Deck 1: An Overview of the Logistics System

Question 1

Logistics activities include all the following except:

A) The identification and management of suppliers, procurement and order processing and physical supply of materials and/or services from sources of supply to the manufacturer or producer.
B) The materials handling and inventory management of materials and/or services during and throughout the manufacturing process.
C) The subsequent transportation and distribution of products from the manufacturer to the ultimate consumer.
D) The selection of production design methods and process to meet customer requirements.

Answer 1

The selection of production design methods and process to meet customer requirements.

Question 2

Is the following statement correct as written?
"Marketing and Sales departments have been responsible for the procurement and acquisition of materials and Purchasing group has been responsible for providing planning information to set demand forecast."

Answer 2

False

Question 3

Is the following statement correct as written?
The Supply Chain includes all those activities associated with outbound logistics (the flow of materials and services from the supplier to the producer and/or manufacturer), the material flows within the factory, and the inbound logistics, (flow of materials, products and services from the factory to the customer.

Answer 3

False

Question 4

Integrated Logistics Support includes a life cycle approach to the planning, development, acquisition, and operation of systems and equipment to maximize readiness and optimize costs.

Question 5

_________ Logistics, is "a multi-functional technical management discipline associated with the design, development, test, production, fielding, sustainment, and improvement modifications of cost-effective systems that achieve the user's peacetime and wartime readiness requirements.

A) Support
B) Integrated
C) Acquisition
D) Operational

Question 6

The objective of ____________________ is to emphasize the importance of and need for the maintenance and support infrastructure by establishing specific metrics and to include these as quantitative design-to performance requirements in the appropriate specifications.

A) Acquisition based logistics
B) Integrated based logistics
C) Operation based logistics
D) Performance based logistics

Question 7

Simultaneously achieving possession, form, place, and time utilities contributes greatly to achieving, and guaranteeing customer satisfaction.

Question 8

The logistics of internationalization involves four significant differences in comparison to national or even regional operations. Which of the flowing is not one of these differences?

A) Distance
B) Storage
C) Documentation
D) Diversity
E) Cultural

Question 9

The IoT allows organizations to monitor inventory, automate stock reordering and keep track of deliveries, all in real time. Sensors can predict wear and tear on equipment, allowing timely ordering of spare parts and increased supply chain transparency.

Question 10

The __________ approach indicates that a company's objectives can be realized by recognizing the mutual interdependence of the major functional areas of the firm, such as marketing, production, finance, and logistics.

A) Systems
B) Logistics
C) Total Cost
D) Economic

Question 11

Infra-functional logistic functions indicates that systems logistics serves as the foundation for business logistics which is made up of materials management (movement and storage of materials into the firm) and physical distribution (storage of finished product and movement to the customer).

Question 12

Three key functional organizational areas that have direct impact on logistical activities are

A) Finance, Production, and Marketing
B) Human resources, Facilities, and Transportation
C) Engineering, Sales, Quality Assurance

Question 13

One of the most common interfaces between production and logistics involves the length of production runs.

Question 14

Landed cost refers to

A) Price of the product at the source minus its transportation costs to its destination.
B) Price of the product at the source times its transportation costs to its destination.
C) Price of the product at the source plus transportation costs to its destination.
D) Margin of the product minus its transportation costs to its destination.

Question 15

Which logistics channel activity focuses on the process of receiving, tracking and fulfilling customer orders?

A) Inventory management
B) Materials handling
C) Packaging
D) Order Management

Question 16

Which logistics channel activity is generally of more strategic importance to the organization because of it links outside of it?

A) Transportation
B) Warehouse management
C) Packaging
D) Procurement

Question 17

Transportation cost can account for up to _____ percent of an organizations total logistics costs and thus represents the costliest activity in many organizations.

A) 75
B) 60
C) 50
D) 40

Question 18

A large percentage of the total lifecycle cost of any given system can be attributed to conceptual and development activities.

Question 19

The greatest impact of life-cycle cost, hence maintenance and support costs, can be realized during the latter phases of product design/system design and development.

Question 20

The current definition of logistics, as promulgated by the Council of Supply Chain Management Professionals (CSCMP), suggests that the supply chain management is part of logistics.