Question 1

Implementing Value Network Management has little to do with leadership.Instead it is all about supply management concepts and practices.

Accepted Answer

A) True 
 B)False  False

Question 2

Which of the following is not one of the characteristics of successful leaders given in Chapter 22?

Accepted Answer

A)  Maintains focus in facing adversity 
B)  Listens passively 
C)  Communicates clearly and convincingly 
D)  Knows how and when to disarm conflicts 
E)  Functions as an empathetic mentor 
A)  Maintains focus in facing adversity 
B)  Listens passively 
C)  Communicates clearly and convincingly 
D)  Knows how and when to disarm conflicts 
E)  Functions as an empathetic mentor B

Question 3

Which of the following is not one of the 12 Golden Rules of Value Network Management?

Accepted Answer

A)  Operate supply management as an integrated system including customers, operations, quality, demand management, supply management, logistics, and suppliers. 
B)  Implement continuous improvement in all activities internally and externally 
C)  Make all supplier relationships alliances 
D)  Focus on the total cost of ownership, not purchase price. 
E)  Train and educate supply personnel in world-class processes, leadership, and change management. 
A)  Operate supply management as an integrated system including customers, operations, quality, demand management, supply management, logistics, and suppliers. 
B)  Implement continuous improvement in all activities internally and externally 
C)  Make all supplier relationships alliances 
D)  Focus on the total cost of ownership, not purchase price. 
E)  Train and educate supply personnel in world-class processes, leadership, and change management. C

Question 4

According to Megatronics,the inflow of technology is a function of the supplier's investment in advancing its technological capabilities and the supplier's willingness to share its innovations.

Accepted Answer

A) True 
 B)False

Question 5

The strategic intent of Megatronics is to create a global supply chain that will be unequaled in performance and one of Megatronics' greatest competitive advantages.

Accepted Answer

A) True 
 B)False

Question 6

The Progression to VNM should include all of the following activities and approaches except one.Which one should not be included?

Accepted Answer

A)  Manage risk 
B)  Emphasis: total cost relationships 
C)  Relationships: transactional, collaborative and alliance 
D)  Bottom line impact: increase shareholder value 
E)  Reporting: under the Vice-President of Operations 
A)  Manage risk 
B)  Emphasis: total cost relationships 
C)  Relationships: transactional, collaborative and alliance 
D)  Bottom line impact: increase shareholder value 
E)  Reporting: under the Vice-President of Operations

Question 7

The Progression to VNM should include all of the following activities and approaches except one.Which one should not be included?

Accepted Answer

A)  Supply management a core competence 
B)  Strategic sourcing 
C)  Monitor supply environment 
D)  Develop and implement commodity strategies 
E)  Largest supply base possible 
A)  Supply management a core competence 
B)  Strategic sourcing 
C)  Monitor supply environment 
D)  Develop and implement commodity strategies 
E)  Largest supply base possible

Question 8

Which of the following is not one of the characteristics of successful leaders given in Chapter 22?

Accepted Answer

A)  Helps to establish a vision 
B)  Uses power over employees to force results 
C)  Helps employees cope with change 
D)  Motivates and facilitates adaptive work 
E)  Energizes people 
A)  Helps to establish a vision 
B)  Uses power over employees to force results 
C)  Helps employees cope with change 
D)  Motivates and facilitates adaptive work 
E)  Energizes people

Question 9

Which of the following is not one of the 12 Golden Rules of Value Network Managment?

Accepted Answer

A)  Do not engage in reengineering 
B)  Involve supply management and external suppliers in the earliest stages of new product development. 
C)  Develop and manage appropriate supply alliances. 
D)  Identify, verify, track, and control savings. 
E)  Foster an environment of collaboration. 
A)  Do not engage in reengineering 
B)  Involve supply management and external suppliers in the earliest stages of new product development. 
C)  Develop and manage appropriate supply alliances. 
D)  Identify, verify, track, and control savings. 
E)  Foster an environment of collaboration.

Question 10

Value Network Management calls for creating a new vision where leadership capabilities and capacities are enabled and unleashed.

Accepted Answer

A) True 
 B)False

Question 11

Which of the following was not a conclusion about transformational training as presented in Chapter 22?

Accepted Answer

A)  During boom times, firms don't have time for training 
B)  During bad times, firms should be getting ready for the next upside of the cycle 
C)  During bad times firms often claim that they can't afford training 
D)  Without training, employees will leave their companies 
E)  Training should be a vehicle of transformation 
A)  During boom times, firms don't have time for training 
B)  During bad times, firms should be getting ready for the next upside of the cycle 
C)  During bad times firms often claim that they can't afford training 
D)  Without training, employees will leave their companies 
E)  Training should be a vehicle of transformation

Question 12

A conclusion of the authors of the textbook is that "world class supply managers will never have the essential skill set to become Chief Executive Officers!"

Accepted Answer

A) True 
 B)False

Question 13

Which of the following is not true of "your" position at Megatronics as the hypothetical new hire as the Vice-president of Supply Management?

Accepted Answer

A)  Base salary $450,000 per year 
B)  You may hire a maximum of 50 new supply management professionals 
C)  You obtained authorization for a training budget of $3.25 million per year 
D)  You will become a member of the executive committee 
E)  You have the obligation to reduce the cost of purchased goods and services by an average of 25% per year 
A)  Base salary $450,000 per year 
B)  You may hire a maximum of 50 new supply management professionals 
C)  You obtained authorization for a training budget of $3.25 million per year 
D)  You will become a member of the executive committee 
E)  You have the obligation to reduce the cost of purchased goods and services by an average of 25% per year

Question 14

Megatronic's Vision Statement given in Chapter 22 is "Supply management at Megatronics will perfect its worldwide process resulting in totally delighted customers and shareholders."

