=e3250
a.e3$.45
b.e3$4.5
c.e3$45
d.e3$450
e.e3$500e3-e3ANS--a.e3$0.45
Ae3producte3hase3annuale3demande3ofe3100,000e3units.e3Thee3plante3managere3wantse3produ
ctione3toe3followe3ae34e3houre3cycle.e3Basede3one3thee3followinge3data,e3whate3setupe3coste3will
e3enablee3thee3desirede3productione3cycle?e3
d=400e3pere3daye3(250e3dayse3pere3year),e3p=4000e3unitese3pere3day,e3H=$40e3pere3unite3pere
3year,e3ande3Q=200e3(demande3fore3foure3hours,e3halfe3ae3day)
a.e3$2.00
b.e3$7,20
c.e3$18
d.e3$64
e.e3$1036.80e3-e3ANS--b.e3$7.20
Throughpute3measuree3thee3time
a.e3thate3ite3takese3toe3processe3onee3unite3ate3ae3station
b.e3betweene3thee3arrivale3ofe3rawe3materialse3ande3thee3shippinge3ofe3finishede3products
c.e3toe3producte3onee3wholee3producte3throughe3ane3emptye3systeme3
d.e3requirede3toe3movee3ordere3throughe3thee3productione3process,e3frome3receipte3toe3deliver
y
e.e3nonee3ofe3thee3abovee3-e3ANS--
d.e3requirede3toe3movee3ordere3throughe3thee3productione3process,e3frome3receipte3toe3deliver
y
Whiche3ofe3thee3followinge3ise3truee3regardinge3thee3stepse3toe3reducinge3sete3upe3times?
a.e3thee3firste3stepe3involvese3performinge3ase3muche3setupe3preparatione3ase3possiblee3while
e3thee3process/machinee3ise3operating
b.e3thee3cyclee3ofe3stepse3ise3repeatede3untile3setupe3timee3ise3reducede3undere3ae3minute
c.e3standardizede3toolinge3ande3standardizede3traininge3aree3includede3ine3thee3samee3step
d.e3improvede3materiale3handlinge3ande3movee3materiale3closere3aree3donee3beforee3operator
e3training
e.e3alle3ofe3thee3abovee3aree3truee3-e3ANS--e.e3alle3ofe3thee3abovee3aree3true
,Factorye3Xe3ise3tryinge3toe3usee3levele3usee3scheduling.e3Ife3theire3firste3targete3weree3toe3cute3t
hee3currente3lote3sizee3ine3half,e3bye3whate3proportione3muste3setupe3coste3change?
a.e3setupe3coste3muste3bee3cute3toe3onee3fourthe3itse3currente3value
b.e3sete3upe3coste3muste3alsoe3bee3cute3ine3halfe3frome3itse3currente3value
c.e3setupe3coste3muste3doublee3frome3itse3currente3value
d.e3cannote3bee3determined
e.e3nonee3ofe3thee3abovee3-e3ANS--
a.e3sete3upe3coste3muste3bee3cute3toe3onee3fourthe3itse3currente3value
Thee3numbere3ofe3kanbanse3is
a.e3one
b.e3thee3ratioe3ofe3thee3reordere3pointe3toe3containere3size
c.e3thee3samee3ase3EOQ
d.e3onee3fulle3day'se3production
e.e3nonee3ofe3thee3abovee3-e3ANS--b.e3thee3ratioe3ofe3thee3reordere3pointe3toe3containere3size
Whiche3ofe3thee3followinge3ise3note3ae3requiremente3ofe3JITe3systems?
a.e3qualitye3deliveriese3one3time
b.e3lowe3setupe3time
c.e3traininge3support
d.e3stronge3jobe3specialization
e.e3employeee3empowermente3-e3ANS--d.e3stronge3jobe3selection
Whiche3onee3ofe3thee3followinge3ise3ane3examplee3ofe3JITe3beinge3usede3fore3competitivee3adv
antage?
