MAR 3203 Exam 4 UCF UPDATED Exam
Questions and CORRECT Answers
Supply Chain Management (SCM) - CORRECT ANSWER - the coordination of all supply
chain activities, starting with raw materials and ending with a satisfied customer.
make or buy decision - CORRECT ANSWER - a decision concerning whether an item
should be produced internally or purchased from an outside supplier
Outsourcing - CORRECT ANSWER - obtain (goods or a service) from an outside or
foreign supplier, especially in place of an internal source.
Vertical Integration - CORRECT ANSWER - An approach typical of traditional mass
production in which a company controls all phases of a highly complex production process.
Keiretsu - CORRECT ANSWER - a Japanese consortia of businesses that is coordinated
by a large trading company to gain a strategic advantage
Virtual Companies - CORRECT ANSWER - Companies that rely on a variety of supplier
relationships to provide services on demand. Also known as hollow corporations or network
companies.
cross sourcing - CORRECT ANSWER - using one supplier for a component and a second
supplier for another component, where each supplier acts as a backup for the other
Bullwhip effect - CORRECT ANSWER - occurs when distorted product-demand
information ripples from one partner to the next throughout the supply chain
Pull Data - CORRECT ANSWER - accurate sales data that initiate transactions to "pull"
product through the supply chain
, Single-stage control of replenishment - CORRECT ANSWER - designating a member in
the chain as responsible for monitoring and managing inventory in the supply chain based on the
"pull" from the end user
Vendor-managed inventory (VMI) - CORRECT ANSWER - an inventory management
system whereby the supplier determines the product amount and assortment a customer (such as
a retailer) needs and automatically delivers the appropriate items
Collaborative Planning, Forecasting, and Replenishment (CPFR) - CORRECT ANSWER -
members of the supply chain share planning, demand, forecasting, and inventory information.
blanket order - CORRECT ANSWER - an agreement between buyer and seller, whereby
the buyer agrees to buy a certain quantity of goods within a specified time period at a mutually
agreeable price; and the goods are delivered as needed by the buyer
postponement - CORRECT ANSWER - the strategy of delaying final activities in the
provision of a product until the orders are received
drop shipping - CORRECT ANSWER - the supplier will ship directly to the end consumer,
rather than to the seller, saving both time and reshipping costs
E-procurement - CORRECT ANSWER - purchasing through electronic connections
between buyers and sellers - usually online
logistics management - CORRECT ANSWER - Planning, implementing, and controlling
the efficient and effective flow and storage of products and information from the point of origin
to consumption to meet customers' needs and wants
Channel assembly - CORRECT ANSWER - postpones final assembly of a product so the
distribution channel can assemble it
Questions and CORRECT Answers
Supply Chain Management (SCM) - CORRECT ANSWER - the coordination of all supply
chain activities, starting with raw materials and ending with a satisfied customer.
make or buy decision - CORRECT ANSWER - a decision concerning whether an item
should be produced internally or purchased from an outside supplier
Outsourcing - CORRECT ANSWER - obtain (goods or a service) from an outside or
foreign supplier, especially in place of an internal source.
Vertical Integration - CORRECT ANSWER - An approach typical of traditional mass
production in which a company controls all phases of a highly complex production process.
Keiretsu - CORRECT ANSWER - a Japanese consortia of businesses that is coordinated
by a large trading company to gain a strategic advantage
Virtual Companies - CORRECT ANSWER - Companies that rely on a variety of supplier
relationships to provide services on demand. Also known as hollow corporations or network
companies.
cross sourcing - CORRECT ANSWER - using one supplier for a component and a second
supplier for another component, where each supplier acts as a backup for the other
Bullwhip effect - CORRECT ANSWER - occurs when distorted product-demand
information ripples from one partner to the next throughout the supply chain
Pull Data - CORRECT ANSWER - accurate sales data that initiate transactions to "pull"
product through the supply chain
, Single-stage control of replenishment - CORRECT ANSWER - designating a member in
the chain as responsible for monitoring and managing inventory in the supply chain based on the
"pull" from the end user
Vendor-managed inventory (VMI) - CORRECT ANSWER - an inventory management
system whereby the supplier determines the product amount and assortment a customer (such as
a retailer) needs and automatically delivers the appropriate items
Collaborative Planning, Forecasting, and Replenishment (CPFR) - CORRECT ANSWER -
members of the supply chain share planning, demand, forecasting, and inventory information.
blanket order - CORRECT ANSWER - an agreement between buyer and seller, whereby
the buyer agrees to buy a certain quantity of goods within a specified time period at a mutually
agreeable price; and the goods are delivered as needed by the buyer
postponement - CORRECT ANSWER - the strategy of delaying final activities in the
provision of a product until the orders are received
drop shipping - CORRECT ANSWER - the supplier will ship directly to the end consumer,
rather than to the seller, saving both time and reshipping costs
E-procurement - CORRECT ANSWER - purchasing through electronic connections
between buyers and sellers - usually online
logistics management - CORRECT ANSWER - Planning, implementing, and controlling
the efficient and effective flow and storage of products and information from the point of origin
to consumption to meet customers' needs and wants
Channel assembly - CORRECT ANSWER - postpones final assembly of a product so the
distribution channel can assemble it
