Exam 13: Global Sourcing and Procurement

Strategic sourcing is the development and management of supplier relationships to acquire goods and services in a way that aids in achieving the immediate needs of the business.

If the average aggregate inventory value is $100,000 and the cost of goods sold is $450,000,which of the following is inventory turnover?

In the six-step process for Green Sourcing the initial step is Assessing the Opportunity.Which of the following is not among the five most common areas of relevant costs to be taken into account?

53^. Typically,which is the most challenging kind of supply chain to manage?

An improvement-driven reason for outsourcing is that it can increase product and service value,customer satisfaction,and shareholder value.

Which of the following product categories includes fashionable clothing,personal computers,and other products that typically have a very brief life cycle?

Functional products include staples that people buy in a wide range of retail outlets,such as grocery stores and gas stations.

In outsourcing which of the following internal activities and decision responsibilities cannot be transferred to outside contractors?

At which stage in the six-step process for Green Sourcing are metrics against which vendors will be measured for the contract's duration defined?

Ownership costs incurred after the initial purchase and associated with the ongoing use of the product or material purchased include which of the following?

financially-driven reason for outsourcing is that it can shorten cycle time.

The total cost of ownership (TCO)can be categorized into three areas: acquisition costs,ownership costs,and post-ownership costs.

The total value of all items held in inventory for the firm valued at cost is which of the following?

The total cost of ownership (TCO)is an estimate of the cost of an item that includes all the costs related to the procurement and use of an item,but does not include any of the costs related to disposing of the item after it is no longer useful.

If the average aggregate inventory value is $1,200,000 and the cost of goods sold is $600,000,which of the following is inventory turnover?

Which of the following is one of the strategic characteristics to consider when deciding how supplier relationships should be structured on the continuum between vertical integration (do not outsource)to arm's length relationships (outsource)?

Capability Sourcing refers to outsourcing the functions that they do best to trusted key partners.

Retailer behavior when stocking up during promotion periods (where the prices of goods are reduced)is called backward buying.

When considering outsourcing,what should firms be sure to avoid?

The optimal strategy for functional products is to use an efficient supply chain.