a.e3Jonese3companye3hase3decreasede3thee3numbere3ofe3jobe3classificationse3toe3juste3ae3few
b.e3lafourchee3metalse3increasese3thee3numbere3ofe3itse3supplierse3toe3bee3lesse3dependente3
one3juste3ae3few
c.e3houmae3fabricatorse3ise3proude3toe3announcee3thate3incominge3goodse3aree3inspected
d.e3acmee3companye3tellse3itse3maintenancee3departmente3toe3intervenee3onlye3ife3ae3machin
ee3breakse3down
e.e3caroe3specialtye3metals,e3inc.e3hase3builte3ae3new,e3hugee3warehousee3toe3storee3inventor
ye3-e3ANS--
a.e3Jonese3companye3hase3decreasede3thee3numbere3ofe3jobe3classificationse3toe3juste3ae3few
________ise3anye3deviatione3frome3thee3optimume3processe3thate3deliverse3perfecte3producte
3one3time,e3everye3timee3-e3ANS--Variability
Thee3______e3ise3thee3timee3betweene3thee3arrivale3ofe3rawe3materialse3ande3thee3shippinge3of
e3finishede3productse3-e3ANS--Manufacturinge3cyclee3time
Thee3maine3focuse3ofe3JITe3effortse3toe3reducee3investmente3ine3inventorye3requirese3______
_.e3-e3ANS--smalle3lote3sizese3ore3reductione3ofe3lote3size
______getse3supplierse3toe3accepte3responsibilitye3fore3satisfyinge3ende3customere3needs.e3-
e3ANS--Educatinge3suppliers
, _______e3involvese3schedulinge3productse3soe3thate3eache3day'se3productione3meetse3thee3d
emande3fore3thate3day.e3-e3ANS--Levele3scheduling
TPSe3standse3fore3_______.e3-e3ANS--Toyotae3productione3system
Thee35Se3terme3______e3includese3analysise3toe3improvee3worke3flowe3ande3reducee3wastede3
motion.e3-e3ANS--Simplify/straighten
Handlinge3materiale3moree3thane3oncee3ise3ane3examplee3ofe3thee3wastee3callede3______.e3-
e3ANS--Transportation
Fedexe3chosee3memphis,e3TNe3fore3itse3centrale3locatione3ore3"hub"e3primarilye3becausee3ofe3t
hee3incentivese3offerede3bye3thee3citye3ofe3memphise3ande3thee3statee3ofe3tennessee,e3T/Fe3-
e3ANS--false
Generally,e3thee3objectivee3ofe3thee3locaitone3decisione3ise3toe3maximizee3thee3firm'se3profit,e3
T/Fe3-e3ANS--False
Fore3ae3locatione3decision,e3labore3productivitye3maye3bee3importante3ine3isolation,e3bute3lowe3
wagee3ratese3aree3ae3moree3importante3criterion,e3T/Fe3-e3ANS--False
Thee3factor-ratinge3methode3cane3considere3bothe3tangiblee3ande3intangiblee3costs,e3T/Fe3-
e3ANS--True
Thee3center-of-
gravitye3methode3findse3thee3locatione3ofe3ae3centralizede3facility,e3suche3ase3ae3distributione3c
enter,e3thate3wille3maximizee3thee3organization'se3revenue,e3T/Fe3-e3ANS--False
Thee3transportatione3modele3calculatese3ane3optimale3shippinge3systeme3betweene3ae3centra
le3facilitye3ande3severale3outlyinge3customers,e3T/Fe3-e3ANS--False
Starbuckse3Coffee'se3approache3toe3choosinge3newe3cafee3locationse3ise3largelye3basede3one3
executivee3intuition,e3note3sophisticatede3modelse3ande3sitee3technology,e3T/Fe3-e3ANS--
False
Thee3locatione3decisionse3ofe3goods-
producinge3firmse3wille3generallye3paye3moree3attentione3toe3parking,e3access,e3ande3traffice3c
ountse3thane3wille3servicee3locatione3decisions,e3T/Fe3-e3ANS--False
Industriale3locatione3decisionse3oftene3assumee3thate3costse3aree3relativelye3constante3fore3ae3
givene3area,e3T/Fe3-e3ANS--Fale
FedExe3chosee3Memphise3ase3itse3USe3hube3because
a.e3it'se3thee3centere3ofe3thee3USe3geographically
b.e3thee3airporte3hase3relativelye3fewe3hourse3ofe3bade3weathere3closures
CORRECT ANSWERS
Whiche3ofe3thee3followinge3ise3NOTe3ae3goale3ofe3JITe3partnerships?
