Question 1

Which of the following are potential problems with holding inventories?

Accepted Answer

A)  storage costs 
B)  deterioration / theft / damage 
C)  prices fall on held items 
D)  all of the above 
A)  storage costs 
B)  deterioration / theft / damage 
C)  prices fall on held items 
D)  all of the above

Question 2

Poorly managed inventory can result in weakened competitive capabilities.

Accepted Answer

A) True 
 B)False

Question 3

In the Supply Chain, what is not one of the steps in the materials process?

Accepted Answer

A)  Retrieval 
B)  Transport 
C)  Customer 
D)  Supplier 
E)  All of the above 
A)  Retrieval 
B)  Transport 
C)  Customer 
D)  Supplier 
E)  All of the above

Question 4

Which of the following is true about ABC Analysis;

Accepted Answer

A)  it focuses on particular products 
B)  it can be applied to the full range of products in the firm 
C)  it is a continuous management system 
D)  the system is not based upon costs 
E)  all are true 
A)  it focuses on particular products 
B)  it can be applied to the full range of products in the firm 
C)  it is a continuous management system 
D)  the system is not based upon costs 
E)  all are true

Question 5

Why is inventory a strategic issue?

Accepted Answer

Inventory management is a strategic issu

Question 6

What is RFID and how can it be used in managing inventory?

Accepted Answer

RFID stands for Radio-Frequency Identifi

Question 7

Which of the following are ways to reduce inventory

Accepted Answer

A)  reduce the number of items 
B)  improve supply reliability 
C)  reduce supplier lead times 
D)  all of the above 
A)  reduce the number of items 
B)  improve supply reliability 
C)  reduce supplier lead times 
D)  all of the above

Question 8

Which of the following is a type of trust needed for strong buyer-supplier relationships?

Accepted Answer

A)  Goodwill trust. 
B)  Implied trust. 
C)  Short-term trust. 
D)  Long-term trust. 
A)  Goodwill trust. 
B)  Implied trust. 
C)  Short-term trust. 
D)  Long-term trust.

Question 9

The possibility of diversification is a driver of vertical integration strategies.

Accepted Answer

A) True 
 B)False

Question 10

The need to avoid or reduce transportation costs is not a reason for holding inventory.

Accepted Answer

A) True 
 B)False

Question 11

Identify and discuss the seven categories of waste.

Accepted Answer

The seven categories of waste are common

Question 12

Which of the following is considered a potential problem with stock-outs?

Accepted Answer

A)  Failure to satisfy customer demands. 
B)  Decreased storage costs. 
C)  Working capital is tied up. 
D)  Deterioration, theft, and damage to stock. 
A)  Failure to satisfy customer demands. 
B)  Decreased storage costs. 
C)  Working capital is tied up. 
D)  Deterioration, theft, and damage to stock.

Question 13

MRP operates best under these conditions:

Accepted Answer

A)  Limited variability 
B)  Production is carried out in small batch sizes 
C)  High-volume line processes 
D)  All of the above 
E)  A & C only 
A)  Limited variability 
B)  Production is carried out in small batch sizes 
C)  High-volume line processes 
D)  All of the above 
E)  A & C only

Question 14

The need to control is not a driver of Vertical integration strategies.

Accepted Answer

A) True 
 B)False

Question 15

Managing inventory successfully has more to do with supplier relationship management than with the technical issues associated with holding inventory.

Accepted Answer

A) True 
 B)False

Question 16

Identify the ways of reducing inventory.

Accepted Answer

Reducing inventory is a key strategy for

Question 17

Inventory is no longer considered an asset.

Accepted Answer

A) True 
 B)False

Question 18

Each of the following are ways to reduce inventory except:

Accepted Answer

A)  Address capacity issues 
B)  Increase order sizes 
C)  Reduce demand variability 
D)  Reduce supplier lead times 
E)  None of the above 
A)  Address capacity issues 
B)  Increase order sizes 
C)  Reduce demand variability 
D)  Reduce supplier lead times 
E)  None of the above

Question 19

RFID is not a viable inventory management technology.

Accepted Answer

A) True 
 B)False

Question 20

EOQ is based upon all of the following, except;:

Accepted Answer

A)  demand is constant 
B)  costs are known 
C)  little uncertainty 
D)  multiple items are ordered 
E)  all items are delivered once 
A)  demand is constant 
B)  costs are known 
C)  little uncertainty 
D)  multiple items are ordered 
E)  all items are delivered once

Which of the following are potential problems with holding inventories?

Poorly managed inventory can result in weakened competitive capabilities.

In the Supply Chain, what is not one of the steps in the materials process?

Which of the following is true about ABC Analysis;

Why is inventory a strategic issue?

What is RFID and how can it be used in managing inventory?

Which of the following are ways to reduce inventory

Which of the following is a type of trust needed for strong buyer-supplier relationships?

The possibility of diversification is a driver of vertical integration strategies.

The need to avoid or reduce transportation costs is not a reason for holding inventory.

Identify and discuss the seven categories of waste.

Which of the following is considered a potential problem with stock-outs?

MRP operates best under these conditions:

The need to control is not a driver of Vertical integration strategies.

Managing inventory successfully has more to do with supplier relationship management than with the technical issues associated with holding inventory.

Identify the ways of reducing inventory.

Inventory is no longer considered an asset.

Each of the following are ways to reduce inventory except:

RFID is not a viable inventory management technology.

EOQ is based upon all of the following, except;:

Introduction to Operations Management

Strategic Operations Management

Managing Services Operations

Innovation

Managing the Transformation Process

Managing and Improving Quality

Human Resources

Capacity and Scheduling Management

Sustainability

The Future of Operations Management

Filters

Exam 6: Managing Inventory, MRP, ERP, and JIT

Which of the following are potential problems with holding inventories?

Poorly managed inventory can result in weakened competitive capabilities.

In the Supply Chain, what is not one of the steps in the materials process?

Which of the following is true about ABC Analysis;

Why is inventory a strategic issue?

What is RFID and how can it be used in managing inventory?

Which of the following are ways to reduce inventory

Which of the following is a type of trust needed for strong buyer-supplier relationships?

The possibility of diversification is a driver of vertical integration strategies.

The need to avoid or reduce transportation costs is not a reason for holding inventory.

Identify and discuss the seven categories of waste.

Which of the following is considered a potential problem with stock-outs?

MRP operates best under these conditions:

The need to control is not a driver of Vertical integration strategies.

Managing inventory successfully has more to do with supplier relationship management than with the technical issues associated with holding inventory.

Identify the ways of reducing inventory.

Inventory is no longer considered an asset.

Each of the following are ways to reduce inventory except:

RFID is not a viable inventory management technology.

EOQ is based upon all of the following, except;:

Introduction to Operations Management

Strategic Operations Management

Managing Services Operations

Innovation

Managing the Transformation Process

Managing and Improving Quality

Human Resources

Capacity and Scheduling Management

Sustainability

The Future of Operations Management

Filters