bit 3414 quiz 4 questions n answers
rated A+
supply chain management (SCM) - CORRECT ANSWER ✔✔requires managing the flow of
information through the supply chain in order to attain the level of synchronization that will
make It more responsive to customer needs while lowering costs
what do supply chains require - CORRECT ANSWER ✔✔close collaboration, cooperation and
communication among members to be effective
-suppliers and customers must participate together in the design of the supply chain to achieve
their shared goals and to facilitate communication and the flow of information
main objective in managing the supply chain - CORRECT ANSWER ✔✔to synchronize the
upstream flow of incoming materials, parts, subassemblies, and services with production and
distribution downstream so that It can respond to uncertainty in customer demand without
creating costly excess inventory
primary factors that contribute uncertainty - CORRECT ANSWER ✔✔1. lateness of orders
2. incomplete orders
how to cope with uncertainty in supply chain - CORRECT ANSWER ✔✔by using insurance
inventory
-buffer (or extra) inventory at various stages to minimize the negative effects of uncertainty and
keeps goods flowing smoothly from suppliers to customers
, how else do companies accumulate inventory - CORRECT ANSWER ✔✔because they may order
in large batches in order to keep down order and transportation costs or to receive a discount or
a special price from a supplier
bullwhip effect - CORRECT ANSWER ✔✔occurs when slight demand variability is magnified as
information moves back upstream
why does the bullwhip effect happen - CORRECT ANSWER ✔✔from distorted information or
lack of information then results in higher bugger inventories, poor customer service, missed
production schedules, wrong capacity plans, inefficient shipping, and high costs
what does uncertainty results in - CORRECT ANSWER ✔✔members making their own demand
forecast, which then It will stockpile extra inventory to compensate for the uncertainty like a
security blanket
-creates an even greater overreaction by the manufacturer who supplies the distributor and the
suppliers who supply the manufacturer
how to coping with the bullwhip effect - CORRECT ANSWER ✔✔members need to share
information, especially demand forecasts which means exhibiting transperancy
inventory management - CORRECT ANSWER ✔✔attempts to minimize inventory costs over a
window of time (a year) by optimizing the decisions made when replenishing the inventory
primary decisions in inventory management - CORRECT ANSWER ✔✔1. How much to order
2. When to order
-the way we answer these will Impact our costs
carrying (holding) cost - CORRECT ANSWER ✔✔the costs of holding an item in inventory
-any cost that increases linearly with the number of units in stock
rated A+
supply chain management (SCM) - CORRECT ANSWER ✔✔requires managing the flow of
information through the supply chain in order to attain the level of synchronization that will
make It more responsive to customer needs while lowering costs
what do supply chains require - CORRECT ANSWER ✔✔close collaboration, cooperation and
communication among members to be effective
-suppliers and customers must participate together in the design of the supply chain to achieve
their shared goals and to facilitate communication and the flow of information
main objective in managing the supply chain - CORRECT ANSWER ✔✔to synchronize the
upstream flow of incoming materials, parts, subassemblies, and services with production and
distribution downstream so that It can respond to uncertainty in customer demand without
creating costly excess inventory
primary factors that contribute uncertainty - CORRECT ANSWER ✔✔1. lateness of orders
2. incomplete orders
how to cope with uncertainty in supply chain - CORRECT ANSWER ✔✔by using insurance
inventory
-buffer (or extra) inventory at various stages to minimize the negative effects of uncertainty and
keeps goods flowing smoothly from suppliers to customers
, how else do companies accumulate inventory - CORRECT ANSWER ✔✔because they may order
in large batches in order to keep down order and transportation costs or to receive a discount or
a special price from a supplier
bullwhip effect - CORRECT ANSWER ✔✔occurs when slight demand variability is magnified as
information moves back upstream
why does the bullwhip effect happen - CORRECT ANSWER ✔✔from distorted information or
lack of information then results in higher bugger inventories, poor customer service, missed
production schedules, wrong capacity plans, inefficient shipping, and high costs
what does uncertainty results in - CORRECT ANSWER ✔✔members making their own demand
forecast, which then It will stockpile extra inventory to compensate for the uncertainty like a
security blanket
-creates an even greater overreaction by the manufacturer who supplies the distributor and the
suppliers who supply the manufacturer
how to coping with the bullwhip effect - CORRECT ANSWER ✔✔members need to share
information, especially demand forecasts which means exhibiting transperancy
inventory management - CORRECT ANSWER ✔✔attempts to minimize inventory costs over a
window of time (a year) by optimizing the decisions made when replenishing the inventory
primary decisions in inventory management - CORRECT ANSWER ✔✔1. How much to order
2. When to order
-the way we answer these will Impact our costs
carrying (holding) cost - CORRECT ANSWER ✔✔the costs of holding an item in inventory
-any cost that increases linearly with the number of units in stock
