Test your basic knowledge |

Supply And Logistics

Subject : business-skills
Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. A method by which supply chain partners periodicaly hsare forecasts - demand palns - and resource plans in order to reduce uncertainty and risk in meeting customer demand






2. 1) Identify the price breaks on offer 2) Calculate the EOQ at each price break - starting with the lowest 3) Evaluate the feasibility of each EOQ value 4) Calculate the TAC for each feasible EOQ and for the minimum quantity required to attain each p






3. Forecasting technique that usees data and experience from similar products to foreast the demand for a new product






4. Unit cost + disposal cost - salvage value






5. A fixed time period that passes between inventory reviews






6. A strategy that includes some elements of level production and some elements of chase production strategies






7. Management system built around checking and ordering inventory at some regular interval






8. The sum of the inventory held across all of the locations in a company






9. Expenses incurred due to the fact that inventory is held






10. A mathematical approach for fitting an equation to a set of data






11. Built upon estimates and opinions of people - e.g. experts. Attempt to incorporate factors of demand that are difficult to capture in a purely statistical model.






12. 1) Stockout risk up 2) COGS up because of inability to purchase or produce in quantity 3) Purchasing - ordering & receiving time - effort and cost up






13. items that are ready for sale to customers






14. A one-time change in demand - susually due to some external influence on demand






15. The tendency of a forecasting technique to continually overpredict or underpredict demand.






16. Minimum level of inventory that triggers the need to order more






17. 1) No quantity discounts 2) No lot size restrictions 3) No partial deliveries 4) No variability 5) Quantity of one product is not dependent on that of another






18. A product designed so that it can be configured to its final form quickly and inexpensively once actual customer demand is known






19. Expenses incurred in placing receiving orders from suppliers - including order preparation - transmittal - receiving - and A/P processing






20. Forecasting model model that assigns a different weight to each period's demand according to its importance






21. Forecasting technique that bases forecastis on the purchasing patterns and attitutdes of current or potential customers






22. An event that occurs when no inventory is available






23. 1) Extra resources expand and contract capacity to meet varying demand 2) Backlogging of certain orders to smooth out demand fluctuations 3) Customer dissatisfaction with inability to meet all demands 4) Buffering the system with safety stocks - saf






24. The probability of meeting all demand for an item = cost of a unit stockout / (cost of a unit stockout + cost of being overstocked by one unit)






25. 1) Short-term forecasts are usually more accurate than long-term forecasts 2) Forecasts of aggregated demand are usually more accurate than forecasts of demand at detailed levels 3) Forecasts developed using multiple information sources are usually






26. Determination of replenishement and postioining of finished goods in the distribution network






27. An illustration of the pattern of ordering and inventory levels






28. inventory of an item is stored in two different locations






29. 1) Improve information accuracy and timeliness 2) Reduce lead time 3) Redesign the product 4) Collaborate and share information






30. 1) Inventory holding cost 2) Regular production cost 3) Overtime cost 4) Hiring cost 5) Firing/layoff cost 6) Backorder/lost sales cost 7) Subcontracting cost






31. Difference between a forecast and the actual demand






32. An order for the same amount each time






33. Amount paid to suppliers for products that are purchased






34. inventory classification - info systems - accurate records






35. Model used to determine the order size for a one-time purchase






36. inventory is constantly monitored to decide when a replenishement order needs to be placed






37. Small disturbance generated by a customer produces sucessively larger disturbances at each upstream stage in the supply chain






38. An order for an amount that covers a fixed period of time






39. 1) Enhanced teamwork at executive & operating levels 2) Better decisions with less effort and time 3) Better alignment of operational - marketing and financial plans 4) Greater accountability for results 5) Ability to see potential problems sooner






40. Vendor is responsible for managing the inventory located at a customer's facility






41. Average size of forecast errors - irrespective of their directions.






42. Process that adjusts prices as demand for a service occurs (or does not occur)






43. 1) Improved forecast accuracy 2) Higher customer service with lower finished goods inventory levels due to better forecasts and coordination fo supply with demand 3) More stable supply rates -> Higher productivity for purchasing - suppliers and oper






44. 1) Influence the timing or quantity of demand through pricing changes - promotions - or sales incentives 2) Manage the timing of order fulfillment 3) Substitute by encouraging customers to shift their orders from one product to another - or from o






45. A planning system used to ensure the right quantities of materials are available when needed






46. 1) Rapid technological change 2) Increasing importance of sustainability 3) Growing roles of national and corporate cultures






47. Administrative expenses and the expenses of rearranging a work center to produce an item






48. How much should be ordered and when?






49. Forecasting model that computes a forecast ast he average of demands over a number of immediate past periods






50. Unique ID for a part used by a specific company