SCMN 2150 FINAL EXAM 2026 ACTUAL QUESTIONS AND
ANSWERS SCORED A+
✔✔Readings: According to BCG, what are the 6 recommended steps companies should
take to assess and adjust their supply chains? - ✔✔1. Align design principles with the
new reality.
2. Segment the portfolio by supply chain risk and understand performance drivers.
3. Identify levers and options at the segment level.
4. Evaluate supply chain design options for each segment.
5. Pressure test design choices across the company.
6. Put the network redesign in place and monitor performance.
✔✔What are Terms of Trade or "Incoterms" and how are they used? - ✔✔- The global
standard for the interpretation of the most common terms in foreign trade and identify
seller's and buyer's obligations and responsibilities for transportation costs/charges
- Created by the International Chamber of Commerce
✔✔Why is "the paperwork" for export documentation so important and critical to the
export process? - ✔✔It drives the entire export process -- moving information in a timely
fashion is key to uninterrupted freight flows.
✔✔What is a Commercial Invoice and how is it used? - ✔✔- Key transaction document
is the commercial invoice and it contains information relevant to the transaction from
start to finish.
- The commercial invoice must identify the buyer and seller, and clear indicates the:
1) Date and Terms of sale
2) Quantity, Weight, and/or Volume of the shipment
3) Type of Packaging
4) Complete description of goods
5) Unit value and Total value
6) Insurance, Shipping, and other charges (as applicable)
✔✔What is the Bill of Lading and how is it used? - ✔✔- The primary transportation
document; It is required to move the freight.
- Must accompany the shipped goods, no matter the form of transportation, and must be
signed by an authorized representative form the carrier, shipper, and receiver.
Purpose:
1) Evidence of Contract Carriage - details the type, quantity, and destination of the good
being carried.
2) Receipt of Goods - provides proof that the carrier has received the goods from the
shipper or their agent in good condition.
3) Document of Title to the Goods - serves as a proof of ownership (title) of the cargo.
, ✔✔What is Certificate of Origin and how is it used? - ✔✔Verifies the country in which
the goods were manufactured.
- Promotes trade compliance by attesting to the production or manufacturing origin of
the export item.
- Usually signed through a semiofficial organization, such as a local chamber of
commerce.
- Accuracy is critical as the country of origin affects duty rates, import quotas, trade
compliance, and related issues.
✔✔Why is freight protection and insurance needed in global shipping? - ✔✔Assures the
coverage of loss or damage to the freight during transit.
✔✔Describe the global carrier's limited liability for freight loss. - ✔✔Carriers are bailees
but do not take title to the goods in their temporary possession and are only responsible
for freight loss, damage, or delay due to the carrier's negligence.
✔✔What risk reduction strategies can be utilized by shippers in global shipping? -
✔✔Strong suppliers, visibility, near-sourcing, & insurance
✔✔Readings: In 2014, the University of Tennessee Global Supply Chain Institute white
paper titled "Managing Risk in the Global Supply Chain", what was the highest ranked
risk mitigation strategy listed by supply chain executives? - ✔✔Strong suppliers
✔✔What are the key selection factors tradeoffs in choosing your mode in international
shipping? - ✔✔- Type of Service (direct or indirect)
- Mode Selection
- Carrier Selection
Routing
✔✔What are the important considerations in carrier selection in international shipping? -
✔✔- Geographic Coverage
- Equipment Availability
- Product Protection
- Reliability
- Transit Time
✔✔What considerations should be made when choosing international shipment
routings? - ✔✔- Port Capabilities
- Port Security
- Border Congestion
✔✔What are the steps in the customs clearance process? - ✔✔1. Entry filing
2. Arrival
3. Examination
ANSWERS SCORED A+
✔✔Readings: According to BCG, what are the 6 recommended steps companies should
take to assess and adjust their supply chains? - ✔✔1. Align design principles with the
new reality.
2. Segment the portfolio by supply chain risk and understand performance drivers.
3. Identify levers and options at the segment level.
4. Evaluate supply chain design options for each segment.
5. Pressure test design choices across the company.
6. Put the network redesign in place and monitor performance.
✔✔What are Terms of Trade or "Incoterms" and how are they used? - ✔✔- The global
standard for the interpretation of the most common terms in foreign trade and identify
seller's and buyer's obligations and responsibilities for transportation costs/charges
- Created by the International Chamber of Commerce
✔✔Why is "the paperwork" for export documentation so important and critical to the
export process? - ✔✔It drives the entire export process -- moving information in a timely
fashion is key to uninterrupted freight flows.
✔✔What is a Commercial Invoice and how is it used? - ✔✔- Key transaction document
is the commercial invoice and it contains information relevant to the transaction from
start to finish.
- The commercial invoice must identify the buyer and seller, and clear indicates the:
1) Date and Terms of sale
2) Quantity, Weight, and/or Volume of the shipment
3) Type of Packaging
4) Complete description of goods
5) Unit value and Total value
6) Insurance, Shipping, and other charges (as applicable)
✔✔What is the Bill of Lading and how is it used? - ✔✔- The primary transportation
document; It is required to move the freight.
- Must accompany the shipped goods, no matter the form of transportation, and must be
signed by an authorized representative form the carrier, shipper, and receiver.
Purpose:
1) Evidence of Contract Carriage - details the type, quantity, and destination of the good
being carried.
2) Receipt of Goods - provides proof that the carrier has received the goods from the
shipper or their agent in good condition.
3) Document of Title to the Goods - serves as a proof of ownership (title) of the cargo.
, ✔✔What is Certificate of Origin and how is it used? - ✔✔Verifies the country in which
the goods were manufactured.
- Promotes trade compliance by attesting to the production or manufacturing origin of
the export item.
- Usually signed through a semiofficial organization, such as a local chamber of
commerce.
- Accuracy is critical as the country of origin affects duty rates, import quotas, trade
compliance, and related issues.
✔✔Why is freight protection and insurance needed in global shipping? - ✔✔Assures the
coverage of loss or damage to the freight during transit.
✔✔Describe the global carrier's limited liability for freight loss. - ✔✔Carriers are bailees
but do not take title to the goods in their temporary possession and are only responsible
for freight loss, damage, or delay due to the carrier's negligence.
✔✔What risk reduction strategies can be utilized by shippers in global shipping? -
✔✔Strong suppliers, visibility, near-sourcing, & insurance
✔✔Readings: In 2014, the University of Tennessee Global Supply Chain Institute white
paper titled "Managing Risk in the Global Supply Chain", what was the highest ranked
risk mitigation strategy listed by supply chain executives? - ✔✔Strong suppliers
✔✔What are the key selection factors tradeoffs in choosing your mode in international
shipping? - ✔✔- Type of Service (direct or indirect)
- Mode Selection
- Carrier Selection
Routing
✔✔What are the important considerations in carrier selection in international shipping? -
✔✔- Geographic Coverage
- Equipment Availability
- Product Protection
- Reliability
- Transit Time
✔✔What considerations should be made when choosing international shipment
routings? - ✔✔- Port Capabilities
- Port Security
- Border Congestion
✔✔What are the steps in the customs clearance process? - ✔✔1. Entry filing
2. Arrival
3. Examination
