Question 1

The most important attributes (of customer service) should be:
high quality and
on-time delivery.

Accepted Answer

A) True 
 B)False

Question 2

Supplier ______________ are very useful tools to evaluate the quality capabilities of a supplier.

Accepted Answer

A)  certification programs 
B)  negotiations 
C)  evaluations 
D)  bargaining programs 
E)  review programs 
A)  certification programs 
B)  negotiations 
C)  evaluations 
D)  bargaining programs 
E)  review programs

Question 3

The following are considered key success factors in the make-versus-buy decision:
Perform a realistic assessment of the capabilities and expertise of each member of the in-house team. If the core competencies exist, what happens if a key member leaves the team? Can the member be easily replaced?valuate alternative strategic partnership arrangements and select the appropriate partner.Share information with only the necessary functional areas and request their input.

Accepted Answer

A) True 
 B)False

Question 4

____________ relationships recognize the potential value of both organizations getting what they want and maximize the potential of having a long-term relationship.

Accepted Answer

A)  Competitive 
B)  Collaborative 
C)  Counterproductive 
D)  Cooperative 
E)  Counter-cooperative 
A)  Competitive 
B)  Collaborative 
C)  Counterproductive 
D)  Cooperative 
E)  Counter-cooperative

Question 5

The process of supplier categorization is important for a number of reasons. This process forces the buying organization to communicate cross-functionally to develop some system for ranking the suppliers. Two main items that are considered in the categorization process are: * the __________ of the contract with an individual supplier and
* the __________________ to the buying firm's business strategy.

Accepted Answer

A)  length / performance 
B)  cost / just-in-time delivery 
C)  dollar amount / competitiveness 
D)  dollar amount / critically of the supplier 
E)  dates / critically of the contract 
A)  length / performance 
B)  cost / just-in-time delivery 
C)  dollar amount / competitiveness 
D)  dollar amount / critically of the supplier 
E)  dates / critically of the contract

Question 6

When a firm has answered the make-or-buy question with a decision to buy, the question then becomes __________________ this responsibility.

Accepted Answer

A)  to whom to delegate 
B)  to whom to assign 
C)  who can handle 
D)  who is best suited for 
E)  who is qualified for 
A)  to whom to delegate 
B)  to whom to assign 
C)  who can handle 
D)  who is best suited for 
E)  who is qualified for

Question 7

The use of outsourcing has quickly become _____________ for an increasing number of businesses.

Accepted Answer

A)  necessary 
B)  a major strength 
C)  an advantage 
D)  a competitive weapon 
E)  a way of operating 
A)  necessary 
B)  a major strength 
C)  an advantage 
D)  a competitive weapon 
E)  a way of operating

Question 8

___________ suppliers are those that are most important to the buying firm. They supply the buying firm with essential materials and capabilities that are not easily replaced.

Accepted Answer

A)  Standard 
B)  Preferred 
C)  Strategic 
D)  Competitive 
E)  Collaborative 
A)  Standard 
B)  Preferred 
C)  Strategic 
D)  Competitive 
E)  Collaborative

Question 9

___________ suppliers are those that can be easily replaced in a short time.

Accepted Answer

A)  Standard 
B)  Transactional 
C)  Preferred 
D)  Cooperative 
E)  Common 
A)  Standard 
B)  Transactional 
C)  Preferred 
D)  Cooperative 
E)  Common

Question 10

___________________, one type of supplier development program (SDP), are an attempt to meet current and future business needs by improving supplier performance and capabilities.

Accepted Answer

A)  Supplier training 
B)  Supplier evaluations 
C)  Supplier workshops 
D)  Supplier seminars 
E)  Supplier discussions 
A)  Supplier training 
B)  Supplier evaluations 
C)  Supplier workshops 
D)  Supplier seminars 
E)  Supplier discussions

Question 11

When a supplier _________ to conform to the buying firm's expectations, the buying firm manager must __________________________.

Accepted Answer

A)  is unable / determine the most appropriate action to resolve the issue 
B)  refuses / find a replacement supplier 
C)  is reluctant / meet with the supplier to seek a solution 
D)  fails / replace the supplier 
E)  continues / reward the supplier for good performance 
A)  is unable / determine the most appropriate action to resolve the issue 
B)  refuses / find a replacement supplier 
C)  is reluctant / meet with the supplier to seek a solution 
D)  fails / replace the supplier 
E)  continues / reward the supplier for good performance

Question 12

This type of relationship (counterproductive) is undesirable because:
* it does not promote a positive rapport between buying and supplying firms involved and
* neither organization achieves its goals.

Accepted Answer

A) True 
 B)False

Question 13

.The ___________ method evaluates supplier performance by using standard cost analysis.

