MGMT 314 Test Questions with Right Answers, A+

A supply chain is defined as the group of firms that provide all processes required to make a finished product available to the customer True/False - True MRP stands for Materials Requirement Planning True/False - False Materials resource planning Information flows in both direction in supply chain True/False - True ECR stands for efficient consumer response True/Fals - True SCM suppliers should be viewed as "partners" True/False - True When a manufacturer develops an innovative product and then identifies a suitable target market and distribution channel it is Push strategy. True/False - True Customers are not included as part of supply chains. True/False - False A company's supply chain involves the flow of materials and information from suppliers, through production, to the end users. True/False - True Supply chains are sometimes referred to as value chains because they reflect the concept that value is added as goods and services progress through the chain. True/False - True Relational exchanges cannot be successful without information sharing among various participants. True/False - True In supply chain organisations, functions must operate independently of each other. True/False - False A distributor makes investment decisions regarding the transportation infrastructure and then makes operating decisions to try to maximise the return from these assets. True/False - False Every business organisation is part of at least one supply chain True/False - True The vehicle-related cost is incurred whether the vehicle is operating or not and is considered fixed for short-term operational decisions by the carrier True/False - True Wal-Mart's EDI system issues electronic purchase orders and receives electronic invoices from virtually all of Wal-Mart's suppliers. True/False - True Upstream supply chain is involved with the procurement of material from suppliers. True/False - True A milk run is a route in which a truck either delivers product from a single supplier to multiple retailers or goes from multiple suppliers to a single retailer. True/False - True SCM can include having suppliers actually on site producing products or services in a manufacturers facility.