Accepted Answer

A) True 
 B)False

Question 15

Which of the following initiatives is not one of the proactive supply management initiatives proposed by the new supply management team at Megatronics?

Accepted Answer

A)  Ensure understanding of requirements before and after award of a contract 
B)  Transfer responsibility for ensuring quality to the supplier 
C)  Become ISO 9000:2000 certified 
D)  Investigate certifying our major suppliers. 
E)  Work with suppliers to correct root causes of problems 
A)  Ensure understanding of requirements before and after award of a contract 
B)  Transfer responsibility for ensuring quality to the supplier 
C)  Become ISO 9000:2000 certified 
D)  Investigate certifying our major suppliers. 
E)  Work with suppliers to correct root causes of problems

Question 16

Which of the following is not one of the 12 Golden Rules of Value Network Management?

Accepted Answer

A)  Reduce the prices suppliers charge through coercion 
B)  Train and educate supply personnel in world-class processes, leadership, and change management. 
C)  Work in a cross-functional mode with internal functions and with key suppliers. 
D)  Recognize and reward excellence, both internally and externally. 
E)  Study and understand supply management's business environment. 
A)  Reduce the prices suppliers charge through coercion 
B)  Train and educate supply personnel in world-class processes, leadership, and change management. 
C)  Work in a cross-functional mode with internal functions and with key suppliers. 
D)  Recognize and reward excellence, both internally and externally. 
E)  Study and understand supply management's business environment.

Question 17

A conclusion of the authors of the textbook is that "world class supply managers have the essential skill set to become Chief Executive Officers!"

Accepted Answer

A) True 
 B)False

Question 18

According to Megatronics,the inflow of technology is not related to the supplier's investment in advancing its technological capabilities and the supplier's willingness to share its innovations.

Accepted Answer

A) True 
 B)False

Question 19

The first leadership principle advocated by ex Chrysler CEO,Tom Stallkamp is to:

Accepted Answer

A)  Coach, don't command 
B)  Encourage debate 
C)  Focus on the macro 
D)  Challenge conventional thinking 
E)  Be informed 
A)  Coach, don't command 
B)  Encourage debate 
C)  Focus on the macro 
D)  Challenge conventional thinking 
E)  Be informed

Question 20

Megatronic's criteria for rating suppliers include all of the following points except one point.Which point was not included?

Accepted Answer

A)  Price minimization 
B)  Willingness to share cost data 
C)  Incoming quality levels 
D)  Current technology status: leader/follower 
E)  Potential to become an alliance supplier 
A)  Price minimization 
B)  Willingness to share cost data 
C)  Incoming quality levels 
D)  Current technology status: leader/follower 
E)  Potential to become an alliance supplier

Exam 22: Implementing Value Network Management

Implementing Value Network Management has little to do with leadership.Instead it is all about supply management concepts and practices.

Which of the following is not one of the characteristics of successful leaders given in Chapter 22?

Which of the following is not one of the 12 Golden Rules of Value Network Management?

According to Megatronics,the inflow of technology is a function of the supplier's investment in advancing its technological capabilities and the supplier's willingness to share its innovations.

The strategic intent of Megatronics is to create a global supply chain that will be unequaled in performance and one of Megatronics' greatest competitive advantages.

The Progression to VNM should include all of the following activities and approaches except one.Which one should not be included?

The Progression to VNM should include all of the following activities and approaches except one.Which one should not be included?

Which of the following is not one of the characteristics of successful leaders given in Chapter 22?

Which of the following is not one of the 12 Golden Rules of Value Network Managment?

Value Network Management calls for creating a new vision where leadership capabilities and capacities are enabled and unleashed.

Which of the following was not a conclusion about transformational training as presented in Chapter 22?

A conclusion of the authors of the textbook is that "world class supply managers will never have the essential skill set to become Chief Executive Officers!"

Which of the following is not true of "your" position at Megatronics as the hypothetical new hire as the Vice-president of Supply Management?

Megatronic's Vision Statement given in Chapter 22 is "Supply management at Megatronics will perfect its worldwide process resulting in totally delighted customers and shareholders."

Which of the following initiatives is not one of the proactive supply management initiatives proposed by the new supply management team at Megatronics?

Which of the following is not one of the 12 Golden Rules of Value Network Management?

A conclusion of the authors of the textbook is that "world class supply managers have the essential skill set to become Chief Executive Officers!"

According to Megatronics,the inflow of technology is not related to the supplier's investment in advancing its technological capabilities and the supplier's willingness to share its innovations.

The first leadership principle advocated by ex Chrysler CEO,Tom Stallkamp is to:

Megatronic's criteria for rating suppliers include all of the following points except one point.Which point was not included?

The Progression to Professional Supply Management

Organizational Issues

Supply Management: an Organization Spanning Activity

A Portfolio of Relationships

New Product Development

Purchasing Descriptions and Specifications

Managing for Quality

The Procurement of Equipment

Purchasing Services

Outsourcing

Sourcing

Global Supply Management

Total Cost of Ownership

Price and Cost Analysis

Methods of Compensation

Negotiation

Contract Formation and Legal Issues

Contact and Relationship Management

Ethics and Social Responsibilities

Production and Inventory Control

Demand Management and Logistics

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