Question 1

Which of the following is true regarding optimization models?

Accepted Answer

A)  Optimization models are based on precise mathematical procedures that are guaranteed to find the "best" solution for the problem under evaluation. 
B)  Optimization models are able to accommodate broad problem definitions, rather than provide an optimum solution. 
C)  The grid technique is a powerful optimization model. 
D)  Optimization models will guarantee increased profits. 
A)  Optimization models are based on precise mathematical procedures that are guaranteed to find the "best" solution for the problem under evaluation. 
B)  Optimization models are able to accommodate broad problem definitions, rather than provide an optimum solution. 
C)  The grid technique is a powerful optimization model. 
D)  Optimization models will guarantee increased profits.

Question 2

The first step in the supply chain network design process is to perform a supply chain audit.

Accepted Answer

A) True 
 B)False

Question 3

The efficiency and effectiveness of a logistics/supply chain operation are constrained by the location of plants and warehouses in its overall network.

Accepted Answer

A) True 
 B)False

Question 4

Which is correct regarding tapering rates?

Accepted Answer

A)  The principle is based on the carrier's ability to spread certain fixed shipment costs over a greater number of miles. 
B)  Transportation rates increase with distance directly in proportion to the distance. 
C)  In a one-source, one-market situation, the impact of the tapering rate will be to pull the location toward a point midway between the source and the market. 
D)  Uses transportation simplifications to recommend facility locations 
A)  The principle is based on the carrier's ability to spread certain fixed shipment costs over a greater number of miles. 
B)  Transportation rates increase with distance directly in proportion to the distance. 
C)  In a one-source, one-market situation, the impact of the tapering rate will be to pull the location toward a point midway between the source and the market. 
D)  Uses transportation simplifications to recommend facility locations

Question 5

Staples frequently sells its office supplies direct to other businesses (B2B) through its online ordering and delivery services, and it typically sells office supplies direct to consumers (B2C) through its stores. This is what's known as "multi-channel" capabilities.

Accepted Answer

A) True 
 B)False

Question 6

This type of fulfillment model has the manufacturer delivering its products directly to the retailers' stores.

Accepted Answer

A)  Outsourced 
B)  Store-fulfillment 
C)  Flow-through 
D)  None of these answers 
A)  Outsourced 
B)  Store-fulfillment 
C)  Flow-through 
D)  None of these answers

Question 7

When a blanket rate structure is used, which factor is eliminated as a locational determinant?

Accepted Answer

A)  Labor rate 
B)  Transportation rate 
C)  Raw material sources 
D)  Market sources 
A)  Labor rate 
B)  Transportation rate 
C)  Raw material sources 
D)  Market sources

Question 8

Simulation models:

Accepted Answer

A)  guarantee optimum solutions. 
B)  generate SAILS reports. 
C)  search directly for the best warehouse configuration. 
D)  allow the decision maker to test the effects of alternative locations. 
A)  guarantee optimum solutions. 
B)  generate SAILS reports. 
C)  search directly for the best warehouse configuration. 
D)  allow the decision maker to test the effects of alternative locations.

Question 9

The classic objective of a network design model has been to:

Accepted Answer

A)  establish the number, location, and size of finished goods distribution centers and associated product flows. 
B)  find the best location for a forward-facing warehouse. 
C)  examine the finished goods flow from the warehouse to the customer. 
D)  measure and control site locations. 
A)  establish the number, location, and size of finished goods distribution centers and associated product flows. 
B)  find the best location for a forward-facing warehouse. 
C)  examine the finished goods flow from the warehouse to the customer. 
D)  measure and control site locations.

Question 10

The grid technique will evaluate all transportation rates equally.

Accepted Answer

A) True 
 B)False

Question 11

Kelly's firm processes and packages organic nuts and nut butters. Last year, the firm started selling its products to Costco, the discount retailer, in addition to traditional retail chains. This new opportunity is wonderful for Kelly's firm, but the Costco-bound products require different packaging, and the volume and frequency of the Costco orders have placed a strain on the firm's resources. Kelly may need to re-evaluate the firm's supply chain network design due to which significant trend?

Accepted Answer

A)  Changes in customer service requirements 
B)  Changes in corporate ownership 
C)  Shifting locations of customer and/or supply markets 
D)  Cost pressures 
A)  Changes in customer service requirements 
B)  Changes in corporate ownership 
C)  Shifting locations of customer and/or supply markets 
D)  Cost pressures

Question 12

The grid technique:

Accepted Answer

A)  is a variation of SAILS. 
B)  assumes that the raw materials sources and finished goods markets are fixed. 
C)  assumes that the raw materials sources and finished goods markets are variable. 
D)  assumes nonlinear transportation rates. 
A)  is a variation of SAILS. 
B)  assumes that the raw materials sources and finished goods markets are fixed. 
C)  assumes that the raw materials sources and finished goods markets are variable. 
D)  assumes nonlinear transportation rates.

Question 13

Distinguish between the locational determinants of labor climate and quality of life.

Accepted Answer

Location decision makers consider a numb

Question 14

Define and discuss the Grid Technique, including its advantages and disadvantages.

Accepted Answer

The grid technique is a simplistic, but

Question 15

Labor-intensive industries place significant emphasis on the availability and cost of labor.