a.e3removale3ofe3unnecessarye3activities
b.e3removale3ofe3in-plante3inventory
c.e3removale3ofe3in-transite3inventory
d.e3obtaine3improvede3qualitye3ande3reliability
e.e3alle3ofe3thee3abovee3aree3goalse3ofe3JITe3partnershipse3-e3ANS--
e)e3alle3ofe3thee3abovee3aree3goalse3ofe3JITe3partnerships
Whiche3onee3ofe3thee3followinge3ise3ae3concerne3expressede3bye3suppliers?
a.e3eliminatione3ofe3in-plante3inventory
b.e3deliverye3toe3thee3pointe3ofe3use
c.e3productione3withe3zeroe3defects
d.e3largee3lote3sizes
e.e3customers'e3infrequente3engineeringe3changese3-e3ANS--
c.e3productione3withe3zeroe3defects
Whiche3onee3ofe3thee3followinge3ise3note3ae3concerne3ofe3supplierse3ase3theye3preparee3toe3ent
ere3intoe3JITe3partnerships?
a.e3supplierse3feele3thate3theye3woulde3bee3lesse3ate3riske3ife3theye3contractede3withe3moree3tha
ne3onee3customer
b.e3supplierse3aree3concernede3thate3customerse3wille3presente3frequente3engineeringe3chan
gese3withe3inadequatee3timee3toe3deale3withe3them
c.e3supplierse3feele3thate3theire3processese3aree3suitede3fore3largere3lote3sizese3thane3thee3cust
omere3wants
d.e3supplierse3aree3concernede3thate3frequente3deliverye3ofe3smalle3quantitiese3ise3economica
llye3prohibitive
e.e3alle3ofe3thee3abovee3represente3JITe3concernse3-e3ANS--e.e3alle3ofe3thee3above
Whiche3onee3ofe3thee3followinge3ise3note3ae3layoute3tactice3ine3ae3JITe3environment?
a.e3worke3cellse3fore3familiese3ofe3products
b.e3fixede3equipment
c.e3minimizinge3distance
d.e3littlee3spacee3fore3inventory
e.e3poka-yokee3devicese3-e3ANS--b.e3fixede3equipment
Whiche3ofe3thee3followe3ise3thee3authore3ofe3thee3phrasee3"inventorye3ise3evil"?
