Exam 16: Supply Chain Performance Measurement and Metrics

The process of building or developing a scorecard can be summarized in six steps or stages. The first step is to:

The cash-to-cash cycle (C2C) includes measures of days of inventory (DOI), days of payables (DOP), and days of receivables (DOR).

Supply chain sustainability is becoming more important. KPIs that would be utilized in most organization would include all of the following EXCEPT:

When organizations are developing systems for obtaining and maintaining high-quality data, identifying how work activities and workers use and interface with the data is referred to as "stewardship."

One of the core benchmark areas identified by the Supply Chain Consortium is "supply chain planning."Examples of that core area would include metrics such as financial inventory turns, days of purchases outstanding, and perfect order completion.

A benefit of using Balanced Scorecards is that they describe the cause-and-effect relationship of the strategic objectives.

Balanced scorecards can only be used in large firms and are not feasible to be used by small organizations.

The process of building or developing a scorecard can be summarized in six steps or stages. The last step is:

A typical Key Performance Indicator (KPI) is constructed of four components. Which of the following items is not one of those four components?

Metrics are required to evaluate performance and establish diagnostics for all phases of the SCOR Model. The number of product defects, production cycle time, and product quality level would be examples of metrics utilized in the __________ phase of the SCOR Model.

Scorecards are very valuable in assisting supply chain executives in making decisions and they are relatively easy to implement.

The U.S. Department of Defense utilizes cost metrics with respect to their primary mission of providing defense to the United States. They define cost as the price paid for the supply chain resources required to deliver a specific performance outcome.

In warehousing, many firms utilize the APQC and/or CSCMP Process Standards. Of the following which would be a "best practice" example?

Metrics are required to evaluate performance and establish diagnostics for all phases of the SCOR Model. Material acquisition costs, source cycle time, and raw material days of supply would be examples of metrics utilized in the __________ phase of the SCOR Model.

The APQC Process Classification Framework (PCF) includes operating processes, and management and support services. Which of the following would be an example of management and support services?

Some cost metrics can be macro or strategic in nature, while others are more micro or tactical. Which of the following would be an example of a macro or strategic metric.

KPIs vary depending on the level in the organization where the metric is being used. For the overall organization, financial metrics such as profitability, supply chain cost, overall inventory levels, and warehouse utilization rates, would be examples.

From an organization's perspective, a positive cash-to-cash cycle would be a good thing, while a negative cash-to-cash cycle would not be good.

One of the basic types of scorecards is the cost-based scorecard. This type of scorecard is the most widely used and attempts to quantify the total cost of doing business with a supplier over time.

APQC's Process Classification Framework (PCF) is an open standard to facilitate improvement through process management and benchmarking regardless of industry, size, or geography.