OMGT FINAL EXAM QUESTIONS & ANSWERS
Which of the following is not a factor that has increased the need for business
organizations to actively manage
their supply chains? - Answer -The complexity of management information systems
Which of the following is not a decision involved in transport planning? - Answer -
Choosing a supplier for the item to be purchased.
Which element of reverse logistics could potentially improve product design and quality
assurance? - Answer -Avoidance.
The ultimate goal of lean systems is to have: - Answer -a balanced, rapid flow of
materials and products through the system.
Which of the following is not a duty of the purchasing department? - Answer -. Set
quality standards for purchased products
Continuous improvement (Kaizen) is based on all the tenets except: - Answer -. rapid,
major breakthroughs in improvement.
The control of the flow of work in JIT systems is best characterized as a: - Answer -pull
system
With regard to dealing with suppliers, JIT systems typically require - Answer -long-term
relationships and commitments.
A kanban card is used to signal that: - Answer -work is needed from the preceding
station
Which of the following is a characteristic of the JIT philosophy? - Answer -Suppliers
become partners.
What is supply chain? - Answer -The sequence of organizations- their facilities,
functions, activities- involved in producing and delivering a product or service
What are typical facilities ? - Answer -Warehouses, Factories, Processing centers,
distribution centers, retail outlets, offices
What are value chains? - Answer -A term that reflects that value is added as goods
progress through the chain
, What is supply chain management? - Answer -A collaboration of supply chain
companies and coordination of their activities so that market demand is met as
efficiently and effectively
What are important competitive attributes for supply chains? - Answer -Price,
timeliness, quality, variety, service
What are the need for supply chain management? - Answer --The need to improve
operations
-Increasing level of outsourcing
-Increasing globalization
-Increasing e-commerce
-The need to manage inventories across the supply chain
What is outsourcing? - Answer -Buying goods or services instead of producing or
providing them in house.
What are benefits of outsourcing? - Answer --A supplier may have lower cost
- a supplier may have more expertise and knowledge
- the demand is temporary
- the company may not have enough capacity
What are risks of outsourcing? - Answer -Reduction in control and expertise
What is the bullwhip effect? - Answer --The lack of supply chain management leads to
bullwhip effect.
-The demand variability is progressively larger moving backward through a supply chain
What are strategic activities and its features? - Answer -- have a long-term impacts on
the supply chain
- goals and competitive characteristics should be a agreed upon
- Product are designed according to competitive characteristics
- Supply are designed for these products, goals, and competitive characteristics
-Number, location, capacity, products to produce, and process type of facilities are
determined
What is tactical/ operational activities and its features? - Answer -Mainly relates to
production planning and control
1. Forecasting
2. Purchasing
3. Transportation of material
4. Inventory control
5. Scheduling of production
6. Movement of products
7. Customer services
Which of the following is not a factor that has increased the need for business
organizations to actively manage
their supply chains? - Answer -The complexity of management information systems
Which of the following is not a decision involved in transport planning? - Answer -
Choosing a supplier for the item to be purchased.
Which element of reverse logistics could potentially improve product design and quality
assurance? - Answer -Avoidance.
The ultimate goal of lean systems is to have: - Answer -a balanced, rapid flow of
materials and products through the system.
Which of the following is not a duty of the purchasing department? - Answer -. Set
quality standards for purchased products
Continuous improvement (Kaizen) is based on all the tenets except: - Answer -. rapid,
major breakthroughs in improvement.
The control of the flow of work in JIT systems is best characterized as a: - Answer -pull
system
With regard to dealing with suppliers, JIT systems typically require - Answer -long-term
relationships and commitments.
A kanban card is used to signal that: - Answer -work is needed from the preceding
station
Which of the following is a characteristic of the JIT philosophy? - Answer -Suppliers
become partners.
What is supply chain? - Answer -The sequence of organizations- their facilities,
functions, activities- involved in producing and delivering a product or service
What are typical facilities ? - Answer -Warehouses, Factories, Processing centers,
distribution centers, retail outlets, offices
What are value chains? - Answer -A term that reflects that value is added as goods
progress through the chain
, What is supply chain management? - Answer -A collaboration of supply chain
companies and coordination of their activities so that market demand is met as
efficiently and effectively
What are important competitive attributes for supply chains? - Answer -Price,
timeliness, quality, variety, service
What are the need for supply chain management? - Answer --The need to improve
operations
-Increasing level of outsourcing
-Increasing globalization
-Increasing e-commerce
-The need to manage inventories across the supply chain
What is outsourcing? - Answer -Buying goods or services instead of producing or
providing them in house.
What are benefits of outsourcing? - Answer --A supplier may have lower cost
- a supplier may have more expertise and knowledge
- the demand is temporary
- the company may not have enough capacity
What are risks of outsourcing? - Answer -Reduction in control and expertise
What is the bullwhip effect? - Answer --The lack of supply chain management leads to
bullwhip effect.
-The demand variability is progressively larger moving backward through a supply chain
What are strategic activities and its features? - Answer -- have a long-term impacts on
the supply chain
- goals and competitive characteristics should be a agreed upon
- Product are designed according to competitive characteristics
- Supply are designed for these products, goals, and competitive characteristics
-Number, location, capacity, products to produce, and process type of facilities are
determined
What is tactical/ operational activities and its features? - Answer -Mainly relates to
production planning and control
1. Forecasting
2. Purchasing
3. Transportation of material
4. Inventory control
5. Scheduling of production
6. Movement of products
7. Customer services
