Question 1

It is critical that customers and suppliers develop stronger relationships and partnerships based on a tactical rather than a strategic perspective.

Accepted Answer

A) True 
 B)False

Question 2

The development of relationships with suppliers brings about changes that must be managed in order for a company to stay focused on their core businesses.

Accepted Answer

A) True 
 B)False

Question 3

If a company is effectively focusing on its core competencies,its level of outsourcing is likely to increase.

Accepted Answer

A) True 
 B)False

Question 4

When using a Weighted Criteria Evaluation System to evaluate suppliers,all of the following are true EXCEPT:

Accepted Answer

A) Select the key dimensions of performance based on what is important to the consumer 
B) The weights for all dimensions must sum to 1 
C) Evaluate each of the performance measures on a rating between zero and one-hundred 
D) Multiply the dimension ratings by their respective important weights and then sum to get an overall weighted score

Question 5

An effective supplier certification program will increase time spent on incoming inspections.

Accepted Answer

A) True 
 B)False

Question 6

As companies outsource more and more parts,it becomes easier to achieve cost savings internally.

Accepted Answer

A) True 
 B)False

Question 7

An organization's process for evaluating the quality systems of key suppliers in an effort to eliminate incoming inspections can be referred to as:

Accepted Answer

A) Quality Systems Certification 
B) Supply Management 
C) Supplier Inspection 
D) Supplier Certification

Question 8

A seven-step approach to supplier development might include identifying critical suppliers not meeting performance requirements.

Accepted Answer

A) True 
 B)False

Question 9

Offering an awards program to suppliers both motivates the suppliers to commit to a program of continuous improvement as well as provides role models for suppliers to follow.

Accepted Answer

A) True 
 B)False

Question 10

The benefits of investing in an Environmental Management System (EMS),based on ISO14000 standards,include savings in energy consumption and materials and an improved corporate image.

Accepted Answer

A) True 
 B)False

Question 11

ISO 14000 is a family of international standards for environmental management.

Accepted Answer

A) True 
 B)False

Question 12

In a weighted-criteria evaluation system the weights of all the performance dimensions must add up to total more than 1.00 and less than 100.

Accepted Answer

A) True 
 B)False

Question 13

In a TCO system,certification and training of suppliers would be considered post-transaction costs.

Accepted Answer

A) True 
 B)False

Question 14

Summers,Inc.needs to generate a list of good/services purchased per supplier.Which type software program can the manager consult to obtain the information?

Accepted Answer

A) ISO 9000 
B) ISO 14000 
C) SRM 
D) SCSS

Question 15

Streamlining the processes and communications between the buyer and supplier using software applications that enable these processes to be managed more efficiently and effectively can be referred to as:

Accepted Answer

A) CRM 
B) SRM 
C) ISO 9000 
D) SCSS

Question 16

According to the text,one of the most basic and successful approaches to protecting trade secrets is:

Accepted Answer

A) Threat of litigation 
B) Working with law makers to increase fines and sentences for those that steal trade secrets 
C) Requiring employees and vendors to sign non-disclosure agreements 
D) Requiring employees and partners to get ISO 9000 certified

Question 17

Smoother processes,faster cycle times,reduced new product development,and improved time-to-market are possible benefits from the increased visibility that is offered by SRM software.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following is important in developing successful relationships in a partnership?

Accepted Answer

A) Commitment by top management 
B) Interpersonal relationships between employees of the companies 
C) Mutual/compatible needs that result in a win-win situation for the partners 
D) All of these

Question 19

A company using a weighted-criteria evaluation system has established these 5 categories and the appropriate weight in parentheses:Quality (0.25)Responsiveness (0.10)Delivery (0.20)Cost (0.25)Technology (0.20)Company X received the following ratings in each of the five categories: Quality(90),Responsiveness(90),Delivery(80),Cost(80),Technology(90).What is their total score?

Accepted Answer

A) 87.0 
B) 85.5 
C) 86.0 
D) 86.5

Question 20

According to the text,key ingredients for developing successful supply partnerships include all of the following EXCEPT:

Accepted Answer

A) Personal relationships 
B) Individualized objectives 
C) Mutual benefits and needs 
D) Performance metrics

Exam 3: Creating and Managing Supplier Relationship

It is critical that customers and suppliers develop stronger relationships and partnerships based on a tactical rather than a strategic perspective.

The development of relationships with suppliers brings about changes that must be managed in order for a company to stay focused on their core businesses.

If a company is effectively focusing on its core competencies,its level of outsourcing is likely to increase.

When using a Weighted Criteria Evaluation System to evaluate suppliers,all of the following are true EXCEPT:

An effective supplier certification program will increase time spent on incoming inspections.

As companies outsource more and more parts,it becomes easier to achieve cost savings internally.

An organization's process for evaluating the quality systems of key suppliers in an effort to eliminate incoming inspections can be referred to as:

A seven-step approach to supplier development might include identifying critical suppliers not meeting performance requirements.

Offering an awards program to suppliers both motivates the suppliers to commit to a program of continuous improvement as well as provides role models for suppliers to follow.

The benefits of investing in an Environmental Management System (EMS),based on ISO14000 standards,include savings in energy consumption and materials and an improved corporate image.

ISO 14000 is a family of international standards for environmental management.

In a weighted-criteria evaluation system the weights of all the performance dimensions must add up to total more than 1.00 and less than 100.

In a TCO system,certification and training of suppliers would be considered post-transaction costs.

Summers,Inc.needs to generate a list of good/services purchased per supplier.Which type software program can the manager consult to obtain the information?

Streamlining the processes and communications between the buyer and supplier using software applications that enable these processes to be managed more efficiently and effectively can be referred to as:

According to the text,one of the most basic and successful approaches to protecting trade secrets is:

Smoother processes,faster cycle times,reduced new product development,and improved time-to-market are possible benefits from the increased visibility that is offered by SRM software.

Which of the following is important in developing successful relationships in a partnership?

According to the text,key ingredients for developing successful supply partnerships include all of the following EXCEPT: