Question 1

Which of the following metrics is most likely used in evaluating an outsourced call centre but not a manufacturing process?

Accepted Answer

A) quality 
B) delivery 
C) logistics 
D) cost 
E) personnel evaluations and training 
A) quality 
B) delivery 
C) logistics 
D) cost 
E) personnel evaluations and training E

Question 2

Which country should a firm choose for production using a weighted factor method if high scores indicate high risk?

Accepted Answer

Canada = 5(10)+ 3(9)+ 7(6)+ 2(4)= 127
Singapore = 5(7)+ 3(7)+ 7(5)+ 2(9)= 109
Mexico = 5(8)+ 3(5)+ 7(7)+ 2(9)= 122
The firm should choose Singapore (lowest risk)

Question 3

Some organizations use outsourcing to replace entire purchasing,information systems,marketing,finance,and operations departments.

Accepted Answer

A) True 
 B)False  True

Question 4

Has there been any political backlash in the United States resulting from outsourcing in foreign countries? Explain.

Accepted Answer

Yes.The loss of U.S.jobs has fueled anti

Question 5

According to research,which of the following is the most common reason cited for outsourcing failure?

Accepted Answer

A) core competencies identified as non-core 
B) erratic power grids in foreign countries 
C) unable to control product development,schedules,and quality 
D) decisions made without sufficient understanding of the options through analysis 
E) political and exchange rate uncertainty 
A) core competencies identified as non-core 
B) erratic power grids in foreign countries 
C) unable to control product development,schedules,and quality 
D) decisions made without sufficient understanding of the options through analysis 
E) political and exchange rate uncertainty

Question 6

Research data suggest that foreigners outsource far fewer services to the U.S.than American companies send abroad.

Accepted Answer

A) True 
 B)False

Question 7

Identify several outsourcing processes,that is,activities that firms should undertake when embarking on outsourcing.

Accepted Answer

Answers will vary,but they should includ

Question 8

What term has been created to describe the return of business activity to the purchasing firm?

Accepted Answer

A) renewal 
B) backsourcing 
C) reversal 
D) reversesourcing 
E) insourcing 
A) renewal 
B) backsourcing 
C) reversal 
D) reversesourcing 
E) insourcing

Question 9

A company that had previously sent its call centre business to India has now brought that business back to small towns in the U.S.such as Dubuque,Iowa.This is an example of

Accepted Answer

A) return outsourcing. 
B) inshoring. 
C) offshoring. 
D) outsourcing. 
E) backsourcing. 
A) return outsourcing. 
B) inshoring. 
C) offshoring. 
D) outsourcing. 
E) backsourcing.

Question 10

The factor-rating method is an excellent tool for dealing with both ________ and ________ problems.

Accepted Answer

country ri

Question 11

A firm is evaluating country risk as a first step in its outsourcing provider selection process.Legal issues,currency risk,political risk,and cultural compatibility have been assigned weights of 30%,10%,20%,and 40%,respectively.Three countries were scored on each of those risk factors (see table below)using a scale of 1-10,with a score of 1 meaning high risk and 10 meaning minor risk.Using the factor-rating method,which country appears to have the least risk overall?

Accepted Answer

Country A: 2(.3)+ 8(.1)+ 5(.2)+ 3(.4)= 3

Question 12

________ is the number-one reason driving outsourcing for many firms.

Accepted Answer

The answer of ________ is the number-one reason driving outsourcing...

Question 13

Which of the following are possible outsourcing risks? I.Incorrectly identifying a core competency as non-core
II.Setting savings goals too high
III.Inability to control product development,quality
IV.Non-responsive provider
V.Currency fluctuations

Accepted Answer

A) I,II,IV 
B) II,III,V 
C) I,III,V 
D) III,IV,V 
E) I,II,III,IV,V 
A) I,II,IV 
B) II,III,V 
C) I,III,V 
D) III,IV,V 
E) I,II,III,IV,V

Question 14

Core competencies are good candidates for outsourcing.

