ISDS 3115 Exam 3 Questions and Answers Already Passed Latest Update

ISDS 3115 Exam 3 Questions and Answers Already Passed Latest Update True/False: Outsourcing is a form of specialization that allows the outsourcing firm to focus on its key success factors. - Answers True True/False: The bullwhip effect refers to the increasing fluctuations in orders that often occur as orders move through the supply chain. - Answers True What is the practice of keeping a product generic as long as possible before customizing? - Answers Postponement A rice mill in south Louisiana purchases the trucking firm that transports packaged rice to distributors. This is an example of of which of the following? A. current transformation B. Keirestsu C. Horizontal integration D. Backward Integration E. Forward Integration - Answers E. Forward Integration Local optimization is a supply-chain complication best described as: - Answers Optimizing one's local area without full knowledge of supply chain needs. Hewlett-Packard withholds customization of its laser printers as long as possible. This is an example of what? - Answers Postponement Which of the following would NOT generally be a motive for a firm to hold inventories? A. to hedge against inflation B. take advantage of quantity discounts C. to decouple various parts of the production process D. to minimize holding cost - Answers D. to minimize holding cost The two most basic inventory questions answered by the typical inventory are: - Answers Timing of orders and order quantity Which of the following statements about the basic EOQ model is true? -If the annual demand were to double, the number of orders per year would increase -If the carrying cost were to increase, the EOQ would fall -If the annual demand were to double, the EOQ would increase -if the ordering cost were to double the EOQ would rise - All are true - Answers All statements are true Which of the following statements regarding the production order quantity model is true? - Answers It relaxes the assumption that all the order quantity is received at one time The proper quantity of safety stock is typically determined by: - Answers setting the level of safety stock so that a given stockout risk is not exceeded which of the following should be higher in P system than Q system? Order size Lead time Safety stock Order spacing, Demand - Answers Safety stock Aggregate planning would entail which production aspects at BMW for a 12 month period? - Answers Total number of cars to produce Dependence on an external source of supply is found in which aggregate planning strategy? - Answers Subcontracting Which of these is among the demand options of aggregate planning? A. Changing inventory levels B. Subcontracting C. Varying workforce D. Back ordering during high demand periods E. Varying production rates through overtime or idle time - Answers D Which aggregate planning strategy is a demand option? - Answers Changing price which of the following statements regarding aggregate planning is true? - Answers Mixed strategies in aggregate planning may utilize inventory, work force, and production rate changes over the planning horizon Aggregate planning for service firms that provide intangible output deals mainly with - Answers planning for human resource requirements and managing demand A restaurant runs a special promotion on lobster and plans to sell twice as many lobsters as usual. When this large order is sent to the distributor, the distributor, assumes the large size is trend, not a one time event. The distributor therefore places an even larger order with the lobsterman. This behavior is the result of what? - Answers The Bull whip effect Which of the following is an advantage of the postponement technique? A. reduction in automation B. Early customization C. Better quality of product D. Reduction in training cost E. Reduction in inventory investment - Answers E ABC analysis is based upon the principle that: - Answers There are usually a few critical items, and many items that are less critical ABC analysis divided on-hand inventory into three classes, generally based upon what? - Answers Annual dollar volume