Page 1 of 42
BCOR 360 EXAM 2 STUDY GUIDE | LATEST
UPDATE 2026/2027 | PRACTICE QUESTIONS
AND ANSWERS | EXAM REVIEW.
Table of Contents
1. Operations Management and Strategy
2. Supply Chain Management and the SCOR Model
3. Strategic Sourcing and Purchasing
4. Manufacturing Processes and Product Design
5. Inventory Management
6. Demand Forecasting
7. Sales and Operations Planning
8. Lean Systems and Quality Management
9. Logistics and Distribution
10. Supply Chain Metrics and Performance
, Page 2 of 42
Question 1: A manufacturing firm is evaluating its competitive priorities. The firm has
determined that customers expect a minimum level of product quality but do not consider
quality a differentiating factor when making purchase decisions. According to operations
strategy theory, product quality in this context is best classified as which of the following?
A) Order winner
B) Order qualifier
C) Core competency
D) Strategic differentiator
Correct Answer: B) Order qualifier
An order qualifier is a performance dimension for which customers expect a minimum level
of performance but that does not provide a competitive advantage. Order winners, by
contrast, are dimensions that directly win customers and differentiate the firm from
competitors. The scenario describes a minimum threshold that must be met but is not a
competitive differentiator, which is the definition of an order qualifier.
Question 2: A supply chain analyst is mapping the flow of materials for a major appliance
manufacturer. The analyst uses the SCOR model to classify activities. Which of the following
is NOT one of the five activities in the SCOR model?
A) Plan
B) Source
C) Market
D) Return
Correct Answer: C) Market
The SCOR (Supply Chain Operations Reference) model consists of five core activities: Plan,
Source, Make, Deliver, and Return. "Market" is not a SCOR activity. The SCOR model is a
supply chain framework that seeks to standardize and illustrate business processes,
performance metrics, and best practices across industries.
Question 3: A procurement manager at a consumer electronics company is analyzing the
firm's purchasing portfolio. The firm purchases standard resistors from a large number of
competitive suppliers, and the total spend on resistors is high relative to the market. Using the
strategic sourcing matrix, how should this purchase be classified?
A) Critical item
B) Bottleneck item
, Page 3 of 42
C) Leverage item
D) Routine item
Correct Answer: C) Leverage item
Leverage purchases are characterized by a large number of competitive suppliers and high
spend relative to the market. This category represents the buyer's best opportunity to save
money through competitive bidding and negotiation. Critical items are strategically
important with few suppliers, bottleneck items are difficult to manage due to few options, and
routine items are low value and low risk.
Question 4: A supply chain manager is conducting a make-or-buy analysis for a component
used in the firm's flagship product. The component is strategically important to the firm's
competitive advantage, and the firm has strong internal manufacturing capabilities. What
does the make-or-buy analysis suggest?
A) The firm should outsource the component to a low-cost supplier.
B) The firm should make the component internally.
C) The firm should use a hybrid approach with a 50/50 split.
D) The firm should outsource only if the supplier offers a 20% cost reduction.
Correct Answer: B) The firm should make the component internally.
The make-or-buy decision analysis suggests that before outsourcing a strategic item, a firm
should seriously consider its own ability to successfully make that item. If the item is
strategically important and the firm has strong internal capabilities, making it internally
preserves the firm's competitive advantage and protects intellectual property. Outsourcing a
strategic item erodes competitive positioning.
Question 5: A production manager is evaluating a manufacturing process for a new line of
products. The process will produce a narrow range of standard items with identical or highly
similar designs. Which type of manufacturing process is best suited for this production
requirement?
A) Job shop
B) Production line
C) Project
D) Flexible manufacturing system
Correct Answer: B) Production line
A production line is a type of manufacturing process used to produce a narrow range of
, Page 4 of 42
standard items with identical or highly similar designs. This process is characterized by high
volume, low variety, and a product-based layout where resources are arranged sequentially
according to the steps required to make the product. A job shop, by contrast, produces a wide
variety of highly customized products in small quantities.
Question 6: A firm is evaluating a manufacturing technology investment. The technology is
described as highly automated batch processes that can reduce the cost of making groups of
similar products. Which of the following best describes this technology?
A) Continuous flow manufacturing
B) Flexible Manufacturing Systems (FMSs)
C) Job shop production
D) Project manufacturing
Correct Answer: B) Flexible Manufacturing Systems (FMSs)
Flexible Manufacturing Systems (FMSs) are highly automated batch processes that can
reduce the cost of making groups of similar products. FMSs combine the flexibility of a job
shop with the efficiency of a production line, making them ideal for mid-volume, mid-variety
production environments. Continuous flow is for extremely high volumes with no variety, and
job shops handle high variety with low volume.
Question 7: A product development team is analyzing the product life cycle for a mature
consumer product. According to the supply chain task framework for the product life cycle,
what is the primary supply chain priority during the maturity stage?
A) Minimize inventory and maximize flexibility
B) Provide product access at the lowest possible cost
C) Maximize product variety and customization
D) Achieve rapid product introduction and market penetration
Correct Answer: B) Provide product access at the lowest possible cost
During the maturity stage of the product life cycle, demand stabilizes, competition intensifies,
and price becomes a primary competitive factor. The supply chain task during maturity is to
provide product access at the lowest possible cost while maintaining acceptable service
levels. During introduction, the focus is on rapid introduction; during growth, the focus is on
maximizing availability.
