Logistics Exam 1

Question 1 of 140

Medal-premium 1

Globalization has had little effect on consumers.

Select one of the following:

  • True
  • False

Question 2 of 140

Medal-premium 1

Cost/Value refers to

Select one of the following:

  • getting the best value for the money spent.

  • U.S. firms competing in the global arena.

  • the importance of cost and value at the very end of the supply chain.

  • product variety.

Question 3 of 140

Medal-premium 1

Supply chain managers no longer need to worry about sub-optimization in light of today’s technology.

Select one of the following:

  • True
  • False

Question 4 of 140

Medal-premium 1

A key element in Wal-Mart’s ability to discount brand name products was an understanding of the criticality of efficiency in its logistics and supply chain system.

Select one of the following:

  • True
  • False

Question 5 of 140

Medal-premium 1

Outsourcing is a fairly new concept.

Select one of the following:

  • True
  • False

Question 6 of 140

Medal-premium 1

Supply and demand has become less volatile as managers become more adept at controlling the elements.

Select one of the following:

  • True
  • False

Question 7 of 140

Medal-premium 1

Traditionally, information has been viewed as flowing in the opposite direction of products, that is, from the market/customer back to the wholesalers, manufacturers, and vendors.

Select one of the following:

  • This is still true and has not changed.

  • Computerization has greatly increased the flow of information from the source.

  • The “Big Box” stores have developed their own sources.

  • None of these answers

Question 8 of 140

Medal-premium 1

Even though there are references to supply chain management in the 1980s, SCM did not capture the attention of senior-level management until the 1990s.

Select one of the following:

  • True
  • False

Question 9 of 140

Medal-premium 1

The first decade of the twenty-first century was a period of rapid change for organizations, especially businesses.

Select one of the following:

  • True
  • False

Question 10 of 140

Medal-premium 1

One of the major challenges of supply chain management is

Select one of the following:

  • forward buying.

  • maintaining the visibility of inventory.

  • building safety-stock inventory

  • pushing inventory back to vendors.

Question 11 of 140

Medal-premium 1

The challenge to develop and sustain an efficient and effective supply chain(s) requires organizations to address a number of issues. Which is not included?

Select one of the following:

  • Complexity

  • Inventory deployment

  • Inventory carrying costs

  • Technology

Question 12 of 140

Medal-premium 1

The U.S. transportation system was deregulated in the 1930s and 1940s in response to economic conditions and World War 2.

Select one of the following:

  • True
  • False

Question 13 of 140

Medal-premium 1

It is predicted that social networks such as Facebook and Twitter will influence supply chains because of their impact on customer demand and the speed of information transfers.

Select one of the following:

  • True
  • False

Question 14 of 140

Medal-premium 1

Performance measurement is important because

Select one of the following:

  • it allows firms to rate competitors.

  • without it, managers would not know how the global economy is doing.

  • companies presently operating in the European Economic Community need to understand how its competitors are doing.

  • lower-level metrics in an organization must connect directly to the high-level performance to achieve goals.

Question 15 of 140

Medal-premium 1

The Supply Chain Concept

Select one of the following:

  • is very new and considered cutting edge technology.

  • is highly dependent of computerization.

  • is not always well understood by senior managers.

  • developed from the previous Physical Distribution concept.

Question 16 of 140

Medal-premium 1

Which of the below is not one of the external forces driving the rate of change and shaping our economic and political landscape?

Select one of the following:

  • Government policy

  • Technology

  • Environmental concerns

  • Globalization

Question 17 of 140

Medal-premium 1

A critical outcome of the supply chain is to deliver

Select one of the following:

  • profits.

  • the right product to the right place.

  • cost/value.

  • on management's expectations.

Question 18 of 140

Medal-premium 1

Complexity in the supply chain is caused by

Select one of the following:

  • the number of SKUs.

  • locations of customers and suppliers.

  • transportation requirements.

  • All of these answers.

Question 19 of 140

Medal-premium 1

Most retailers are essentially supply chain companies since

Select one of the following:

  • they dominate the consumer market.

  • own their warehouses and trucks.

  • they buy products produced by others.

  • engage in off-shore sourcing.

Question 20 of 140

Medal-premium 1

SAB should examine their off-shore purchasing policy, even though the products are sourced from the U.S.

