SCM FINAL EXAM QUESTIONS AND ANSWERS
· What is project? - Answers - A temporary endeavor undertaken to create a unique
product, service, or result.
· Project life cycle? - Answers - The phases that make up the project. Project life cycles
are unique to the type of work being performed and are not universal to all projects.
· What are network planning techniques? - Answers - methods that study projects as a
set of interconnected activities with the purpose of assisting in planning, managing and
controlling projects
· What is activity time estimate? Probabilistic and deterministic? How do we calculate
them? - Answers - Activity duration estimates are approximations of how much time a
project task will take. They can be in the form of different time periods, such as hours,
days, weeks or months, and usually refer to work or business periods
In deterministic models, the output of the model is fully determined by the parameter
values and the initial values, whereas probabilistic (or stochastic) models incorporate
randomness in their approach. Consequently, the same set of parameter values and
initial conditions will lead to a group of different outputs.
· Network diagrams - Answers - a graphical tool that shows the logical linkages between
activities in a project
· What are the steps on project management? - Answers - initiating, planning,
executing, controlling, closing, success
· How to estimate project's completion time? - Answers - multiply that length by the
number of similar tasks that the project involves
· What is the Critical path? How to find it? And what is the major characteristics
associated with critical path? - Answers - a technique where you identify tasks that are
necessary for project completion and determine scheduling flexibilities. A critical path in
project management is the longest sequence of activities that must be finished on time
in order for the entire project to be complete
· How to calculate the variance of project's completion time? - Answers - SV % =
Schedule Variance (SV) / Planned Value (PV) SV % = SV / BCWS
· What is crashing a project mean ? - Answers - when you shorten the duration of a
project by reducing the time of one or more tasks
, · How to crash a project? Where to start and how to calculate the cost associated with
crashing a project? - Answers - Define the project logic.
Add the duration for each activity.
Establish the project critical path.
Calculate the cost of crashing each activity.
Calculate the cost of crashing per unit time.
Calculate the most cost-effective crash sequence.
· What is supply chains? - Answers - a system within organizations, people, activities,
information, and resources involved in supplying a product or service to a consumer
· What is logistics? - Answers - Planning and executing of the movement and support of
forces
· External suppliers? - Answers - the businesses or individuals who provide the
resources, services, products, and materials for the firm's short-term and long-term
needs
· Internal suppliers? - Answers - the employees or processes that supply important
information or materials to a firm's processes
· What are the components of a supply chain? - Answers - 1. Production scheduling
2. Sourcing and procurement
3. Order processing and fulfillment
4. Inventory control
5. Warehousing and materials handling
6. Transportation
7. Customer relationship management
· Vertical, forward and backward integration. - Answers - entering into activities where
the organisation is its own supplier or customer
· Differences between tiers one, two, and three suppliers. - Answers - Tier 1 suppliers
sell their product directly to these major corporations. Tier 2 suppliers sell their product
to a company that then sells product directly to the major corporation. Tier 3 is simply
three ranks in. It would be useful to think of the specific product as being tiered.
· What are Top three criteria for choosing suppliers? - Answers - "Total Cost of
Ownership" Strategic sourcing and direct procurement teams realize that the price of a
· What is project? - Answers - A temporary endeavor undertaken to create a unique
product, service, or result.
· Project life cycle? - Answers - The phases that make up the project. Project life cycles
are unique to the type of work being performed and are not universal to all projects.
· What are network planning techniques? - Answers - methods that study projects as a
set of interconnected activities with the purpose of assisting in planning, managing and
controlling projects
· What is activity time estimate? Probabilistic and deterministic? How do we calculate
them? - Answers - Activity duration estimates are approximations of how much time a
project task will take. They can be in the form of different time periods, such as hours,
days, weeks or months, and usually refer to work or business periods
In deterministic models, the output of the model is fully determined by the parameter
values and the initial values, whereas probabilistic (or stochastic) models incorporate
randomness in their approach. Consequently, the same set of parameter values and
initial conditions will lead to a group of different outputs.
· Network diagrams - Answers - a graphical tool that shows the logical linkages between
activities in a project
· What are the steps on project management? - Answers - initiating, planning,
executing, controlling, closing, success
· How to estimate project's completion time? - Answers - multiply that length by the
number of similar tasks that the project involves
· What is the Critical path? How to find it? And what is the major characteristics
associated with critical path? - Answers - a technique where you identify tasks that are
necessary for project completion and determine scheduling flexibilities. A critical path in
project management is the longest sequence of activities that must be finished on time
in order for the entire project to be complete
· How to calculate the variance of project's completion time? - Answers - SV % =
Schedule Variance (SV) / Planned Value (PV) SV % = SV / BCWS
· What is crashing a project mean ? - Answers - when you shorten the duration of a
project by reducing the time of one or more tasks
, · How to crash a project? Where to start and how to calculate the cost associated with
crashing a project? - Answers - Define the project logic.
Add the duration for each activity.
Establish the project critical path.
Calculate the cost of crashing each activity.
Calculate the cost of crashing per unit time.
Calculate the most cost-effective crash sequence.
· What is supply chains? - Answers - a system within organizations, people, activities,
information, and resources involved in supplying a product or service to a consumer
· What is logistics? - Answers - Planning and executing of the movement and support of
forces
· External suppliers? - Answers - the businesses or individuals who provide the
resources, services, products, and materials for the firm's short-term and long-term
needs
· Internal suppliers? - Answers - the employees or processes that supply important
information or materials to a firm's processes
· What are the components of a supply chain? - Answers - 1. Production scheduling
2. Sourcing and procurement
3. Order processing and fulfillment
4. Inventory control
5. Warehousing and materials handling
6. Transportation
7. Customer relationship management
· Vertical, forward and backward integration. - Answers - entering into activities where
the organisation is its own supplier or customer
· Differences between tiers one, two, and three suppliers. - Answers - Tier 1 suppliers
sell their product directly to these major corporations. Tier 2 suppliers sell their product
to a company that then sells product directly to the major corporation. Tier 3 is simply
three ranks in. It would be useful to think of the specific product as being tiered.
· What are Top three criteria for choosing suppliers? - Answers - "Total Cost of
Ownership" Strategic sourcing and direct procurement teams realize that the price of a
