Question 1

Which of the following is not an area responsibility for a logistic manager

Accepted Answer

A) Inventory 
B) Purchasing 
C) Warehousing 
D) Marketing

Question 2

Lean production involves

Accepted Answer

A) Improvement of speed only 
B) Improvement of quality only 
C) Elimination of all types of waste 
D) Elimination of cost only

Question 3

Which of the following is not a factor affecting the supply chain?

Accepted Answer

A) Reduced number of suppliers 
B) Increased competition 
C) Longer product life cycle. 
D) Increased opportunities to strategically use technology

Question 4

The business term that involves choosing a supplier, agreeing what to buy at a certain price and by when is called?

Accepted Answer

A) Logistics 
B) Supply chain management 
C) Stock control 
D) Procurement

Question 5

Which came last in the development of manufacturing process

Accepted Answer

A) Lean production 
B) Division of labor 
C) Mass production 
D) Craft production

Question 6

The major decision areas in supply chain management are

Accepted Answer

A) Location, production, distribution, inventory 
B) Planning, production, distribution, inventory 
C) Location, production, scheduling, inventory 
D) Location, production, distribution, marketing

Question 7

3-PL stands for

Accepted Answer

A) Three points logistics 
B) Third party logistics 
C) Three points location 
D) None of the above

Question 8

The time difference between a business ordering and receiving stock is called the

Accepted Answer

A) Recorder quantity 
B) Lead time 
C) Buffer stock 
D) Recorder level

Question 9

The purpose of supply chain management is

Accepted Answer

A) Provide customer satisfaction 
B) Improve quality of a product 
C) Integrating supply and demand management 
D) Increasing production

Question 10

A supply chain which includes the distribution of finished product and service?

Accepted Answer

A) Outbound logistics 
B) Inbound logistics 
C) Supply of goods 
D) Transportation

Question 11

Buying according to the requirements is called …………..

Accepted Answer

A) Seasonal buying 
B) Hand to mouth buying 
C) Scheduled buying 
D) Tender buying

Question 12

Getting the right goods to the right location at the right time for the least cost is known as

Accepted Answer

A) Market facilities 
B) Market logistics 
C) Market distribution 
D) None of the above

Question 13

Which of the following is not a typical supply chain member?

Accepted Answer

A) Retailer 
B) Wholesaler 
C) Producer 
D) Customer

Question 14

Logistics is the part of supply chain involved with the forward and reserve flow of

Accepted Answer

A) Goods 
B) Service 
C) Cash 
D) All of these

Question 15

Qualified is defined by the customer is

Accepted Answer

A) An unrealistic definition of quality 
B) A user based definition of quality 
C) A manufacturing based definition of quality 
D) A product based definition of quality

Question 16

The input to a transformation process include all of the following except

Accepted Answer

A) Material 
B) People 
C) Information 
D) Assembly

Question 17

Which one of the following would not generally be considered as an aspect of operations management?

Accepted Answer

A) Work methods 
B) Secured financial resources 
C) Maintain quality 
D) Product or service design

Exam 1: Understanding Supply Chain Management: Logistics and Operations