a.e3Pokee3Yoke
b.e3Pate3"Keiretsu"e3Morita
c.e3Kanbae3Polka
d.e3Shigeoe3Shingo
,e.e3nonee3ofe3thee3abovee3-e3ANS--d.e3Shigeoe3Shingo
Ae3firme3wantse3toe3develope3ae3levele3materiale3usee3schedulee3basede3one3thee3followinge3d
ata.e3Whate3shoulde3bee3sete3upe3cost?e3
Desirede3lote3sizee3=e360
Annuale3demande3=e340,000
Holdinge3coste3=e3$20e3pere3unite3pere3year
Dailye3productione3ratee3=e3320
Worke3dayse3pere3yeare3=e3250
a.e3$.45
b.e3$4.5
c.e3$45
d.e3$450
e.e3$500e3-e3ANS--a.e3$0.45
Ae3producte3hase3annuale3demande3ofe3100,000e3units.e3Thee3plante3managere3wantse3produ
ctione3toe3followe3ae34e3houre3cycle.e3Basede3one3thee3followinge3data,e3whate3setupe3coste3will
e3enablee3thee3desirede3productione3cycle?e3
d=400e3pere3daye3(250e3dayse3pere3year),e3p=4000e3unitese3pere3day,e3H=$40e3pere3unite3pere
3year,e3ande3Q=200e3(demande3fore3foure3hours,e3halfe3ae3day)
a.e3$2.00
b.e3$7,20
c.e3$18
d.e3$64
e.e3$1036.80e3-e3ANS--b.e3$7.20
Throughpute3measuree3thee3time
a.e3thate3ite3takese3toe3processe3onee3unite3ate3ae3station
b.e3betweene3thee3arrivale3ofe3rawe3materialse3ande3thee3shippinge3ofe3finishede3products
c.e3toe3producte3onee3wholee3producte3throughe3ane3emptye3systeme3
d.e3requirede3toe3movee3ordere3throughe3thee3productione3process,e3frome3receipte3toe3deliver
y
e.e3nonee3ofe3thee3abovee3-e3ANS--
d.e3requirede3toe3movee3ordere3throughe3thee3productione3process,e3frome3receipte3toe3deliver
y
Whiche3ofe3thee3followinge3ise3truee3regardinge3thee3stepse3toe3reducinge3sete3upe3times?
a.e3thee3firste3stepe3involvese3performinge3ase3muche3setupe3preparatione3ase3possiblee3while
e3thee3process/machinee3ise3operating
b.e3thee3cyclee3ofe3stepse3ise3repeatede3untile3setupe3timee3ise3reducede3undere3ae3minute
c.e3standardizede3toolinge3ande3standardizede3traininge3aree3includede3ine3thee3samee3step
d.e3improvede3materiale3handlinge3ande3movee3materiale3closere3aree3donee3beforee3operator
e3training
e.e3alle3ofe3thee3abovee3aree3truee3-e3ANS--e.e3alle3ofe3thee3abovee3aree3true
,Factorye3Xe3ise3tryinge3toe3usee3levele3usee3scheduling.e3Ife3theire3firste3targete3weree3toe3cute3t
hee3currente3lote3sizee3ine3half,e3bye3whate3proportione3muste3setupe3coste3change?
a.e3setupe3coste3muste3bee3cute3toe3onee3fourthe3itse3currente3value
b.e3sete3upe3coste3muste3alsoe3bee3cute3ine3halfe3frome3itse3currente3value
c.e3setupe3coste3muste3doublee3frome3itse3currente3value
d.e3cannote3bee3determined
e.e3nonee3ofe3thee3abovee3-e3ANS--
a.e3sete3upe3coste3muste3bee3cute3toe3onee3fourthe3itse3currente3value
Thee3numbere3ofe3kanbanse3is
a.e3one
b.e3thee3ratioe3ofe3thee3reordere3pointe3toe3containere3size
c.e3thee3samee3ase3EOQ
d.e3onee3fulle3day'se3production
e.e3nonee3ofe3thee3abovee3-e3ANS--b.e3thee3ratioe3ofe3thee3reordere3pointe3toe3containere3size
Whiche3ofe3thee3followinge3ise3note3ae3requiremente3ofe3JITe3systems?
a.e3qualitye3deliveriese3one3time
b.e3lowe3setupe3time
c.e3traininge3support
d.e3stronge3jobe3specialization
e.e3employeee3empowermente3-e3ANS--d.e3stronge3jobe3selection
Whiche3onee3ofe3thee3followinge3ise3ane3examplee3ofe3JITe3beinge3usede3fore3competitivee3adv
antage?
