Understanding the Supply Chain
True/False
1. A supply chain includes only the organizations directly involved in supplying components needed for manufacturing. Answer: False Difficulty: Moderate
2. A supply chain consists of all parties involved, directly or indirectly, in fulfilling a customer request. Answer: True Difficulty: Moderate
3. A supply chain could be more accurately described as a supply network or supply web. Answer: True Difficulty: Moderate
4. The objective of every supply chain is to maximize the overall value generated. Answer: True Difficulty: Easy
5. The objective of every supply chain is to maximize the value generated for the manufacturing component of the supply chain. Answer: False Difficulty: Moderate
6. Every supply chain must include all 5 stages. Answer: False Difficulty: Easy
7. The cycle view of a supply chain holds that the processes in a supply chain are divided into a series of activities performed at the interface between successive stages. Answer: True Difficulty: Moderate
8. The cycle view of a supply chain holds that the processes in a supply chain are divided into 2 categories depending on whether they are initiated in response to or in anticipation of customer orders. Answer: False Difficulty: Moderate
The push/pull view of a supply chain holds that the processes in a 9.
supply chain are divided into 2 categories depending on whether they are initiated in response to or in anticipation of customer orders. Answer: True Difficulty: Easy
The push/pull view of a supply chain holds that the processes in a 10. supply chain are divided into a series of activities performed at the interface between successive stages. Answer: False Difficulty: Easy
11. The objective of the customer arrival process is to maximize the conversion of customer arrivals to customer orders. Answer: True Difficulty: Moderate
12. 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 Difficulty: Moderate
13.The objective of customer order entry is to ensure that orders are
quickly and accurately entered and communicated to other affected supply chain processes. Answer: True Difficulty: Moderate
14.The objective of customer order entry is to maintain a record of product receipt and complete payment. Answer: False Difficulty: Hard
15. The replenishment cycle occurs at the retailer/distributor interface. Answer: True Difficulty: Hard
16. The replenishment cycle occurs at the distributor/manufacturer interface. Answer: False Difficulty: Hard
The replenishment cycle is initiated when a supermarket runs out of 17. stock of a particular item. Answer: True Difficulty: Hard
18. The replenishment cycle is initiated when customers load items intended for purchase into their carts. Answer: False
Difficulty: Hard
19. The manufacturing cycle occurs at the distributor/manufacturer interface. Answer: True Difficulty: Moderate
20. The manufacturing cycle occurs at the manufacturer/supplier interface. Answer: False Difficulty: Moderate
21.The production scheduling process in the manufacturing cycle is similar
to the order entry process in the replenishment cycle. Answer: True Difficulty: Hard 22.The production scheduling process in the manufacturing cycle is similar to the order fulfillment process in the replenishment cycle. Answer: False Difficulty: Hard
23. The procurement cycle occurs at the manufacturer/supplier interface. Answer: True Difficulty: Easy
24. The procurement cycle occurs at the retailer/distributor interface. Answer: False Difficulty: Easy
25.The cycle view of the supply chain is useful when considering operational decisions, because it specifies the roles and
responsibilities of each member of the supply chain. Answer: True Difficulty: Moderate 26.The cycle view of the supply chain is useful when considering
operational decisions, because it categorizes processes based on whether
they are initiated in response to or in anticipation of customer orders. Answer: False Difficulty: Moderate
27. The push/pull view of the supply chain is useful when considering strategic decisions relating to supply chain design, because it
categorizes processes based on whether they are initiated in response to or in anticipation of customer orders. Answer: True Difficulty: Moderate
The push/pull view of the supply chain is useful when considering 28. strategic decisions relating to supply chain design, because it specifies the roles and responsibilities of each member of the supply chain. Answer: False Difficulty: Moderate
29. Pull processes may also be referred to as reactive processes. Answer: True Difficulty: Easy
30.Pull processes may also be referred to as speculative processes. Answer: False Difficulty: Easy
31.Push processes may also be referred to as speculative processes. Answer: True Difficulty: Easy
32. Push processes may also be referred to as reactive processes. Answer: False
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