Select one of the following:

  • True
  • False

Question 21 of 140

Medal-premium 1

What activity is described as the movement of goods into a warehouse, the placement of goods in a warehouse, and the movement of goods from storage to order picking areas and eventually to dock areas for transportation out of the warehouse?

Select one of the following:

  • Material handling

  • Physical distribution

  • Business logistics

  • Order fullfilment

Question 22 of 140

Medal-premium 1

Transportation is the physical movement of flow of goods.

Select one of the following:

  • True
  • False

Question 23 of 140

Medal-premium 1

Ensuring the availability of the right product, in the right quantity, and the right condition, at the right place, at the right time, for the right customer at the right cost, is which definition of logistics?

Select one of the following:

  • Seven Rs

  • Council of Logistics Management

  • Society of Logistic Engineers

  • Supply chain logistics

Question 24 of 140

Medal-premium 1

In a logistics system, warehousing should be optimized at the expense of related logistics activities, such as transportation and procurement.

Select one of the following:

  • True
  • False

Question 25 of 140

Medal-premium 1

The utility created through the basic marketing activities is known as place utility.

Select one of the following:

  • True
  • False

Question 26 of 140

Medal-premium 1

The mathematical calculation of the point of equality between systems under analysis is used for short-run/static analysis.

Select one of the following:

  • True
  • False

Question 27 of 140

Medal-premium 1

Logistics is the process of anticipating customer needs and wants; acquiring the capital, materials, people, technologies, and information necessary to meet those needs and wants; optimizing the goods- or service-producing network to fulfill customer requests; and utilizing the network to fulfill customer requests in a timely manner. This is a

Select one of the following:

  • definition from an inventory perspective.

  • general definition.

  • definition offered by the Society of Logistics Engineers.

  • a definition provided by the Council of Logistics Management.

Question 28 of 140

Medal-premium 1

Which of the answers below is an example of the creation of form utility by a logistics activity?

Select one of the following:

  • When lumber is cut and made into a chair

  • When a firm's finance manager approves customer purchases on a credit basis

  • When Dell combines components with software to produce a computer to a customer’s specifications

  • The breaking bulk and repackaging at a distribution center

Question 29 of 140

Medal-premium 1

Marketers have begun to recognize the strategic value of place in the marketing mix, as well as the benefits resulting from high-quality logistical services. As a result, which has been recognized as the interface activity between marketing and logistics?

Select one of the following:

  • Product

  • Promotion

  • Price

  • Customer service

Question 30 of 140

Medal-premium 1

During the 1990s and 2000s, logistics costs as a percentage of gross national product declined.

Select one of the following:

  • True
  • False

Question 31 of 140

Medal-premium 1

Logistics creates which utility through production forecasting, production scheduling and inventory control?

Select one of the following:

  • Form utility

  • Quantity utility

  • Time utility

  • Possession utility

Question 32 of 140

Medal-premium 1

An aircraft manufacturer is a good example of an organization with a heavy inbound flow and a simple outbound flow.

Select one of the following:

  • True
  • False

Question 33 of 140

Medal-premium 1

To hold down distribution cost, the lowest cost carrier should always be used.

Select one of the following:

  • True
  • False

Question 34 of 140

Medal-premium 1

The inverse relationship that exists between the cost of lost sales and inventory costs is the inventory effect.

Select one of the following:

  • True
  • False

Question 35 of 140

Medal-premium 1

Time utility depends on

Select one of the following:

  • when the carrier picks up the shipment.

  • transportation companies delivering on time.

  • proper forecasting.

  • having the product available when the user wants it.

Question 36 of 140

Medal-premium 1

Materials handling is concerned with

Select one of the following:

  • inventory levels.

  • breaking bulk.

  • scheduling trade-offs.

  • short-distance movement.

Question 37 of 140

Medal-premium 1

What is often the largest component of logistics costs?

Select one of the following:

  • Inventory costs

  • Transportation costs

  • Shipper-related costs

  • Administrative costs

Question 38 of 140

Medal-premium 1

All four subdivisions of logistics have some common characteristics. Which of the below does not belong in the list:

Select one of the following:

  • Transportation

  • Marketing

  • Scheduling

  • Forecasting

Question 39 of 140

Medal-premium 1

The utility that is created by moving goods from production points to market points where demand exists is referred to as:

Select one of the following:

  • Form

  • Place

  • Time

  • Possession

Question 40 of 140

Medal-premium 1

What technology has helped make the physical inventory-taking process more efficient and effective?

