Exam 9: Supplier Management and Development: Creating a World-Class Supply Base

The elimination of both marginal and small-purchase-volume suppliers is usually the first phase of the supply base rationalization process.

The supplier performance index never provides an incomplete or misleading assessment of supplier performance.

Regarding supply base risk,each sourcing decision is different and needs to be evaluated in its own right.

Which of the following is not a typical qualitative service factor in a supplier performance measurement system?

Which of the following is not one of the advantages of a rationalized and optimized supply base?

Direct involvement in a supplier's operations by buyer personnel is the most challenging part of any supplier development process.

Buyers can minimize supply disruption risk from a single suppler by selecting a supplier with multiple production facilities.

In overcoming the barriers to supplier development,which of the following is not one of the approaches typically used?

All of the following are elements of market risk in a supply base except ____.

____ is the process of identifying how many and which suppliers a buyer will maintain.

Which of the following is not one of the management uses for the data derived from a comprehensive cost-base supplier evaluation system?

____ involves an analysis of the supply base to ensure that only the most capable and highest performing suppliers are kept in the supply base after it is reduced.

Which of the following is a disadvantage of a weighted-point supplier evaluation system?

The remaining suppliers in a rationalized and optimized supply base are often smaller on average and seldom capable of offering a broader range of value-adding services.

The prime reason for hedging is to protect the buyer against major swings in the value of a future purchase.

All of the following are categories of supply base risk except ____.

Which of the following is not one of the typical uses of supplier measurement data?

Few international shipments of merchandise require insurance coverage.

According to ISM,____ is a framework of measurable corporate policies and procedures and resulting behavior designed to benefit the workplace and,by extension,the individual,the organization,and the community.

Buyers rarely rely on suppliers for cost-reduction assistance.