Supply Chain Management, 6e (Chopra/Meindl)
Chapter 1 Understanding the Supply Chain
1.1 True/False Questions
1) A supply chain could be more accurately described as a supply network or supply web.
Answer: TRUE
Diff: 2
Topic: 1.1 What Is a Supply Chain?
AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
chain decisions on the success of a firm.
2) All stages of an enterprise are involved, either directly or indirectly, in fulfilling a
customer request.
Answer: TRUE
Diff: 2
Topic: 1.1 What Is a Supply Chain?
AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
chain decisions on the success of a firm.
3) A supply chain includes only the organizations directly involved in supplying
components needed for manufacturing.
Answer: FALSE
Diff: 2
Topic: 1.2 The Objective of a Supply Chain
,AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
chain decisions on the success of a firm.
4) The objective of every supply chain is to maximize the overall value generated.
Answer: TRUE
Diff: 1
Topic: 1.2 The Objective of a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
chain decisions on the success of a firm.
5) The objective of the customer arrival process is to ensure that orders are quickly and
accurately entered and communicated to other affected supply chain processes.
Answer: FALSE
Diff: 2
Topic: 1.2 The Objective of a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
chain decisions on the success of a firm.
6) The objective of customer order entry is to maintain a record of product receipt and
complete payment.
Answer: FALSE
Diff: 3
Topic: 1.2 The Objective of a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
,chain decisions on the success of a firm.
7) The difference between the value of the product and its price remains with the
customer as consumer surplus.
Answer: TRUE
Diff: 1
Topic: 1.2 The Objective of a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
chain decisions on the success of a firm.
8) The supply chain planning phase exceeds the supply chain design phase in duration.
Answer: FALSE
Diff: 2
Topic: 1.4 Decision Phases in a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.2: Identify the three key supply chain decision phases and explain the
significance of each one.
9) The goal during the supply chain operation phase is to exploit the reduction of
uncertainty and optimize performance.
Answer: TRUE
Diff: 2
Topic: 1.4 Decision Phases in a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.2: Identify the three key supply chain decision phases and explain the
significance of each one.
, 10) The replenishment cycle occurs at the retailer/distributor interface.
Answer: TRUE
Diff: 3
Topic: 1.5 Process Views of a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.3: Describe the cycle and push/pull views of a supply chain.
Chapter 1 Understanding the Supply Chain
1.1 True/False Questions
1) A supply chain could be more accurately described as a supply network or supply web.
Answer: TRUE
Diff: 2
Topic: 1.1 What Is a Supply Chain?
AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
chain decisions on the success of a firm.
2) All stages of an enterprise are involved, either directly or indirectly, in fulfilling a
customer request.
Answer: TRUE
Diff: 2
Topic: 1.1 What Is a Supply Chain?
AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
chain decisions on the success of a firm.
3) A supply chain includes only the organizations directly involved in supplying
components needed for manufacturing.
Answer: FALSE
Diff: 2
Topic: 1.2 The Objective of a Supply Chain
,AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
chain decisions on the success of a firm.
4) The objective of every supply chain is to maximize the overall value generated.
Answer: TRUE
Diff: 1
Topic: 1.2 The Objective of a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
chain decisions on the success of a firm.
5) The objective of the customer arrival process is to ensure that orders are quickly and
accurately entered and communicated to other affected supply chain processes.
Answer: FALSE
Diff: 2
Topic: 1.2 The Objective of a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
chain decisions on the success of a firm.
6) The objective of customer order entry is to maintain a record of product receipt and
complete payment.
Answer: FALSE
Diff: 3
Topic: 1.2 The Objective of a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
,chain decisions on the success of a firm.
7) The difference between the value of the product and its price remains with the
customer as consumer surplus.
Answer: TRUE
Diff: 1
Topic: 1.2 The Objective of a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.1: Discuss the goal of a supply chain and explain the impact of supply
chain decisions on the success of a firm.
8) The supply chain planning phase exceeds the supply chain design phase in duration.
Answer: FALSE
Diff: 2
Topic: 1.4 Decision Phases in a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.2: Identify the three key supply chain decision phases and explain the
significance of each one.
9) The goal during the supply chain operation phase is to exploit the reduction of
uncertainty and optimize performance.
Answer: TRUE
Diff: 2
Topic: 1.4 Decision Phases in a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.2: Identify the three key supply chain decision phases and explain the
significance of each one.
, 10) The replenishment cycle occurs at the retailer/distributor interface.
Answer: TRUE
Diff: 3
Topic: 1.5 Process Views of a Supply Chain
AACSB: Application of knowledge
Objective: LO 1.3: Describe the cycle and push/pull views of a supply chain.
