Question 1

Many buyers have now concluded that,if they select suppliers carefully and develop close and collaborative working relationships with fewer suppliers,supply risk can actually decrease.

Accepted Answer

A) True 
 B)False

Question 2

Supplier performance measurement differs somewhat from the process used to initially evaluate and select a supplier as it is a continuous process as opposed to a unique,one-time event.

Accepted Answer

A) True 
 B)False

Question 3

Scenario planning is a one-time activity.

Accepted Answer

A) True 
 B)False

Question 4

____ allows an organization to react more quickly when risk events occur by already having previously prepared plans and proposed actions in place in advance of the actual event.

Accepted Answer

A)  Hedging 
B)  Use of third party intermediaries 
C)  Multiple sourcing 
D)  Scenario analysis 
E)  None of these choices.

Exam 9: Supplier Management and Development: Creating a World-Class Supply Base

Many buyers have now concluded that,if they select suppliers carefully and develop close and collaborative working relationships with fewer suppliers,supply risk can actually decrease.

Supplier performance measurement differs somewhat from the process used to initially evaluate and select a supplier as it is a continuous process as opposed to a unique,one-time event.

Scenario planning is a one-time activity.

____ allows an organization to react more quickly when risk events occur by already having previously prepared plans and proposed actions in place in advance of the actual event.