Accepted Answer

A) True 
 B)False

Question 15

Some business activities,such as human resources and legal processes,cannot be outsourced.

Accepted Answer

A) True 
 B)False

Question 16

Research data suggest that foreigners outsource far more services to the U.S.than American companies send abroad.

Accepted Answer

A) True 
 B)False

Question 17

Which of the following statements is most accurate?

Accepted Answer

A) Nearly all outsourcing relationships do not last beyond two years. 
B) Nearly all U.S.firms that outsourced processes to India have backsourced them. 
C) Approximately half of all outsourcing agreements fail. 
D) Outsourcing is a relatively risk-free activity. 
E) More than 90% of outsourcing agreements succeed. 
A) Nearly all outsourcing relationships do not last beyond two years. 
B) Nearly all U.S.firms that outsourced processes to India have backsourced them. 
C) Approximately half of all outsourcing agreements fail. 
D) Outsourcing is a relatively risk-free activity. 
E) More than 90% of outsourcing agreements succeed.

Question 18

Offshoring is the practice of moving a business process to a foreign country but retaining control of it.

Accepted Answer

A) True 
 B)False

Question 19

Outsourcing is the practice of moving a business process to a foreign country but retaining control of it.

Accepted Answer

A) True 
 B)False

Question 20

The reason behind most outsourcing failures is

Accepted Answer

A) decision was rushed. 
B) lack of understanding and analysis before decision. 
C) costs were higher than predicted. 
D) labour was less productive than predicted. 
E) unable to handle increased logistic complexity. 
A) decision was rushed. 
B) lack of understanding and analysis before decision. 
C) costs were higher than predicted. 
D) labour was less productive than predicted. 
E) unable to handle increased logistic complexity.

Exam 20: Outsourcing As a Supply-Chain Strategy

Which of the following metrics is most likely used in evaluating an outsourced call centre but not a manufacturing process?

Which country should a firm choose for production using a weighted factor method if high scores indicate high risk?

Some organizations use outsourcing to replace entire purchasing,information systems,marketing,finance,and operations departments.

Has there been any political backlash in the United States resulting from outsourcing in foreign countries? Explain.

According to research,which of the following is the most common reason cited for outsourcing failure?

Research data suggest that foreigners outsource far fewer services to the U.S.than American companies send abroad.

Identify several outsourcing processes,that is,activities that firms should undertake when embarking on outsourcing.

What term has been created to describe the return of business activity to the purchasing firm?

A company that had previously sent its call centre business to India has now brought that business back to small towns in the U.S.such as Dubuque,Iowa.This is an example of

The factor-rating method is an excellent tool for dealing with both ________ and ________ problems.

________ is the number-one reason driving outsourcing for many firms.

Which of the following are possible outsourcing risks? I.Incorrectly identifying a core competency as non-core II.Setting savings goals too high III.Inability to control product development,quality IV.Non-responsive provider V.Currency fluctuations

Core competencies are good candidates for outsourcing.

Some business activities,such as human resources and legal processes,cannot be outsourced.

Research data suggest that foreigners outsource far more services to the U.S.than American companies send abroad.

Which of the following statements is most accurate?

Offshoring is the practice of moving a business process to a foreign country but retaining control of it.

Outsourcing is the practice of moving a business process to a foreign country but retaining control of it.

The reason behind most outsourcing failures is

Operations and Productivity

Operations Strategy in a Global Environment

Project Management

Forecasting

Design of Goods and Services

Managing Quality

Statistical Process Control

Process Strategy and Sustainability

Capacity and Constraint Management

Location Strategies

Layout Strategies

Human Resources,job Design,and Work Measurement

Supply-Chain Management

Inventory Management

Aggregate Planning

Material Requirements Planning Mrpand Erp

Short-Term Scheduling

Jit and Lean Operations

Maintenance and Reliability

Decision-Making Tools

Linear Programming

Transportation Models

Waiting-Line Models

Learning Curves

Simulation

Filters

The factor-rating method is an excellent tool for dealing with both and problems.