What technology embeds intelligence into physical objects, thereby allowing a company to communicate with businesses and consumers?
A. Internet-enabled identification
B. Universal product code
C. Radio frequency identification (RFID)
D. Product markup language
A large wholesaler formerly owned a number of delivery trucks. The wholesaler sold all of its trucks and now purchases transportation services from fleet operators. This is an example of using which of the following distribution models?
A. Fourth-party logistics (4PL) provider
B. Forward logistics provider
C. Third-party logistics (3PL) provider
D. Spot stock warehousing
A warehouse supervisor has discovered a shortage of material to fulfill a customer order. If the inventory report shows that there should be enough material to fill the order, what should be done next?
A. Ask customer to provide safety lead time
B. Review service level for the safety stock
C. Perform daily inventory counts
D. Analyze root cause of inventory differences
A company is considering changing its manufacturing strategy from engineer-to-order (ETO) to make-to-order (MTO). Which of the following risks should the company be careful to consider?
A. Decreasing manufacturing efficiency
B. Increasing work in process (WIP) inventory
C. Increasing raw material costs
D. Decreasing customer satisfaction
Inbound logistics is a supply chain management term used for?
A. receiving, storing, and issuing finished goods to consumers
B. activities associated with transforming inputs into final products
C. receiving, inventorying, and issuing material to the production activities
D. providing services to customers to maintain the value of the product
Which of the following actions is most likely to reduce inventory carrying costs?
A. Utilize ABC classification
B. Standardize the items in inventory
C. Set minimum inventory levels
D. Initiate a vendor-managed inventory (VMI) program
A critical feature of the personal marketing approach that differentiates itself from other approaches includes the:
A. establishment of one-to-many buyer-seller contacts
B. addressing of the distinct personal interests of the customer
C. standardization of products, process, and services for the customer
D. characterization of negotiation, needs awareness, and fulfillment
Which of the following modes of transportation requires the lowest fixed investment?
A. Rail
B. Air
C. Truck
D. Water
Which of the following strategies would be most appropriate for a company that is facing shorter product life cycles and rapidly changing customer demands?
A. Developing agile operations
B. Outsourcing non-value-added functions
C. Implementing strategic sourcing
D. Eliminating levels in the supply chain
When deciding whether to make a component internally or to outsource production, a company must:
A. evaluate the landed cost of the component
B. select the lowest-price source
C. outsource only low-value components
D. select the source with the shortest lead time
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