SCM 303 EXAM 4 STUDY GUIDE 2026
logistics service - Answers - the level of service a firm provides all established
customers
Availability - Answers - the probability of having inventory to consistently meet
customer material or product requirements
operational performance - Answers - the time required to deliver a customer's order.
-involved speed and consistency
malfunction - Answers - concerned with the probability of logistical performance failure,
such as damaged products, incorrect assortment, or inaccurate documentation.
service reliability - Answers - involves the quality attributes of logistics
Total cost logistics model - Answers - conceptualized by Lewis, Culliton, and Steele to
include all expenditures necessary to perform logistical requirements.
logistics value proposition - Answers - the art of matching operating competency and
commitment to key customer expectations and requirements.
five areas of logistical work - Answers - 1. order processing
2. inventory
3. transportation
4. warehousing, materials handling, and packaging
5. facility network
Pareto principal (80-20 rule) - Answers - less that 20 percent of all available products
account for more than 80 percent of total demand and/or profit.
cost of transportation - Answers - the payment made for shipment between two
geographical locations and the expenses related to maintaining in-transit inventory.
speed of transportation - Answers - the time required to complete a specific movement
transportation consistency - Answers - variations in time required to perform a specific
movement over a number of shipments.
overall concern of manufacturing support - Answers - what, when, and where products
will be manufactured.
purchasing - Answers - the process of acquisition
, material - Answers - inventory moving inbound to an enterprise, regardless of its
degree of readiness for resale.
responsiveness - Answers - a firms ability to satisfy customer requirements in a timely
manner
inventory reduction - Answers - an integrated logistic system controlling asset
commitment and turn velocity.
turn velocity - Answers - the rate at which inventory is replenished over time
TQM (Total Quality Management) - Answers - a major initiative throughout industry - if
a product becomes defective or if service promises are not kept, little if any value can
be added by the logistics process.
echelon - Answers - the flow of products typically proceeds through an established
arrangement of firms as it moves from origin to final destination.
cross-dock operation - Answers - involves shipments from multiple suppliers arriving at
a designated time at the handling facility.
supply chain synchronization - Answers - Multifirm operational integration across a
supply chain.
inventory dwell time - Answers - the ratio of the days inventory sits idle in the supply
chain to the days it is being productively used or positioned.
performance cycle - Answers - represents elements of work necessary to complete the
logistics related to customer accommodation, manufacturing or procurement
nodes - Answers - the operational locations that are linked by information and
transportation
input - Answers - demand, typically an order that specifies requirements for a product
or material
output - Answers - level of performance expected from the combined logistical
operations
the logistics performance cycle is the basic unit of supply chain design and operational
control. - Answers - in essence, the performance cycle structure is the framework of
implementation of integrated logistics across the supply chain.
Electronic Data Interchange (EDI) - Answers - order transmission is highly reliable
when EDI or internet communications are used and more unpredictable/inconsistent
when telephone or routine mail is used.
logistics service - Answers - the level of service a firm provides all established
customers
Availability - Answers - the probability of having inventory to consistently meet
customer material or product requirements
operational performance - Answers - the time required to deliver a customer's order.
-involved speed and consistency
malfunction - Answers - concerned with the probability of logistical performance failure,
such as damaged products, incorrect assortment, or inaccurate documentation.
service reliability - Answers - involves the quality attributes of logistics
Total cost logistics model - Answers - conceptualized by Lewis, Culliton, and Steele to
include all expenditures necessary to perform logistical requirements.
logistics value proposition - Answers - the art of matching operating competency and
commitment to key customer expectations and requirements.
five areas of logistical work - Answers - 1. order processing
2. inventory
3. transportation
4. warehousing, materials handling, and packaging
5. facility network
Pareto principal (80-20 rule) - Answers - less that 20 percent of all available products
account for more than 80 percent of total demand and/or profit.
cost of transportation - Answers - the payment made for shipment between two
geographical locations and the expenses related to maintaining in-transit inventory.
speed of transportation - Answers - the time required to complete a specific movement
transportation consistency - Answers - variations in time required to perform a specific
movement over a number of shipments.
overall concern of manufacturing support - Answers - what, when, and where products
will be manufactured.
purchasing - Answers - the process of acquisition
, material - Answers - inventory moving inbound to an enterprise, regardless of its
degree of readiness for resale.
responsiveness - Answers - a firms ability to satisfy customer requirements in a timely
manner
inventory reduction - Answers - an integrated logistic system controlling asset
commitment and turn velocity.
turn velocity - Answers - the rate at which inventory is replenished over time
TQM (Total Quality Management) - Answers - a major initiative throughout industry - if
a product becomes defective or if service promises are not kept, little if any value can
be added by the logistics process.
echelon - Answers - the flow of products typically proceeds through an established
arrangement of firms as it moves from origin to final destination.
cross-dock operation - Answers - involves shipments from multiple suppliers arriving at
a designated time at the handling facility.
supply chain synchronization - Answers - Multifirm operational integration across a
supply chain.
inventory dwell time - Answers - the ratio of the days inventory sits idle in the supply
chain to the days it is being productively used or positioned.
performance cycle - Answers - represents elements of work necessary to complete the
logistics related to customer accommodation, manufacturing or procurement
nodes - Answers - the operational locations that are linked by information and
transportation
input - Answers - demand, typically an order that specifies requirements for a product
or material
output - Answers - level of performance expected from the combined logistical
operations
the logistics performance cycle is the basic unit of supply chain design and operational
control. - Answers - in essence, the performance cycle structure is the framework of
implementation of integrated logistics across the supply chain.
Electronic Data Interchange (EDI) - Answers - order transmission is highly reliable
when EDI or internet communications are used and more unpredictable/inconsistent
when telephone or routine mail is used.