Select one of the following:

  • advances in forecasting

  • transportation management systems

  • just-in-time inventory

  • scanning of bar-coded RFID tags

Question 41 of 140

Medal-premium 1

The biggest and best known example of a regional trade agreement (RTA) is the:

Select one of the following:

  • World Trade Organization (WTO)

  • General Agreement on Tariffs and Trade (GATT)

  • European Union (EU)

  • Customs Trade Partnership Against Terrorism (C-TPAT)

Question 42 of 140

Medal-premium 1

Operating globally has become harder to accomplish for individuals and small companies.

Select one of the following:

  • True
  • False

Question 43 of 140

Medal-premium 1

Which is the main advantage of international air transport?

Select one of the following:

  • Freight rates

  • Flexibility

  • Transit times

  • Accessibility

Question 44 of 140

Medal-premium 1

An importer can store goods in a bonded warehouse for up to three years without paying duty.

Select one of the following:

  • True
  • False

Question 45 of 140

Medal-premium 1

Which are the major modes of international transportation?

Select one of the following:

  • Water and air

  • Water and rail

  • Rail and motor

  • Rail and air

Question 46 of 140

Medal-premium 1

The global logistics channel intermediary that supervises the movement of goods through customs and ensures that the documentation accompanying a shipment is complete and accurate is known as

Select one of the following:

  • a foreign freight forwarder.

  • an export packer.

  • a customs house broker.

  • a foreign trade specialist.

Question 47 of 140

Medal-premium 1

A demand-driven system is also known as

Select one of the following:

  • a supply chain

  • a pull system

  • a marketing system

  • a multi-echelon system

Question 48 of 140

Medal-premium 1

A firm using air transportation cannot use the same packaging for international shipping as for domestic shipping because many cargo aircraft are not pressurized.

Select one of the following:

  • True
  • False

Question 49 of 140

Medal-premium 1

A maquiladora plant can be located anywhere in South America.

Select one of the following:

  • True
  • False

Question 50 of 140

Medal-premium 1

Globalization was initially driven by countries

Select one of the following:

  • seeking new territories.

  • outside the U.S. seeking to establish plants in the U.S.

  • seeking materials and goods not available in their own land.

  • sponsoring trading missions.

Question 51 of 140

Medal-premium 1

In his book “The Wealth of Nations”, Adam Smith stated that economies and companies could improve their wealth by

Select one of the following:

  • allowing specialization of tasks.

  • ensuring that logistics is used to gain advantage in the marketplace.

  • becoming multi-national.

  • moving production off shore.

Question 52 of 140

Medal-premium 1

Globalization is not considered to be one of the external factors driving change in logistics.

Select one of the following:

  • True
  • False

Question 53 of 140

Medal-premium 1

A Foreign Freight Forwarder is unregulated by the government.

Select one of the following:

  • True
  • False

Question 54 of 140

Medal-premium 1

Which condition must be present before motor carriers and rail carriers can be used for international shipments?

Select one of the following:

  • shipments must be in volume and in bulk

  • the shipment must be between adjacent countries

  • no customs barriers can be imposed

  • the shipment cannot pass through adjacent countries

Question 55 of 140

Medal-premium 1

A maquiladora plant is

Select one of the following:

  • a new type of flower.

  • an entity created under NAFTA.

  • a U.S. plant performing manufacturing, processing, or assembly activity in Mexico.

  • a factory owned by the Maquiladora Corporation.

Question 56 of 140

Medal-premium 1

Ocean transportation offsets slower service with lower rates than other modes.

Select one of the following:

  • True
  • False

Question 57 of 140

Medal-premium 1

The Supply Chain should

Select one of the following:

  • manage all aspects of transportation, selecting the least cost when possible.

  • seek to maximize profits.

  • use the same techniques internationally that it uses domestically.

  • manage materials and products, information, financials, and demand.

Question 58 of 140

Medal-premium 1

Export Trading Companies and Export Management Companies are essentially the same.

