Mid Term Exam PROC 5850
1. (5 pts) Define Logistics.
2. (5 pts) Define Supply Chain Management
3. (5 pts) True/False: Information should flow only one way in a supply chain.
4. (10 pts) Why is supply chain security important?
5. (2 pts) From class slides, who wrote about the importance of logistics 2,500 years ago?
6. (5 pts) What are the processes in the Supply Chain Operations Reference (SCOR) model?
7. (5 pts) What is perfect order fulfillment and how is it calculated?
8. (5 pts) Synchronization of the supply chain requires ______among supply chain members.
a. coordination
b. cooperation
c. communications
d. all of the above
9. (5 pts) Uncertainty in the supply chain leads to:
a. excessive inventory
b. delays in lead times
c. loss of customers
d. increased costs
e. all of the above
f. none of the above
10. (3 pts) What 3 things can be stratified using the ABC approach?
11. (5 pts) From what perspective should Metrics measure performance?
12. (5 pts) True/False: The internet has not had an impact on supply chain management.
13. (5 pts) What is inventory turns and why is it important?
14. (5 pts) Using the EOQ computation is important for:
a. optimizing inventory levels
b. minimizing costs
c. increasing the number of employees in the ordering process
15. (5 pts) True/False: There is a direct relationship between inventory levels and customer service.
16. (5pts) What is the impact of stockouts from the customer perspective and from the supplier perspective?
17. (5 pts) A company has an annual cost of goods sold (COGS) of $3,500,000 and an average inventory of $750,000. What is the number of inventory turns for this company?
18. (3 pts) Is this number of turns good or bad? Why?
19. (4 pts) True/False: Inventory does not mask supply chain problems.
20. (3 pts) RFID enables company to:
a. gain visibility of supply chain inventory
b. provide greater security of information
c. reduce inventory levels
d. all of the above
e. none of the above
f. a and c