SCMN Exam 1
1. What is a supply chain? An integrated collection of organizations, people,
activities,
information, and resources. It includes customers,
retailers, manufacturers and suppliers.
2. What is supply chain
manage- ment? The "art" of managing the flow of materials and
products, information, and financial resources from
source to user. It involves all the activities that take
place to get a product in your hands - from the time
of raw materials extraction to the minute you pull out
your credit card and take the final product home.
3. Why is SCM important to compa- SCM help companies outpace the competition by
manag-
nies? ing their materials, product, and information flows. It
is better, faster, and cheaper
4. What value does SCM provide? Customer care, competitiveness, eflciency, responsive-
ness, resiliency
5. What are the essential
activities in a supply chain? -Planning and forecasting: helps companies
establish what they want to build, buy, and sell
-Supply management and procurement: helps
companies determine how they will buy or make
the product
-Operations management and production: help
transport input to output
-Logistics and transportation : moving the finished
goods to where they are needed
6. What are challenges of SCM? - Product life cycles are shrinking
-Customers are demanding customized products
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16
, SCMN Exam 1
-Competition is intensifying
-Companies need to be much more eflcient
7.
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, SCMN Exam 1
Why is SCM important to -Product Availability : Time Utility and Place Utility
cus- tomers?
-Fulfillment Accuracy : Right Product, Right Customer,
Right Time, Right Place, Right Condition, Right
Quantity, Right Cost
8. Who is the most important
par- ticipant in the supply
chain? The consumer
9. What companies have the
best supply chains?
Schneider Electric, Cisco Systems, Colgate-Palmolive,
John- son and Johnson, PepsiCo
10. What are the three key flows of a Money, Information, Product
supply chain?
11. What is the logistics network? The sequence or system of organizations or
operations that
work together to design, produce, and deliver a
product or service to a Market, extending from the
extraction of raw materials to the distribution of
finished products or services.
12. What are nodes? A fixed point in a supply chain where valued
added processes take place. Goods are processed,
transformed, mixed, held, or sold at nodes
13. What are links The transportation method used to connect the
nodes (plants, warehouses, stores) in a supply
chain.
14. Benefits of Centralized
supply chain network -Lower Inventory and safety stock levels
-Single location creates better visibility
-Lower over head stock
-Less Labor
-Smaller management team
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16
1. What is a supply chain? An integrated collection of organizations, people,
activities,
information, and resources. It includes customers,
retailers, manufacturers and suppliers.
2. What is supply chain
manage- ment? The "art" of managing the flow of materials and
products, information, and financial resources from
source to user. It involves all the activities that take
place to get a product in your hands - from the time
of raw materials extraction to the minute you pull out
your credit card and take the final product home.
3. Why is SCM important to compa- SCM help companies outpace the competition by
manag-
nies? ing their materials, product, and information flows. It
is better, faster, and cheaper
4. What value does SCM provide? Customer care, competitiveness, eflciency, responsive-
ness, resiliency
5. What are the essential
activities in a supply chain? -Planning and forecasting: helps companies
establish what they want to build, buy, and sell
-Supply management and procurement: helps
companies determine how they will buy or make
the product
-Operations management and production: help
transport input to output
-Logistics and transportation : moving the finished
goods to where they are needed
6. What are challenges of SCM? - Product life cycles are shrinking
-Customers are demanding customized products
1/
16
, SCMN Exam 1
-Competition is intensifying
-Companies need to be much more eflcient
7.
2/
16
, SCMN Exam 1
Why is SCM important to -Product Availability : Time Utility and Place Utility
cus- tomers?
-Fulfillment Accuracy : Right Product, Right Customer,
Right Time, Right Place, Right Condition, Right
Quantity, Right Cost
8. Who is the most important
par- ticipant in the supply
chain? The consumer
9. What companies have the
best supply chains?
Schneider Electric, Cisco Systems, Colgate-Palmolive,
John- son and Johnson, PepsiCo
10. What are the three key flows of a Money, Information, Product
supply chain?
11. What is the logistics network? The sequence or system of organizations or
operations that
work together to design, produce, and deliver a
product or service to a Market, extending from the
extraction of raw materials to the distribution of
finished products or services.
12. What are nodes? A fixed point in a supply chain where valued
added processes take place. Goods are processed,
transformed, mixed, held, or sold at nodes
13. What are links The transportation method used to connect the
nodes (plants, warehouses, stores) in a supply
chain.
14. Benefits of Centralized
supply chain network -Lower Inventory and safety stock levels
-Single location creates better visibility
-Lower over head stock
-Less Labor
-Smaller management team
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16
