SCM 413 MIDTERM QUESTIONS AND
CORRECT ANSWERS
Availability ✅✅ANSW-Probability of having inventory to consistently meet customer material or
product requirements
Malfunction ✅✅ANSW-Probability of logistics performance failure
Measured in terms of recovery time
5 areas of logistical work ✅✅ANSW-Order processing, inventory, transportation,
warehousing/materials handling, facility network
Forecasting and communication ✅✅ANSW-Two areas of logistical work driven by information
5 aspects of selective deployment ✅✅ANSW-Core customer segmentation- selling to a variety of
customers confronts an uneven demand
Product profitability- 80/20 rule
Transportation integration- larger the shipment, lower the transportation rate
Time-Based performance- transportation lead time
Competitor performance
Transportation ✅✅ANSW-operational area of logistics that geographically moves and positions
inventory; cost, speed, and consistency
Logistics ✅✅ANSW-Management of order processing, inventory, and transportation
The combo of warehousing, materials handling, and packaging, all integrated throughout a network
of facilities
Goal is to support procurement
,Logistics service ✅✅ANSW-The level of service a firm provides all established customers
Operational Performance ✅✅ANSW-time required to deliver a customers order
-speed, consistency, flexibility, malfunction recovery
Transportation consistency ✅✅ANSW-Variations in time required to perform a specific
movement over a number of shipments; consistency reflects dependability
Reverse logistics ✅✅ANSW-Receipt, processing, disposal of returns and damaged inventory
Customer accomodation ✅✅ANSW-Dealing with varied aspects of serving customers; timing and
geographical placement are big
Manufacturing ✅✅ANSW-The what, when, and where products will be made
Procurement ✅✅ANSW-Purchasing or acquisitions; buying
Materials: Inbound inventory, adds value to the process
Information flow ✅✅ANSW-reconcile and streamline info connectivity to improve supply chain
performance
Responsiveness ✅✅ANSW-ability to satisfy customer requirements in a timely manner
serves to reduce inventory
Shifts operational emphasis from forecasting future to a rapid customer accomodation
Variance Reduction ✅✅ANSW-The elimination of operational disruptions, is one basic objective
of integrated logistics management.
Safety stock and buffer operations are common safeguard options
Inventory reduction ✅✅ANSW-control asset commitment and turn velocity
, asset commitment- financial value of deployed inventory
turn velocity- rate at which inventory is replenished over time
shipment consolidation ✅✅ANSW-Reduce transportation costs through larger (and therefore
fewer) shipments.
Quality ✅✅ANSW-TQM
Life cycle support ✅✅ANSW-integrating the activities of reverse logistics, recycling, after-market
service, product recall, and product disposal across global supply chain functions.
echelon logistical operating arrangement ✅✅ANSW-flow of products typically proceeds through
an established arrangement as it moves from origin to final destination
utilize warehouses to create inventory assortments and achieve consolidation economies associated
with large volume transportation shipments
use either break bulk or consolidation warehouses
Direct logistical operating arrangement ✅✅ANSW-expedited services of premium transport
combined with IT to rapidly process customer orders and achieve delivery performance
reduces time delays and overcomes geographical separation
commonly used for inbound components and materials to manufacturing plants
Combines logistical operating arrangement ✅✅ANSW-combo of inherent benefits of echeloned
and direct logistics
slower the turnover, more erratic demand
Flexible Operations ✅✅ANSW-preplanned contingency strategies to prevent logistical failures
Master facilities ✅✅ANSW-designate larger facilities for backup support of smaller, restricted
facilities
Supply chain synchronization ✅✅ANSW-the operational integration of multiple firms across a
supply chain
CORRECT ANSWERS
Availability ✅✅ANSW-Probability of having inventory to consistently meet customer material or
product requirements
Malfunction ✅✅ANSW-Probability of logistics performance failure
Measured in terms of recovery time
5 areas of logistical work ✅✅ANSW-Order processing, inventory, transportation,
warehousing/materials handling, facility network
Forecasting and communication ✅✅ANSW-Two areas of logistical work driven by information
5 aspects of selective deployment ✅✅ANSW-Core customer segmentation- selling to a variety of
customers confronts an uneven demand
Product profitability- 80/20 rule
Transportation integration- larger the shipment, lower the transportation rate
Time-Based performance- transportation lead time
Competitor performance
Transportation ✅✅ANSW-operational area of logistics that geographically moves and positions
inventory; cost, speed, and consistency
Logistics ✅✅ANSW-Management of order processing, inventory, and transportation
The combo of warehousing, materials handling, and packaging, all integrated throughout a network
of facilities
Goal is to support procurement
,Logistics service ✅✅ANSW-The level of service a firm provides all established customers
Operational Performance ✅✅ANSW-time required to deliver a customers order
-speed, consistency, flexibility, malfunction recovery
Transportation consistency ✅✅ANSW-Variations in time required to perform a specific
movement over a number of shipments; consistency reflects dependability
Reverse logistics ✅✅ANSW-Receipt, processing, disposal of returns and damaged inventory
Customer accomodation ✅✅ANSW-Dealing with varied aspects of serving customers; timing and
geographical placement are big
Manufacturing ✅✅ANSW-The what, when, and where products will be made
Procurement ✅✅ANSW-Purchasing or acquisitions; buying
Materials: Inbound inventory, adds value to the process
Information flow ✅✅ANSW-reconcile and streamline info connectivity to improve supply chain
performance
Responsiveness ✅✅ANSW-ability to satisfy customer requirements in a timely manner
serves to reduce inventory
Shifts operational emphasis from forecasting future to a rapid customer accomodation
Variance Reduction ✅✅ANSW-The elimination of operational disruptions, is one basic objective
of integrated logistics management.
Safety stock and buffer operations are common safeguard options
Inventory reduction ✅✅ANSW-control asset commitment and turn velocity
, asset commitment- financial value of deployed inventory
turn velocity- rate at which inventory is replenished over time
shipment consolidation ✅✅ANSW-Reduce transportation costs through larger (and therefore
fewer) shipments.
Quality ✅✅ANSW-TQM
Life cycle support ✅✅ANSW-integrating the activities of reverse logistics, recycling, after-market
service, product recall, and product disposal across global supply chain functions.
echelon logistical operating arrangement ✅✅ANSW-flow of products typically proceeds through
an established arrangement as it moves from origin to final destination
utilize warehouses to create inventory assortments and achieve consolidation economies associated
with large volume transportation shipments
use either break bulk or consolidation warehouses
Direct logistical operating arrangement ✅✅ANSW-expedited services of premium transport
combined with IT to rapidly process customer orders and achieve delivery performance
reduces time delays and overcomes geographical separation
commonly used for inbound components and materials to manufacturing plants
Combines logistical operating arrangement ✅✅ANSW-combo of inherent benefits of echeloned
and direct logistics
slower the turnover, more erratic demand
Flexible Operations ✅✅ANSW-preplanned contingency strategies to prevent logistical failures
Master facilities ✅✅ANSW-designate larger facilities for backup support of smaller, restricted
facilities
Supply chain synchronization ✅✅ANSW-the operational integration of multiple firms across a
supply chain
