QUESTIONS & VERIFIED CORRECT
ANSWERS
Functional and innovative product categories designated by Marshall L. Fisher - Correct
Answer ✔✔ Aggressively reducing lead times would be a proper performance indicator
for a typical innovative product
Qualitative Risk Analysis - Correct Answer ✔✔ probability, impact, urgency
The costs of acquiring new customers tend to be front-loaded in the relationship. -
Correct Answer ✔✔ If enough customers can be retained over the long term, the cost of
retaining them declines as the profits derived from them increase.
Reducing the amount of inventory (inventory turn) has a direct impact on - Correct
Answer ✔✔ the financial aspects of a supply chain.
Companies and supply chain partners who are not members of a trading bloc might
need to do - Correct Answer ✔✔ Resort to protectionist tactics. If a trade bloc is large,
nonmembers may see their prices and demand for exports decrease. This can result in
deterioration in trade terms and decreased market power of these nonmembers. Seeing
a decrease in their exports, they may resort to protectionist tactics and increase their
lobbying efforts.
Products that come in kit form - Correct Answer ✔✔ are designed for logistics. This
makes them easier to transport, store, and package.
IKEA's IWAY strategy is to - Correct Answer ✔✔ engage in long-term relationships with
fewer suppliers, and IKEA is committed to helping the suppliers do their best
environmentally. The company has developed a code of conduct that suppliers must
adhere to in order to work with IKEA. The code delineates the requirements for the
outside environment and the social and working conditions in an initiative they call
IWAY.
CPFR (Collaborative Planning, Forecasting and Replenishment) - Correct Answer ✔✔
is a way to integrate the components of demand management among supply chain
partners. For example, reduce the lead time of components and increase the on-time
delivery performance of suppliers.
Virtual trading exchange - Correct Answer ✔✔ An online trading exchange that enables
both information integration and collaboration between multiple trading partners. supply
chain partners working in close collaboration while retaining independent ownership.