UTK SCM 413 EXAM 1 QUESTIONS
AND CORRECT ANSWERS
Firms working together to integrate components of a supply chain is known as ________
✅✅ANSW-collaboration
A firm which provides critical operations functionality to members of a supply chain is a(n):
✅✅ANSW-integrated service supplier (ISP).
In order to achieve the lowest total process cost, a supply chain must ________blank. ✅✅ANSW-
minimize the total cost for all involved functions combined
The Anticipatory Business Model is best described by which statement: ✅✅ANSW-driven by
forecast.
An increase in dwell time indicates that: ✅✅ANSW-asset idle time compared to total time in the
system has increased.
The goal of integrated logistics is to: ✅✅ANSW-synchronize and link the supply chain.
Over the past several decades, responsiveness has increased, primarily because of: ✅✅ANSW-
information technology adoption.
A supply chain is best described as a(n)________blank of ________blank companies. ✅✅ANSW-
group, collaborative
Which of the following best describes an integrative supply chain process: ✅✅ANSW-the linking
of critical parts of a supply chain.
The goal of integrated logistics is to: ✅✅ANSW-minimize operational expenditures while meeting
customer service goals.
The basic unit of supply chain design and operational control is ✅✅ANSW-the logistics
performance cycle.
, A cross-dock facility: ✅✅ANSW-converts incoming shipments from suppliers to outgoing
shipments for delivery.
The 'Pareto principle' is: ✅✅ANSW-useful for product profitability analysis.
A high-quality logistics system offers high levels of inventory availability and predictable operational
performance. This is what known as: ✅✅ANSW-service reliability.
The primary reason that total logistics cost has reduced as a percentage of gross domestic product
(GDP) as what? ✅✅ANSW-Inventory has decreased as a percent of total cost
The work of logistics involves which of the following? ✅✅ANSW-Transportation, inventory, order
processing, warehousing, and facility network design
Which of the following is a 3M business line? ✅✅ANSW-Health Care
Safety stock is used to account for which of the following? ✅✅ANSW-Demand Uncertainty
What is the purpose of the EOQ formulation? ✅✅ANSW-Determine lot sizes
Safety stock amounts are determined using both manual and what other approach? ✅✅ANSW-
Statistical analysis
Which of the following is not one of the 'service outputs' of a supply chain? ✅✅ANSW-Price
In general, studies find that stockouts: ✅✅ANSW-average about 8% for retail stores.
When performing consolidation, a warehouse is used to group ________blank inbound shipments
into ________blank outbound shipments. ✅✅ANSW-many small, few large
A company with limited experience in warehousing and a need to establish temporary warehouse
facilities in multiple geographical locations would most likely use: ✅✅ANSW-public warehouses.
AND CORRECT ANSWERS
Firms working together to integrate components of a supply chain is known as ________
✅✅ANSW-collaboration
A firm which provides critical operations functionality to members of a supply chain is a(n):
✅✅ANSW-integrated service supplier (ISP).
In order to achieve the lowest total process cost, a supply chain must ________blank. ✅✅ANSW-
minimize the total cost for all involved functions combined
The Anticipatory Business Model is best described by which statement: ✅✅ANSW-driven by
forecast.
An increase in dwell time indicates that: ✅✅ANSW-asset idle time compared to total time in the
system has increased.
The goal of integrated logistics is to: ✅✅ANSW-synchronize and link the supply chain.
Over the past several decades, responsiveness has increased, primarily because of: ✅✅ANSW-
information technology adoption.
A supply chain is best described as a(n)________blank of ________blank companies. ✅✅ANSW-
group, collaborative
Which of the following best describes an integrative supply chain process: ✅✅ANSW-the linking
of critical parts of a supply chain.
The goal of integrated logistics is to: ✅✅ANSW-minimize operational expenditures while meeting
customer service goals.
The basic unit of supply chain design and operational control is ✅✅ANSW-the logistics
performance cycle.
, A cross-dock facility: ✅✅ANSW-converts incoming shipments from suppliers to outgoing
shipments for delivery.
The 'Pareto principle' is: ✅✅ANSW-useful for product profitability analysis.
A high-quality logistics system offers high levels of inventory availability and predictable operational
performance. This is what known as: ✅✅ANSW-service reliability.
The primary reason that total logistics cost has reduced as a percentage of gross domestic product
(GDP) as what? ✅✅ANSW-Inventory has decreased as a percent of total cost
The work of logistics involves which of the following? ✅✅ANSW-Transportation, inventory, order
processing, warehousing, and facility network design
Which of the following is a 3M business line? ✅✅ANSW-Health Care
Safety stock is used to account for which of the following? ✅✅ANSW-Demand Uncertainty
What is the purpose of the EOQ formulation? ✅✅ANSW-Determine lot sizes
Safety stock amounts are determined using both manual and what other approach? ✅✅ANSW-
Statistical analysis
Which of the following is not one of the 'service outputs' of a supply chain? ✅✅ANSW-Price
In general, studies find that stockouts: ✅✅ANSW-average about 8% for retail stores.
When performing consolidation, a warehouse is used to group ________blank inbound shipments
into ________blank outbound shipments. ✅✅ANSW-many small, few large
A company with limited experience in warehousing and a need to establish temporary warehouse
facilities in multiple geographical locations would most likely use: ✅✅ANSW-public warehouses.
