Exam 13: Performance Measurement

Fill in the Blank(s) -Accurate_________ costing and activity-based costing create process transparency and make trade-offs visible.

Fill in the Blank(s) -The favored measure of asset utilization at the senior management level is return on assets, which is calculated as net profit divided by total __________.

In the SC functions of purchasing, production, and logistics, five performance areas are regarded as essential to accomplishing customer service and profitability goals. They include asset management, cost, customer service, ________, and quality.

Fill in the Blank(s) -The role of__________ in the supply chain creates understanding and drives behavior, often leading to improved business results.

The typical balanced scorecard emphasizes total order performance by including measures of five critical dimensions-cost, quality, delivery, responsiveness, and _________.

All of the following are steps in "benchmarking" except ________.

A company's ability to monitor and manage its value-added processes as well as those of its SC partners depends on its measurement capability.

Inventory turns is a measurement of the ratio of forecast or sales to inventory available. Usually the lower the value the more efficient the operation.

Measurement is more critical than communication, training, or perhaps anything else when it comes to managing human behavior.

________ links costs directly to the activities that drive them, helping managers understand the nature of important processes.

The generic benchmarking process consists of three steps; define the attribute to be studied, document the comparison company's process at strategic and operational levels, and develop a strategy, complete with specific methods for adopting best practices.

Fill in the Blank(s) -The_________ ideal is to have just enough inventory to keep operations running smoothly and meet customer needs.

Fill in the Blank(s) -Measurement can be used to create alignment. Three areas should be considered: alignment between __________and measurement, alignment among measures used across functional areas, and alignment of measures employed up and down the supply chain.

Fill in the Blank(s) -Traditional measurement practice has emphasized five critical areas: asset management, __________, customer service, productivity, and quality.

Just-in-time or ________ management substitutes information for inventory throughout the supply chain, requiring accurate information on a real-time basis.

The proactive use of balanced scorecards focuses resource use to drive constant improvements in performance.

Measurement performs three vital roles: It creates understanding, shapes behavior, and leads to operational improved information systems.

Each of the following is a characteristic of an excellent measurement system except________.

A well-designed supply chain measurement system provides information feedback regarding all of the following except _________.

Fill in the Blank(s) -Cycle times are an indicator of___________ and are measured in terms of elapsed time from order receipt to order delivery.