Select one of the following:

  • True
  • False

Question 59 of 140

Medal-premium 1

The supply chain should manage four important flows, namely, materials and products, information, financials, and demand.

Select one of the following:

  • True
  • False

Question 60 of 140

Medal-premium 1

The North American Free Trade Agreement has removed all trade barriers between the U.S., Canada, and Mexico.

Select one of the following:

  • True
  • False

Question 61 of 140

Medal-premium 1

A financial based 3PL is a firm that takes a financial interest in an organization in order to underwrite the outsourcing of that firm’s logistics.

Select one of the following:

  • True
  • False

Question 62 of 140

Medal-premium 1

The most frequently outsourced function is freight bill payment.

Select one of the following:

  • True
  • False

Question 63 of 140

Medal-premium 1

A horizontal relationship refers to firms on the same level in the supply chain.

Select one of the following:

  • True
  • False

Question 64 of 140

Medal-premium 1

Drivers and facilitators are internal issues that an organization must address before seeking a 3PL.

Select one of the following:

  • True
  • False

Question 65 of 140

Medal-premium 1

The least-frequently used IT-based services by customers of 3PLs are:

Select one of the following:

  • transportation management (execution)

  • warehouse/distribution management

  • global trade management and transport sourcing

  • strategic and customer-related

Question 66 of 140

Medal-premium 1

Collaboration is usually defined as a “business practice that encourages individual organizations to share information and resources for the benefit of all”.

Select one of the following:

  • True
  • False

Question 67 of 140

Medal-premium 1

Once a 3PL provider is chosen, it is not necessary for an organization to seek continuous improvements as the 3PL will handle that function.

Select one of the following:

  • True
  • False

Question 68 of 140

Medal-premium 1

A Third Party Logistics firm is defined as a company that owns trucks and warehouses so as to offer integrated services.

Select one of the following:

  • True
  • False

Question 69 of 140

Medal-premium 1

Many organizations are working more closely with

Select one of the following:

  • customers.

  • customers and suppliers.

  • third-party logistics firms.

  • customers, suppliers, and various types of logistics suppliers.

Question 70 of 140

Medal-premium 1

Outsourcing and contract logistics are terms sometimes used to describe third-party logistics.

Select one of the following:

  • True
  • False

Question 71 of 140

Medal-premium 1

A third-party logistics firm may be defined as

Select one of the following:

  • an outsource service.

  • a firm that owns trucks and warehouses.

  • a firm that owns trucks and warehouses and provides computer support.

  • an external supplier that performs or manages all or part of a company’s logistics functions.

Question 72 of 140

Medal-premium 1

Approximately two-thirds of 3PL customers think their providers supply

Select one of the following:

  • tactical or operational services.

  • strategic or integrative services.

  • trucking and warehouse services.

  • a firm that can supply a competency that is not core to the firm.

Question 73 of 140

Medal-premium 1

Many organizations have directed significant attention toward working more closely with supply chain partners, including not only customers and suppliers but also various types of logistics suppliers

Select one of the following:

  • True
  • False

Question 74 of 140

Medal-premium 1

While available evidence supports the fact that the president or CEO and the finance executive are often involved with the identification of the need for logistic services,

Select one of the following:

  • customers are demanding a change.

  • executives from other areas in the company are also aware of such needs but to a lesser degree.

  • a 4PL will suggest greater collaboration.

  • off shore sourcing will point to greater need.

Question 75 of 140

Medal-premium 1

Whether the relationship may or may not be with a provider of logistics services, today’s supply chain relationships are most effective when collaboration occurs among the ____________ who are involved.

Select one of the following:

  • participants

  • third-party logistics provider

  • cutomers

  • suppliers

Question 76 of 140

Medal-premium 1

Horizontal collaboration refers to a relationship that is ___________ and/or ____________.

Select one of the following:

  • 3PLs to 3PLs and/or service provider to service provider

  • buyer to buyer and/or seller to seller

  • flat across the chain and/or involving partners equal in size

  • collaboration with horizontal and/or vertical competitors

Question 77 of 140

Medal-premium 1

The “IT gap” refers to the difference between the internal IT capabilities of 3PL users and the IT expertise of the 3PL providers.

