Which of the following indicators is most appropriate to use as a measure of supply chain utilization?
A. Production equipment productivity
B. Net asset turnover
C. Value-added productivity per employee
D. Upside flexibility
Which of the following outcomes is a benefit typically expected of customer relationship management (CRM)?
A. Reducing the size of the sales force by automating activities
B. Gaining a better understanding of customer requirements
C. Implementing automated inter-organizational processes
D. Focusing sales efforts on the most profitable customers
A return material authorization (RMA) policy is used in reverse logistics to:
A. physically transport returned items by using an efficient transportation mode.
B. minimize the number of returned items by involving product design and demand forecasting.
C. reduce the cost of returned items by refusing to accept items that should not be returned.
D. reclaim substantial value from returned items by recycling.
A company's decision to charge different prices for the same service sold in different market segments is most likely based on which of the following metrics?
A. Internal rate of return (IRR)
B. Lifetime customer value (LCV)
C. Net present value (NPV)
D. Return on investment (ROI)
An advantage of using a third-party logistics service (3PL) is improved:
A. on-time delivery of shipments due to higher inventory levels.
B. cost structure due to economies of scale.
C. access to smaller markets due to localization.
D. risk visibility due to inventory consolidation.
Which of the following results can be expected from sharing a common understanding of demand and consumption patterns among supply chain participants?
A. Improved transparency of collaboration relationships
B. Increased performance in balanced scorecard
C. Reduced inventory levels for key items
D. Better synchronization of planning and operations
Which of the following consequences is a result of shipping directly from the point of manufacture to the customer rather than through a distribution network?
A. Delivery lead times are consistent.
B. Risk pooling benefits are negated.
C. Distribution overhead is increased.
D. Order-fill rate is decreased.
Maintaining a long-term collaborative relationship with a trading partner requires:
A. formal and informal communication.
B. interconnected information systems.
C. one partner regularly exercising power.
D. standardized terms of agreement.
Which of the following is the most important result when a company implements customer relationship management?
A. Profits are maximized.
B. Retention of key customers is increased.
C. Product options are increased.
D. Transaction costs are decreased.
A company plans to maximize profitability by charging more for its products at retail locations than on its website. Which of the following segmentation strategies would best support this plan?
A. Group
B. Channel
C. Regional
D. Location
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