a.e3Jonese3companye3hase3decreasede3thee3numbere3ofe3jobe3classificationse3toe3juste3ae3few
b.e3lafourchee3metalse3increasese3thee3numbere3ofe3itse3supplierse3toe3bee3lesse3dependente3
one3juste3ae3few
c.e3houmae3fabricatorse3ise3proude3toe3announcee3thate3incominge3goodse3aree3inspected
d.e3acmee3companye3tellse3itse3maintenancee3departmente3toe3intervenee3onlye3ife3ae3machin
ee3breakse3down
e.e3caroe3specialtye3metals,e3inc.e3hase3builte3ae3new,e3hugee3warehousee3toe3storee3inventor
ye3-e3ANS--
a.e3Jonese3companye3hase3decreasede3thee3numbere3ofe3jobe3classificationse3toe3juste3ae3few
________ise3anye3deviatione3frome3thee3optimume3processe3thate3deliverse3perfecte3producte
3one3time,e3everye3timee3-e3ANS--Variability
Thee3______e3ise3thee3timee3betweene3thee3arrivale3ofe3rawe3materialse3ande3thee3shippinge3of
e3finishede3productse3-e3ANS--Manufacturinge3cyclee3time
Thee3maine3focuse3ofe3JITe3effortse3toe3reducee3investmente3ine3inventorye3requirese3______
_.e3-e3ANS--smalle3lote3sizese3ore3reductione3ofe3lote3size
______getse3supplierse3toe3accepte3responsibilitye3fore3satisfyinge3ende3customere3needs.e3-
e3ANS--Educatinge3suppliers
, _______e3involvese3schedulinge3productse3soe3thate3eache3day'se3productione3meetse3thee3d
emande3fore3thate3day.e3-e3ANS--Levele3scheduling
TPSe3standse3fore3_______.e3-e3ANS--Toyotae3productione3system
Thee35Se3terme3______e3includese3analysise3toe3improvee3worke3flowe3ande3reducee3wastede3
motion.e3-e3ANS--Simplify/straighten
Handlinge3materiale3moree3thane3oncee3ise3ane3examplee3ofe3thee3wastee3callede3______.e3-
e3ANS--Transportation
Fedexe3chosee3memphis,e3TNe3fore3itse3centrale3locatione3ore3"hub"e3primarilye3becausee3ofe3t
hee3incentivese3offerede3bye3thee3citye3ofe3memphise3ande3thee3statee3ofe3tennessee,e3T/Fe3-
e3ANS--false
Generally,e3thee3objectivee3ofe3thee3locaitone3decisione3ise3toe3maximizee3thee3firm'se3profit,e3
T/Fe3-e3ANS--False
Fore3ae3locatione3decision,e3labore3productivitye3maye3bee3importante3ine3isolation,e3bute3lowe3
wagee3ratese3aree3ae3moree3importante3criterion,e3T/Fe3-e3ANS--False
Thee3factor-ratinge3methode3cane3considere3bothe3tangiblee3ande3intangiblee3costs,e3T/Fe3-
e3ANS--True
Thee3center-of-
gravitye3methode3findse3thee3locatione3ofe3ae3centralizede3facility,e3suche3ase3ae3distributione3c
enter,e3thate3wille3maximizee3thee3organization'se3revenue,e3T/Fe3-e3ANS--False
Thee3transportatione3modele3calculatese3ane3optimale3shippinge3systeme3betweene3ae3centra
le3facilitye3ande3severale3outlyinge3customers,e3T/Fe3-e3ANS--False
Starbuckse3Coffee'se3approache3toe3choosinge3newe3cafee3locationse3ise3largelye3basede3one3
executivee3intuition,e3note3sophisticatede3modelse3ande3sitee3technology,e3T/Fe3-e3ANS--
False
Thee3locatione3decisionse3ofe3goods-
producinge3firmse3wille3generallye3paye3moree3attentione3toe3parking,e3access,e3ande3traffice3c
ountse3thane3wille3servicee3locatione3decisions,e3T/Fe3-e3ANS--False
Industriale3locatione3decisionse3oftene3assumee3thate3costse3aree3relativelye3constante3fore3ae3
givene3area,e3T/Fe3-e3ANS--Fale
FedExe3chosee3Memphise3ase3itse3USe3hube3because
a.e3it'se3thee3centere3ofe3thee3USe3geographically
b.e3thee3airporte3hase3relativelye3fewe3hourse3ofe3bade3weathere3closures