Select one of the following:

  • True
  • False

Question 78 of 140

Medal-premium 1

The first stage in the process model for forming and sustaining supply chain relationships involves the process by which a manufacturer becomes fully aware of its logistics and supply chain needs.

Select one of the following:

  • True
  • False

Question 79 of 140

Medal-premium 1

Vertical collaboration refers to

Select one of the following:

  • collaboration among buyers and sellers in the supply chain.

  • collaboration among carriers and shippers.

  • collaboration that moves up the supply chain.

  • collaboration with competitors.

Question 80 of 140

Medal-premium 1

Full collaboration is the dynamic combination of

Select one of the following:

  • buyers, sellers, retailers, and 3PLs.

  • buyers, sellers, retailers, 3PLs, and appropriate government agencies.

  • both vertical and horizontal collaboration.

  • buyers and sellers only.

Question 81 of 140

Medal-premium 1

An index

Select one of the following:

  • combines two or more metrics into a single indicator.

  • is complex to define, usually involves a calculation and is often in the form of a ratio.

  • is easily defined with no calculations and with simple dimensions.

  • is any quantitative output of an activity or process.

Question 82 of 140

Medal-premium 1

Another driving influence for supply chain reexamination has been the desire of organizations to change their supply chain focus from a __________to an “investment” center.

Select one of the following:

  • warehouse system

  • logistics-oriented system

  • cost center

  • a customer satisfaction

Question 83 of 140

Medal-premium 1

The decision to alter the supply chain process is essentially ___________issue.

Select one of the following:

  • a management

  • an optimization

  • a supply chain

  • a customer satisfaction

Question 84 of 140

Medal-premium 1

There are four major categories that provide a useful way for examining logistics and supply chain performance: They are: time, ______, cost, and supporting metrics.

Select one of the following:

  • delivery

  • KPIs

  • competition

  • quality

Question 85 of 140

Medal-premium 1

A metric is complex to define, usually involves a calculation or a combination of measurements, and is often in the form of a ratio.

Select one of the following:

  • True
  • False

Question 86 of 140

Medal-premium 1

What is the best financial metric to show the profit an organization generates in relationship to assets utilized?

Select one of the following:

  • ROA

  • Profit

  • Return on net worth

  • Stock price

Question 87 of 140

Medal-premium 1

Another metric classification scheme that has been receiving increased attention is that developed by the Supply Chain Council and contained in the Supply Chain Operations and Reference (SCOR) model.

Select one of the following:

  • True
  • False

Question 88 of 140

Medal-premium 1

Scorecards and key performance indicators (KPIs) are the same thing.

Select one of the following:

  • True
  • False

Question 89 of 140

Medal-premium 1

Effective order management can have an impact on

Select one of the following:

  • reducing supply chain costs.

  • increasing revenues.

  • improving ROA.

  • all of these answers.

Question 90 of 140

Medal-premium 1

Managers should resist sub-optimization of their particular function unless it benefits the organization as a whole.

Select one of the following:

  • True
  • False

Question 91 of 140

Medal-premium 1

Gross margin equals

Select one of the following:

  • sales minus COGS.

  • sales + taxes minus COGS

  • COGS - sales

  • COGS - taxes

Question 92 of 140

Medal-premium 1

The current logistics management approach is supported by which performance measurement concepts?

Select one of the following:

  • Metrics

  • Total cost

  • Least total cost

  • The D1 concept developed by the Supply Chain Council

Question 93 of 140

Medal-premium 1

Channel structure management includes decisions regarding the use of outsourcing, channel inventories, ____________, and channel structure.

Select one of the following:

  • cash to cash management

  • information systems

  • order cycle

  • KPIs

Question 94 of 140

Medal-premium 1

A metric and a measure are the same.

Select one of the following:

  • True
  • False

Question 95 of 140

Medal-premium 1

Scorecard and key performance indicators (KPIs) refer to

Select one of the following:

  • sporting events.

  • metrics to manage logistics operations.

  • management’s evaluation of supply chain staff.

  • measuring output.

Question 96 of 140

Medal-premium 1

A metric could drive inappropriate behavior.

Select one of the following:

  • True
  • False

Question 97 of 140

Medal-premium 1

Customers and suppliers should be included in the development of metrics.

Select one of the following:

  • True
  • False

Question 98 of 140

Medal-premium 1

Evaluating current or potential supply chain performance metrics is not important to a sound logistics program.