Accepted Answer

A)  price-cost ratio 
B)  cost-ratio 
C)  performance 
D)  process 
E)  categorical 
A)  price-cost ratio 
B)  cost-ratio 
C)  performance 
D)  process 
E)  categorical

Question 14

_________________________ relationships are those relationships in which both buying and supplying firms strive to get the very best arrangement possible in their negotiations and fail to see the benefits of both organizations obtaining their goals and objectives.

Accepted Answer

A)  Transactional or cooperative 
B)  Transnational or competitive 
C)  Transferal or collaborative 
D)  Transferal or competitive 
E)  Transactional or competitive 
A)  Transactional or cooperative 
B)  Transnational or competitive 
C)  Transferal or collaborative 
D)  Transferal or competitive 
E)  Transactional or competitive

Question 15

The _____________________ process is based on the idea of efficient resource coordination and teamwork.

Accepted Answer

A)  re-supply management 
B)  supply chain management 
C)  wholesale chain management 
D)  supply chain assistance 
E)  strategic chain management 
A)  re-supply management 
B)  supply chain management 
C)  wholesale chain management 
D)  supply chain assistance 
E)  strategic chain management

Question 16

lthough it is a strong relationship, a cooperative alliance lacks the ___________ that is needed between the various buying and supplying firms in order to optimize the benefits for all of the members of the supply chain.

Accepted Answer

A)  teamwork 
B)  resources 
C)  communication 
D)  cooperation 
E)  commitment 
A)  teamwork 
B)  resources 
C)  communication 
D)  cooperation 
E)  commitment

Question 17

The buying firm must be highly skilled at ____________________________.

Accepted Answer

A)  specifying product attributes 
B)  forecasting expected requirements 
C)  ensuring the right quality at a reasonable price 
D)  all the above 
E)  "A" and "C" only 
A)  specifying product attributes 
B)  forecasting expected requirements 
C)  ensuring the right quality at a reasonable price 
D)  all the above 
E)  "A" and "C" only

Question 18

________________ relationships are those in which each organization (buying and supplying) is so focused on getting what is best for it that each puts the other at a disadvantage.______________ buyer-supplier relationships ________ recommended.

Accepted Answer

A)  Competitive / Competitive / are 
B)  Collaborative / Collaborative / are not 
C)  Counterproductive / Counterproductive / are not 
D)  Counter-collaborative / Counter-collaborative / are 
E)  Cooperative / Cooperative / are not 
A)  Competitive / Competitive / are 
B)  Collaborative / Collaborative / are not 
C)  Counterproductive / Counterproductive / are not 
D)  Counter-collaborative / Counter-collaborative / are 
E)  Cooperative / Cooperative / are not

Question 19

uyer and supplier relationships have become increasingly important for a number of reasons. All of the following reasons are correct with one exception. Which one is incorrect?

Accepted Answer

A)  In some market segments, it is estimated that 40 percent or more of total product revenue often passes directly to suppliers as payment for materials, profits, and shipment. 
B)  This significant transfer of value downstream emphasizes the importance and significance of supply chain relationship management. 
C)  With the decreasing number of suppliers used by buying firms, it is more important than ever to maintain strong buyer-supplier relationships. 
D)  There is a trend toward specialization away from manufacturing an entire product and to more contract manufacturing and purchasing. 
E)  For any buying organization to stay competitive in today's aggressive market sectors, it is essential that they maintain strong relationships with their best contract manufacturers and suppliers. 
A)  In some market segments, it is estimated that 40 percent or more of total product revenue often passes directly to suppliers as payment for materials, profits, and shipment. 
B)  This significant transfer of value downstream emphasizes the importance and significance of supply chain relationship management. 
C)  With the decreasing number of suppliers used by buying firms, it is more important than ever to maintain strong buyer-supplier relationships. 
D)  There is a trend toward specialization away from manufacturing an entire product and to more contract manufacturing and purchasing. 
E)  For any buying organization to stay competitive in today's aggressive market sectors, it is essential that they maintain strong relationships with their best contract manufacturers and suppliers.

Question 20

Searching for the appropriate supplier for a specific material or component part is becoming _________________.

Accepted Answer

A)  a difficult task 
B)  a strategic issue in itself 
C)  more difficult as time goes by 
D)  a major purchasing issue 
E)  easier with experience 
A)  a difficult task 
B)  a strategic issue in itself 
C)  more difficult as time goes by 
D)  a major purchasing issue 
E)  easier with experience

The most important attributes (of customer service) should be: high quality and on-time delivery.

Supplier ______________ are very useful tools to evaluate the quality capabilities of a supplier.

____________ relationships recognize the potential value of both organizations getting what they want and maximize the potential of having a long-term relationship.

When a firm has answered the make-or-buy question with a decision to buy, the question then becomes __________________ this responsibility.

