PRINCIPLES OF SUPPLY CHAIN
MANAGEMENT 5TH EDITION EXAM REVIEW
TESTED QUESTIONS WITH 100 PERCENT
CORRECT ANSWERS
◉ Which planning horizon is shorter than the aggregate production
plan's but must be longer than a firm's production lead time to
ensure the end item can be completed within the planning horizon?
Answer: Master production schedule
◉ Why are firms migrating to ERP systems?
Answer: ERP systems tie together a variety of specialized systems
◉ An advantage/benefit of utilizing an ERP system includes which of
the following?
Answer: ERP system can provide a firm and its supply chain
partners with a significant competitive advantage
◉ Which of the following is considered a disadvantage of
implementing an ERP system?
Answer: ERP systems are very complex and have proven difficult to
implement
,◉ Which of the following is considered a DISADVANTAGE of utilizing
an ERP system?
Answer: ERP systems are very complex and have proven difficult to
implement
◉ In general, best-of-breeds ERP solutions:
Answer: Are better suited to more intricate workplaces
◉ What type of major cost category is considered in the cost
associated with placing and receiving the order?
Answer: Transaction Cost
◉ One standard that is measured in environmental supplier
certification is:
Answer: The suppliers' recycled content
◉ The ETI does not include which of the following:
Answer: Workers receive a 30-minute break for an 8-hour shift
◉ If you felt that recent demand trends were more significant and
should be emphasized more in the upcoming forecast which of the
following, would you favor using?
, Answer: Weighted moving average
◉ A forecasting tracking signal is used to determine:
Answer: If the forecast bias is within the acceptable control limits
◉ What were the breakout years for SCM?
Answer: Started in the 1950s, breakout years in the 1980s
◉ What industry was most impacted by the pandemic?
Answer: Healthcare
◉ Which of the following companies are indirectly involved in most
supply chains?
Answer: All of the above (Trucking companies, freight forwarders,
public warehouses)
◉ Inventory Turnover can be calculated by:
Answer: Ratio of cogs over avg inventory cost
◉ Which of the following statements are true?
Answer: Strategic partnerships are seen as one of the foundations of
supply chain management
MANAGEMENT 5TH EDITION EXAM REVIEW
TESTED QUESTIONS WITH 100 PERCENT
CORRECT ANSWERS
◉ Which planning horizon is shorter than the aggregate production
plan's but must be longer than a firm's production lead time to
ensure the end item can be completed within the planning horizon?
Answer: Master production schedule
◉ Why are firms migrating to ERP systems?
Answer: ERP systems tie together a variety of specialized systems
◉ An advantage/benefit of utilizing an ERP system includes which of
the following?
Answer: ERP system can provide a firm and its supply chain
partners with a significant competitive advantage
◉ Which of the following is considered a disadvantage of
implementing an ERP system?
Answer: ERP systems are very complex and have proven difficult to
implement
,◉ Which of the following is considered a DISADVANTAGE of utilizing
an ERP system?
Answer: ERP systems are very complex and have proven difficult to
implement
◉ In general, best-of-breeds ERP solutions:
Answer: Are better suited to more intricate workplaces
◉ What type of major cost category is considered in the cost
associated with placing and receiving the order?
Answer: Transaction Cost
◉ One standard that is measured in environmental supplier
certification is:
Answer: The suppliers' recycled content
◉ The ETI does not include which of the following:
Answer: Workers receive a 30-minute break for an 8-hour shift
◉ If you felt that recent demand trends were more significant and
should be emphasized more in the upcoming forecast which of the
following, would you favor using?
, Answer: Weighted moving average
◉ A forecasting tracking signal is used to determine:
Answer: If the forecast bias is within the acceptable control limits
◉ What were the breakout years for SCM?
Answer: Started in the 1950s, breakout years in the 1980s
◉ What industry was most impacted by the pandemic?
Answer: Healthcare
◉ Which of the following companies are indirectly involved in most
supply chains?
Answer: All of the above (Trucking companies, freight forwarders,
public warehouses)
◉ Inventory Turnover can be calculated by:
Answer: Ratio of cogs over avg inventory cost
◉ Which of the following statements are true?
Answer: Strategic partnerships are seen as one of the foundations of
supply chain management