Select one of the following:

  • True
  • False

Question 99 of 140

Medal-premium 1

Supply chain management involves the control of raw material, in-process, and finished goods inventories.

Select one of the following:

  • True
  • False

Question 100 of 140

Medal-premium 1

The focus on performance measurement is a recent event in industry.

Select one of the following:

  • True
  • False

Question 101 of 140

Medal-premium 1

___________ is/are a major barrier to the effective use of information technology.

Select one of the following:

  • Cost

  • People

  • Effective applications

  • Management support

Question 102 of 140

Medal-premium 1

Supply chain software that provides a platform for manufacturers, distributors, and retailers to aggregate and organize item-related data such as item number, price, description, and weight is called

Select one of the following:

  • business intelligence tools.

  • supply chain collaboration tools

  • spreadsheets and database tools

  • data synchronization tools

Question 103 of 140

Medal-premium 1

Supply chain information technologies can provide timely, cost efficient sharing of information between suppliers, manufacturers, intermediaries, logistics services providers, and customers.

Select one of the following:

  • True
  • False

Question 104 of 140

Medal-premium 1

ERP systems

Select one of the following:

  • are taking the place of SCIS systems.

  • have information elements needed by SCIS applications.

  • require RFID to be fully functional.

  • focus primarily on manufacturing issues.

Question 105 of 140

Medal-premium 1

Web-enabled SCIS allows managers to monitor sourcing, transportation, and inventory data at the order and item level.

Select one of the following:

  • True
  • False

Question 106 of 140

Medal-premium 1

The term supply chain information system (SCIS) is defined as

Select one of the following:

  • software that manages the supply chain.

  • technology that has enhanced the ability of companies to pay more attention to customers.

  • information systems that automate the flow of information between a firm and its suppliers.

  • process management software that may or may not use ASP applications.

Question 107 of 140

Medal-premium 1

Individual supply chain applications must work together to provide a holistic view of all relevant processes, and must also link effectively to supply chain partners.

Select one of the following:

  • True
  • False

Question 108 of 140

Medal-premium 1

Managers have several options for software development and implementation. They include

Select one of the following:

  • internal development.

  • third party logistics firms.

  • external software vendors.

  • all of the answers.

Question 109 of 140

Medal-premium 1

Now that people are computer-literate, they are no longer a major barrier to the effective use of information technology.

Select one of the following:

  • True
  • False

Question 110 of 140

Medal-premium 1

RFID applications have been widely embraced due to their low cost and high reliability.

Select one of the following:

  • True
  • False

Question 111 of 140

Medal-premium 1

Information technology plays an important role in each of the five drivers of sustainable supply chain management practice.

Select one of the following:

  • True
  • False

Question 112 of 140

Medal-premium 1

Organizations are putting less emphasis on information technology to help them become more competitive, innovative, and adaptive, relying more on supply chain innovations.

Select one of the following:

  • True
  • False

Question 113 of 140

Medal-premium 1

Information must be real-time, not just current.

Select one of the following:

  • True
  • False

Question 114 of 140

Medal-premium 1

Supply chain software sales faltered during the 2007-2009 recession and remained flat in 2010 and 2011.

Select one of the following:

  • True
  • False

Question 115 of 140

Medal-premium 1

Business intelligence applications are being used to gather information on competitors and their suppliers.

Select one of the following:

  • True
  • False

Question 116 of 140

Medal-premium 1

Which of the below is not part of the seven Rs of logistics?

Select one of the following:

  • Information

  • Cost

  • Quality

  • Place

Question 117 of 140

Medal-premium 1

SCIS software selection is relatively straightforward as the choices have been simplified.

Select one of the following:

  • True
  • False

Question 118 of 140

Medal-premium 1

Which of the following is NOT one of the five drivers of sustainable supply chain management practice?

Select one of the following:

  • Adaptability

  • Synchronization

  • Velocity

  • Execution

Question 119 of 140

Medal-premium 1

ERP systems are multimodal application software platforms that help organizations manage the important parts of their businesses.

Select one of the following:

  • True
  • False

Question 120 of 140

Medal-premium 1

Supply Chain software includes technologies that

Select one of the following:

  • address virtually every function and task that occurs in the supply chain.