Accepted Answer

A) True 
 B)False

Question 16

Which is an advantage of the grid technique for facility location?

Accepted Answer

A)  It establishes the final determination of the best site. 
B)  Computationally, it is relatively easy to use. 
C)  It is a dynamic approach with solutions remaining optimum over many time periods. 
D)  It considers topographic conditions in choosing the optimum location. 
A)  It establishes the final determination of the best site. 
B)  Computationally, it is relatively easy to use. 
C)  It is a dynamic approach with solutions remaining optimum over many time periods. 
D)  It considers topographic conditions in choosing the optimum location.

Question 17

In the short run, the firm's network is _____ while in the long run it is _____.

Accepted Answer

A)  fixed; variable 
B)  adoptable; reversible 
C)  variable; reversible 
D)  reversible; fixed 
A)  fixed; variable 
B)  adoptable; reversible 
C)  variable; reversible 
D)  reversible; fixed

Question 18

Henderson Air used to source all of their supplies from three suppliers. However, to remain competitive in recent years, Henderson has started to source supplies from more suppliers in order to obtain the best prices. Some of these suppliers are overseas. As a result, the firm's inventory levels:

Accepted Answer

A)  have increased. 
B)  have decreased. 
C)  have stayed the same. 
D)  can't be determined. 
A)  have increased. 
B)  have decreased. 
C)  have stayed the same. 
D)  can't be determined.

Which of the following is true regarding optimization models?

The first step in the supply chain network design process is to perform a supply chain audit.

The efficiency and effectiveness of a logistics/supply chain operation are constrained by the location of plants and warehouses in its overall network.

Which is correct regarding tapering rates?

Staples frequently sells its office supplies direct to other businesses (B2B) through its online ordering and delivery services, and it typically sells office supplies direct to consumers (B2C) through its stores. This is what's known as "multi-channel" capabilities.

This type of fulfillment model has the manufacturer delivering its products directly to the retailers' stores.

When a blanket rate structure is used, which factor is eliminated as a locational determinant?

Simulation models:

The classic objective of a network design model has been to:

The grid technique will evaluate all transportation rates equally.

The grid technique:

Distinguish between the locational determinants of labor climate and quality of life.

Define and discuss the Grid Technique, including its advantages and disadvantages.

Labor-intensive industries place significant emphasis on the availability and cost of labor.

Which is an advantage of the grid technique for facility location?

In the short run, the firm's network is _ while in the long run it is _.

Henderson Air used to source all of their supplies from three suppliers. However, to remain competitive in recent years, Henderson has started to source supplies from more suppliers in order to obtain the best prices. Some of these suppliers are overseas. As a result, the firm's inventory levels:

Supply Chain Management: an Overview

Global Dimensions of Supply Chains

Role of Logistics in Supply Chains

Sourcing Materials and Services

Operations Producing Goods and Services

Demand Management

Order Management and Customer Service

Managing Inventory in the Supply Chain

Distribution Managing Fulfillment Operations

Transportation Managing the Flows of the Supply Chain

Aligning Supply Chains

Supply Chain Performance Measurement and Financial Analysis

Supply Chain Technology Managing Information Flows

Strategic Challenges and Change for Supply Chains

Filters

Exam 4: Supply Chain and Omni Channel Network Design

Which of the following is true regarding optimization models?

The first step in the supply chain network design process is to perform a supply chain audit.

The efficiency and effectiveness of a logistics/supply chain operation are constrained by the location of plants and warehouses in its overall network.

Which is correct regarding tapering rates?

Staples frequently sells its office supplies direct to other businesses (B2B) through its online ordering and delivery services, and it typically sells office supplies direct to consumers (B2C) through its stores. This is what's known as "multi-channel" capabilities.

This type of fulfillment model has the manufacturer delivering its products directly to the retailers' stores.

When a blanket rate structure is used, which factor is eliminated as a locational determinant?

Simulation models:

The classic objective of a network design model has been to:

The grid technique will evaluate all transportation rates equally.

The grid technique:

Distinguish between the locational determinants of labor climate and quality of life.

Define and discuss the Grid Technique, including its advantages and disadvantages.

Labor-intensive industries place significant emphasis on the availability and cost of labor.

Which is an advantage of the grid technique for facility location?

In the short run, the firm's network is _____ while in the long run it is _____.

Henderson Air used to source all of their supplies from three suppliers. However, to remain competitive in recent years, Henderson has started to source supplies from more suppliers in order to obtain the best prices. Some of these suppliers are overseas. As a result, the firm's inventory levels:

Supply Chain Management: an Overview

Global Dimensions of Supply Chains

Role of Logistics in Supply Chains

Sourcing Materials and Services

Operations Producing Goods and Services

Demand Management

Order Management and Customer Service

Managing Inventory in the Supply Chain

Distribution Managing Fulfillment Operations

Transportation Managing the Flows of the Supply Chain

Aligning Supply Chains

Supply Chain Performance Measurement and Financial Analysis

Supply Chain Technology Managing Information Flows

Strategic Challenges and Change for Supply Chains

Filters

In the short run, the firm's network is _ while in the long run it is _.