Exam 6: Supply Management and Commodity Strategy Development

Buying firms use competitive bidding when _____ is a dominant criterion and the required items or services have ______ specifications.

In supplier evaluation, a _____ includes those systems that release, schedule, and control the flow of work in an organization.

Only recently have senior executives begun to realize the increased risk attributed to the higher probability of product and service flow disruptions in global sourcing networks.

A _____ is an annual review of a firm's entire set of purchases.

In the initial stages of supply management strategy development, supply management adopts essentially a short-term approach and reacts to complaints from its internal customers when deliveries are late, quality is poor, or costs are too high.

The key to good market intelligence is to _____ data, which means to explore, compare, and contrast data from multiple sources before it can be validated.

Which of the following is not one of the four categories found in a portfolio analysis matrix?

In supplier analysis, _____ requires identifying critical performance criteria and identifying relative competitive performance.

After the buyer-supplier relationship has been established, buyers no longer need to track supplier performance over time.

The problem with secondary data is that they are often outdated and may not provide the specific information for which the team is looking.

Which of the following is not one of Porter's five forces?

In the final and most advanced stage of supply management strategy development, supply management has assumed a tactical orientation with reporting directly to lower-level management and a simple internal, rather than a strong external, customer focus.

In the _____ of the process of supplier segmentation, the attractiveness of the buyer as a customer is significant and important to the supplier, but perhaps the historical volume of business with the buyer has been relatively low.

Which of the following elements is true regarding Phase 4, Fully Integrated Supply Chains, of supply management strategy development?

Supply base optimization requires an analysis of the number of suppliers required currently and in the future for each purchased item.

Which of the following is not one of the primary ways that companies create shareholder value?

Organizations tend to evolve through four phases as they become mature and sophisticated in their supply management strategy development.

The whole point of collecting _____ is to understand the prevailing market conditions and the ability of current or potential new suppliers to deliver the product or service effectively.

The _____ in the strategic sourcing process is a clear statement of the goals and objectives of the sourcing project, which is officially announced shortly after the team's first few meetings.

A _____ specifies how a group tasked with developing the strategy for the specific category being purchased will achieve goals that in turn will support higher level strategies.