Exam 19: Performance Measurement and Evaluation

_____ focus on achieving standardization of components, systems, and services and application of currently used purchased items or the use of industry-standard versus unique items.

The measurement system should rely on quantitative data instead of qualitative feelings and assessments.

A performance objective must reflect the realities of the firm's competitive environment.

With the current budget plus adjustment approach, the administrative budget for purchasing is a percentage of another measure that reflects purchasing's workload.

Customer defects per supplier is a measure of the number of defects from individual suppliers to indicate comparative quality performance among competing suppliers.

Which of the following is not one of the common problems in measuring performance?

A/An _____ is the amount of time (in weeks or months) from concept to first shipment or provision of a product or service to the external customer.

A/An _____ demonstrates the impact of purchasing and supply strategies and actions on revenues of the firm.

Supply managers should emphasize purchasing efficiency over purchasing effectiveness as a strict measure of performance.

Measurement fails to motivate and direct behavior toward desired end results.

_____ is the continuous measuring of products, services, processes, activities, and practices against a firm's best competitors or those companies recognized as industry or functional leaders.

The original premise of the balanced scorecard was that a total reliance on financial measures was leading organizations to make poor decisions.

A/An _____ is one that personnel cannot inappropriately influence the results of.

All of the following are examples of customer order measures except _____.

Purchasing and supply chain managers often use the historical approach with effectiveness-related measures.

_____ refers to the relationship between planned and actual resources applied to realize a previously agreed-upon goal.

_____ involves a comparison of one firm's market strategies against those of another.

The _____ measure expresses a maximum number (in absolute or percentage terms) of level of defects allowable for any particular product, assembly, or service.

The problem with measuring behavior is that there is no guarantee the behavior will lead to desired results.

Performance measurement systems receiving their input from automated or computerized systems are generally more susceptible to data manipulation.