The use of outsourcing has quickly become _____________ for an increasing number of businesses.

___________ suppliers are those that are most important to the buying firm. They supply the buying firm with essential materials and capabilities that are not easily replaced.

___________ suppliers are those that can be easily replaced in a short time.

___________________, one type of supplier development program (SDP), are an attempt to meet current and future business needs by improving supplier performance and capabilities.

When a supplier _ to conform to the buying firm's expectations, the buying firm manager must __________________.

This type of relationship (counterproductive) is undesirable because: * it does not promote a positive rapport between buying and supplying firms involved and * neither organization achieves its goals.

.The ___________ method evaluates supplier performance by using standard cost analysis.

_________________________ relationships are those relationships in which both buying and supplying firms strive to get the very best arrangement possible in their negotiations and fail to see the benefits of both organizations obtaining their goals and objectives.

The _____________________ process is based on the idea of efficient resource coordination and teamwork.

lthough it is a strong relationship, a cooperative alliance lacks the ___________ that is needed between the various buying and supplying firms in order to optimize the benefits for all of the members of the supply chain.

The buying firm must be highly skilled at ____________________________.

______ relationships are those in which each organization (buying and supplying) is so focused on getting what is best for it that each puts the other at a disadvantage. buyer-supplier relationships recommended.

uyer and supplier relationships have become increasingly important for a number of reasons. All of the following reasons are correct with one exception. Which one is incorrect?

Searching for the appropriate supplier for a specific material or component part is becoming _________________.

Purchasing and Supply Management

Purchasing Decisions and Business Strategy

The Legal Aspects of Purchasing

Materials Management

Inventory Management

Just-In-Time Lean Purchasing

Purchasing Procedures, E-Purchasing, and Systems Contracting

Strategic Outsourcing

Global Sourcing

Purchasing, Supply Partnerships, and Supply Chain Power

Total Quality Management and Purchasing

Price Determination

Bargaining and Negotiations

Purchasing Transportation Services

Equipment Acquisition and Disposal

Health Care Purchasing and Supply Management

Procuring Professional Services

Filters

Exam 8: Supplier Selection and Evaluation

The most important attributes (of customer service) should be: high quality and on-time delivery.

Supplier ______________ are very useful tools to evaluate the quality capabilities of a supplier.

____________ relationships recognize the potential value of both organizations getting what they want and maximize the potential of having a long-term relationship.

When a firm has answered the make-or-buy question with a decision to buy, the question then becomes __________________ this responsibility.

The use of outsourcing has quickly become _____________ for an increasing number of businesses.

___________ suppliers are those that are most important to the buying firm. They supply the buying firm with essential materials and capabilities that are not easily replaced.

___________ suppliers are those that can be easily replaced in a short time.

___________________, one type of supplier development program (SDP), are an attempt to meet current and future business needs by improving supplier performance and capabilities.

When a supplier _________ to conform to the buying firm's expectations, the buying firm manager must __________________________.

This type of relationship (counterproductive) is undesirable because: * it does not promote a positive rapport between buying and supplying firms involved and * neither organization achieves its goals.

.The ___________ method evaluates supplier performance by using standard cost analysis.

_________________________ relationships are those relationships in which both buying and supplying firms strive to get the very best arrangement possible in their negotiations and fail to see the benefits of both organizations obtaining their goals and objectives.

The _____________________ process is based on the idea of efficient resource coordination and teamwork.

lthough it is a strong relationship, a cooperative alliance lacks the ___________ that is needed between the various buying and supplying firms in order to optimize the benefits for all of the members of the supply chain.

The buying firm must be highly skilled at ____________________________.

________________ relationships are those in which each organization (buying and supplying) is so focused on getting what is best for it that each puts the other at a disadvantage.______________ buyer-supplier relationships ________ recommended.

uyer and supplier relationships have become increasingly important for a number of reasons. All of the following reasons are correct with one exception. Which one is incorrect?

Searching for the appropriate supplier for a specific material or component part is becoming _________________.

Purchasing and Supply Management

Purchasing Decisions and Business Strategy

The Legal Aspects of Purchasing

Materials Management

Inventory Management

Just-In-Time Lean Purchasing

Purchasing Procedures, E-Purchasing, and Systems Contracting

Strategic Outsourcing

Global Sourcing

Purchasing, Supply Partnerships, and Supply Chain Power

Total Quality Management and Purchasing

Price Determination

Bargaining and Negotiations

Purchasing Transportation Services

Equipment Acquisition and Disposal

Health Care Purchasing and Supply Management

Procuring Professional Services

Filters

When a supplier _ to conform to the buying firm's expectations, the buying firm manager must __________________.

______ relationships are those in which each organization (buying and supplying) is so focused on getting what is best for it that each puts the other at a disadvantage. buyer-supplier relationships recommended.