Deck 5: Managing Supply Chain Relationships

Question 1

A supply chain can be defined as a sequence of ____________ and ______________ processes linking suppliers through to customers

A) Purchasing and delivery
B) Business and procurement
C) Purchasing and information
D) Business and information

Answer 1

D

Question 2

Suppliers to an operation in a supply chain are said to be ______________ of the operation?

A) Downstream
B) Down river
C) Up river
D) Upstream

Answer 2

D

Question 3

What is a first tier supplier?

A) A supplier who has the highest supplier delivery rating
B) A supplier who has the highest supplier quality rating
C) A supplier who is located nearest to the operation
D) A supplier who provides their goods or services directly to the operation.

Answer 3

D

Question 4

What role does an operation usually take within a supply chain?

A) A supplier only
B) A customer only
C) A supplier and an customer
D) Neither a supplier or customer

Question 5

In an automotive supply chain what position in the chain would a metal machining company supplying parts to the engine manufacturer be?

A) A first tier supplier
B) A second tier supplier
C) A third tier supplier
D) A first tier customer

Question 6

What is the system by which companies select suppliers and purchase their goods and services called?

A) Procurement
B) Purchasing
C) Buying
D) Sourcing

Question 7

Which of these is a reason to single source products or services?

A) To ensure continuity of supply
B) To ensure consistent quality of supply
C) To obtain flexibility of supply
D) To obtain dependability of supply

Question 8

A contract between a customer and its suppliers which is based on the operations performance of the supplier is known as _________________?

A) A purchasing agreement
B) A quality agreement
C) A service level agreement
D) A dependability agreement

Question 9

Items that are needed by a company to operate but which are not central to its operations capability are called _____________?

A) Components
B) Services
C) Plant and equipment
D) Consumables

Question 10

When organizations decide to own a great deal of their supply network it is called _______________________?

A) Strategic partnership
B) Vertical integration
C) Horizontal integration
D) Outsourcing