  • help organizations plan, execute, and control supply chain activities in real time.

  • help to maintain visibility of inventory.

  • all of these answers.

Question 121 of 140

Medal-premium 1

A stockout always results in a back order.

Select one of the following:

  • True
  • False

Question 122 of 140

Medal-premium 1

Reserve Inventory and Determine Delivery Date has traditionally been referred to as order processing.

Select one of the following:

  • True
  • False

Question 123 of 140

Medal-premium 1

The term replenishment cycle refers to

Select one of the following:

  • orders for raw material.

  • material management.

  • the acquisition of additional inventory.

  • inventory and material management.

Question 124 of 140

Medal-premium 1

Activity-based costing works well in warehouse-type environments but does not work for customer service applications.

Select one of the following:

  • True
  • False

Question 125 of 140

Medal-premium 1

For the best service, all products should be available at all levels regardless of cost.

Select one of the following:

  • True
  • False

Question 126 of 140

Medal-premium 1

Order management system represents the principal means by which

Select one of the following:

  • price and lead time add value.

  • buyers and sellers communicate information relating to individual orders of product.

  • orders are handled inside the company.

  • customers are segmented by profitability.

Question 127 of 140

Medal-premium 1

Customer relationship management is the art and science of

Select one of the following:

  • demand management.

  • positioning customers to improve the profitability of the organization.

  • management discipline.

  • customer profitability.

Question 128 of 140

Medal-premium 1

Activity Based Costing

Select one of the following:

  • is useful for distributions centers but not customers.

  • can be combined with customer segmentation.

  • is too sophisticated for many applications.

  • is a very new management science.

Question 129 of 140

Medal-premium 1

What are the steps in the CRM process?

Select one of the following:

  • segment customer base, then measure service and improve

  • segment customer base, then identify service/package

  • measure service, then improve

  • segment customer base, identify service/package, then measure service and improve

Question 130 of 140

Medal-premium 1

Which is NOT part of dependability?

Select one of the following:

  • Cycle time

  • Safe delivery

  • Correct orders

  • Consistent pricing

Question 131 of 140

Medal-premium 1

Customer relationship management is a new concept only recently receiving attention.

Select one of the following:

  • True
  • False

Question 132 of 140

Medal-premium 1

While interest has traditionally focused more on the overall length of the OTC cycle, recent attention has been centered on

Select one of the following:

  • customer segmentation.

  • the use of the ABC process.

  • the use of the SCOR process.

  • variability or consistency of this process.

Question 133 of 140

Medal-premium 1

Customer service is anything that touches the customer.

Select one of the following:

  • True
  • False

Question 134 of 140

Medal-premium 1

The buyer and seller look at order time from the same perspective.

Select one of the following:

  • True
  • False

Question 135 of 140

Medal-premium 1

Customer service is of equal importance to both logistics and marketing.

Select one of the following:

  • True
  • False

Question 136 of 140

Medal-premium 1

Traditional customer profitability analyses would start with ______ less returns and allowances (net sales) and subtract the cost of goods sold.

Select one of the following:

  • gross sales

  • back orders

  • the forecast

  • gross margin

Question 137 of 140

Medal-premium 1

Dependability is not as important to a buyer as is absolute length of lead time.

Select one of the following:

  • True
  • False

Question 138 of 140

Medal-premium 1

“Order to cash” and “replenishment cycle” are the same.

Select one of the following:

  • True
  • False

Question 139 of 140

Medal-premium 1

Customer service can be defined as

Select one of the following:

  • a philosophy.

  • order fulfillment.

  • the SCOR model.

  • anything that touches the customer.

Question 140 of 140

Medal-premium 1

Applying Internet technology to the order management process has allowed organizations to not only take time out of the process but also to

Select one of the following:

  • increase the velocity of cash back to the selling organization.

  • attract new customers.

  • develop “Clicks” and “Bricks” firms.

  • manage inventory more effectively.

Icon_fullscreen

Logistics Exam 1

gianmarcoleri
Quiz by , created about 2 years ago

Quiz on Logistics Exam 1, created by gianmarcoleri on 07/10/2014.

Eye 174
Pin 0
Balloon-left 0
Tags No tags specified
gianmarcoleri
Created by gianmarcoleri about 2 years ago
Close