Question 8: A firm is using the BCG Growth-Share Matrix to evaluate its product portfolio. A
product has a high market growth rate but a low relative market share. According to the BCG
BCOR 360 EXAM 2 STUDY GUIDE | LATEST
UPDATE 2026/2027 | PRACTICE QUESTIONS
AND ANSWERS | EXAM REVIEW.
Table of Contents
1. Operations Management and Strategy
2. Supply Chain Management and the SCOR Model
3. Strategic Sourcing and Purchasing
4. Manufacturing Processes and Product Design
5. Inventory Management
6. Demand Forecasting
7. Sales and Operations Planning
8. Lean Systems and Quality Management
9. Logistics and Distribution
10. Supply Chain Metrics and Performance
, Page 2 of 42
Question 1: A manufacturing firm is evaluating its competitive priorities. The firm has
determined that customers expect a minimum level of product quality but do not consider
quality a differentiating factor when making purchase decisions. According to operations
strategy theory, product quality in this context is best classified as which of the following?
A) Order winner
B) Order qualifier
C) Core competency
D) Strategic differentiator
Correct Answer: B) Order qualifier
An order qualifier is a performance dimension for which customers expect a minimum level
of performance but that does not provide a competitive advantage. Order winners, by
contrast, are dimensions that directly win customers and differentiate the firm from
competitors. The scenario describes a minimum threshold that must be met but is not a
competitive differentiator, which is the definition of an order qualifier.
Question 2: A supply chain analyst is mapping the flow of materials for a major appliance
manufacturer. The analyst uses the SCOR model to classify activities. Which of the following
is NOT one of the five activities in the SCOR model?
A) Plan
B) Source
C) Market
D) Return
Correct Answer: C) Market
The SCOR (Supply Chain Operations Reference) model consists of five core activities: Plan,
Source, Make, Deliver, and Return. "Market" is not a SCOR activity. The SCOR model is a
supply chain framework that seeks to standardize and illustrate business processes,
performance metrics, and best practices across industries.
Question 3: A procurement manager at a consumer electronics company is analyzing the
firm's purchasing portfolio. The firm purchases standard resistors from a large number of
competitive suppliers, and the total spend on resistors is high relative to the market. Using the
strategic sourcing matrix, how should this purchase be classified?
A) Critical item
B) Bottleneck item
, Page 3 of 42
C) Leverage item
D) Routine item
Correct Answer: C) Leverage item
Leverage purchases are characterized by a large number of competitive suppliers and high
spend relative to the market. This category represents the buyer's best opportunity to save
money through competitive bidding and negotiation. Critical items are strategically
important with few suppliers, bottleneck items are difficult to manage due to few options, and
routine items are low value and low risk.
Question 4: A supply chain manager is conducting a make-or-buy analysis for a component
used in the firm's flagship product. The component is strategically important to the firm's
competitive advantage, and the firm has strong internal manufacturing capabilities. What
does the make-or-buy analysis suggest?
A) The firm should outsource the component to a low-cost supplier.
B) The firm should make the component internally.
C) The firm should use a hybrid approach with a 50/50 split.
D) The firm should outsource only if the supplier offers a 20% cost reduction.
Correct Answer: B) The firm should make the component internally.
The make-or-buy decision analysis suggests that before outsourcing a strategic item, a firm
should seriously consider its own ability to successfully make that item. If the item is
strategically important and the firm has strong internal capabilities, making it internally
preserves the firm's competitive advantage and protects intellectual property. Outsourcing a
strategic item erodes competitive positioning.
Question 5: A production manager is evaluating a manufacturing process for a new line of
products. The process will produce a narrow range of standard items with identical or highly
similar designs. Which type of manufacturing process is best suited for this production
requirement?
A) Job shop
B) Production line
C) Project
D) Flexible manufacturing system
Correct Answer: B) Production line
A production line is a type of manufacturing process used to produce a narrow range of
, Page 4 of 42
standard items with identical or highly similar designs. This process is characterized by high
volume, low variety, and a product-based layout where resources are arranged sequentially
according to the steps required to make the product. A job shop, by contrast, produces a wide
variety of highly customized products in small quantities.
Question 6: A firm is evaluating a manufacturing technology investment. The technology is
described as highly automated batch processes that can reduce the cost of making groups of
similar products. Which of the following best describes this technology?
A) Continuous flow manufacturing
B) Flexible Manufacturing Systems (FMSs)
C) Job shop production
D) Project manufacturing
Correct Answer: B) Flexible Manufacturing Systems (FMSs)
Flexible Manufacturing Systems (FMSs) are highly automated batch processes that can
reduce the cost of making groups of similar products. FMSs combine the flexibility of a job
shop with the efficiency of a production line, making them ideal for mid-volume, mid-variety
production environments. Continuous flow is for extremely high volumes with no variety, and
job shops handle high variety with low volume.
Question 7: A product development team is analyzing the product life cycle for a mature
consumer product. According to the supply chain task framework for the product life cycle,
what is the primary supply chain priority during the maturity stage?
A) Minimize inventory and maximize flexibility
B) Provide product access at the lowest possible cost
C) Maximize product variety and customization
D) Achieve rapid product introduction and market penetration
Correct Answer: B) Provide product access at the lowest possible cost
During the maturity stage of the product life cycle, demand stabilizes, competition intensifies,
and price becomes a primary competitive factor. The supply chain task during maturity is to
provide product access at the lowest possible cost while maintaining acceptable service
levels. During introduction, the focus is on rapid introduction; during growth, the focus is on
maximizing availability.
Question 8: A firm is using the BCG Growth-Share Matrix to evaluate its product portfolio. A
product has a high market growth rate but a low relative market share. According to the BCG
