SCMT 2103 MODULE 2 EXAM
QUESTIONS AND ANSWERS
Supply Chains and Customer Value - Correct Answers -• Balance of Efficiency and
Effectiveness
• Supply Chain Strategy and Design has to focus on reducing costs while improving
customer service
As Supply Chains Service Customers, Supply Chain Managers Must Balance... -
Correct Answers -• Total Logistics Cost Factors
• Customer Service Factors
Total Logistics Cost Factors - Correct Answers -• Transportation Costs
• Materials Handling and Warehousing Costs
• Inventory Costs
• Order Processing Costs
• Stockout Costs
The Supply Chain Services Customer Value by Getting the Products and Services That
Customers Place Value on To Customers... - Correct Answers -• In the right place
• At the right time
• In the right quantity
• At the right quality
• At the right price
Lack of Inventory - Correct Answers -A lack of inventory signifies the supply chain's
inability to adequately service customer value
• Stockout
• Lost Sales
Stockouts - Correct Answers -Inventory not available when needed by customer
• "Out of Stock"
• "Fast Moving" items tend to be out of stock
Customer Service Factors - Correct Answers -• Communication
• Time
• Dependability
• Convenience
, Nine Elements of Total Cost of Ownership (TCO) in SCM - Correct Answers -1.
Acquisition Cost
2. Transportation Cost
3. Management/Administrative Cost
4. Maintenance Cost
5. Operating Cost
6. Inventory Cost
7. Technical Support Cost
8. Training Cost
9. Disposal Cost
Customer Service Within the Supply Chain - Correct Answers -• Pre-Transaction
Elements
• Transaction Elements
• Post-Transaction Elements
Pre-Transaction Elements - Correct Answers -• Firm customer service policy?
• Quality of customer online search?
Transaction Elements - Correct Answers -• Product delivery and reliability?
• Check experience at store or online?
Post-Transaction Elements - Correct Answers -• Product return or replacement?
• After sales service e.g. spare parts management, customer feedback?
Customer Response to Stockouts - Correct Answers -Is dependent on the type of item
that is out of stock and the existing alternative courses of action
Understand: ? - Correct Answers -Customer Stockout Behavior
Customer Responses to Stockouts - Correct Answers -• Delay Purchase and Return
• Switch -- Get Another Brand
• Switch -- Get Another Item for Purpose
• Make Purchase at Another Store
Delay Purchase and Return - Correct Answers -• Key Item
• Brand Loyal and Store Loyal
• Sale retained but postponed
Switch -- Get Another Brand - Correct Answers -• Key or Non-Key Item
• Substitute Brand Available
• Sale retained but price and margin influence profit
Switch -- Get Another Item for Purpose - Correct Answers -• Key or Non-Key Item
• Substitute Item Available for Solution
• Sale retained but price and margin influence profit
QUESTIONS AND ANSWERS
Supply Chains and Customer Value - Correct Answers -• Balance of Efficiency and
Effectiveness
• Supply Chain Strategy and Design has to focus on reducing costs while improving
customer service
As Supply Chains Service Customers, Supply Chain Managers Must Balance... -
Correct Answers -• Total Logistics Cost Factors
• Customer Service Factors
Total Logistics Cost Factors - Correct Answers -• Transportation Costs
• Materials Handling and Warehousing Costs
• Inventory Costs
• Order Processing Costs
• Stockout Costs
The Supply Chain Services Customer Value by Getting the Products and Services That
Customers Place Value on To Customers... - Correct Answers -• In the right place
• At the right time
• In the right quantity
• At the right quality
• At the right price
Lack of Inventory - Correct Answers -A lack of inventory signifies the supply chain's
inability to adequately service customer value
• Stockout
• Lost Sales
Stockouts - Correct Answers -Inventory not available when needed by customer
• "Out of Stock"
• "Fast Moving" items tend to be out of stock
Customer Service Factors - Correct Answers -• Communication
• Time
• Dependability
• Convenience
, Nine Elements of Total Cost of Ownership (TCO) in SCM - Correct Answers -1.
Acquisition Cost
2. Transportation Cost
3. Management/Administrative Cost
4. Maintenance Cost
5. Operating Cost
6. Inventory Cost
7. Technical Support Cost
8. Training Cost
9. Disposal Cost
Customer Service Within the Supply Chain - Correct Answers -• Pre-Transaction
Elements
• Transaction Elements
• Post-Transaction Elements
Pre-Transaction Elements - Correct Answers -• Firm customer service policy?
• Quality of customer online search?
Transaction Elements - Correct Answers -• Product delivery and reliability?
• Check experience at store or online?
Post-Transaction Elements - Correct Answers -• Product return or replacement?
• After sales service e.g. spare parts management, customer feedback?
Customer Response to Stockouts - Correct Answers -Is dependent on the type of item
that is out of stock and the existing alternative courses of action
Understand: ? - Correct Answers -Customer Stockout Behavior
Customer Responses to Stockouts - Correct Answers -• Delay Purchase and Return
• Switch -- Get Another Brand
• Switch -- Get Another Item for Purpose
• Make Purchase at Another Store
Delay Purchase and Return - Correct Answers -• Key Item
• Brand Loyal and Store Loyal
• Sale retained but postponed
Switch -- Get Another Brand - Correct Answers -• Key or Non-Key Item
• Substitute Brand Available
• Sale retained but price and margin influence profit
Switch -- Get Another Item for Purpose - Correct Answers -• Key or Non-Key Item
• Substitute Item Available for Solution
• Sale retained but price and margin influence profit
