Topic 1: Intro to LSCM

1. What are the main factors that are changing modern supply chains (tick all that apply) →
Technology, terrorism, globalization, empowerment of consumers

2. Outsourcing involves → Obtaining materials, parts and products from other companies.

3. Complexity in the supply chain is caused by → All of the answers… (transportation

requirements, locations of customers and suppliers, the number of SKUs)

4. It is predicted that social networks such as Facebook and Twitter will influence supply
chains because of their impact on demand and the speed of information transfers. →
True.
5. As the dollar value of a product decreases, its inventory value decreases. → true.
6. One of the major challenges of supply chain management is → maintaining the
visibility of inventory.
7. A critical outcome of the supply chain is to deliver → the right product to the right
place.
8. CEOs view SCM initiatives → being primarily focused on cost reduction
9. Most retailers are essentially SC companies since → They buy products
produced by others.
10. The first decade of the twenty-first century was a period of rapid change for
organizations, especially businesses. → True.
11. Traditionally, information has been viewed as flowing in the opposite direction of
products, customers -> suppliers → None of these answers.
12. Providing consumers with as selection of the same basic shirt is example of
which force shaping the economic landscape → The empowered consumer
13. Supply chains create value by → Increasing profitability and return to
shareholders
14. Economic deregulation sparked competition among carries in areas. Which of
these is not an area of competition? → Services
Topic 2: Demand Management
1. Select all relevant primary factors that impact consumer demands → Seasonal
patterns, business cycles, disasters.
2. Which of the following about customer relationship management is false? →
Customer relationship management is a new concept that is used by service
industries.
3. What are the possible outcomes of stockout? → tick hết (backorders, lose
revenue, waits, switch seller)
4. Select all applicable reasons that prevent business firm from managing demand
effectively. → tick hết trừ slow production pace due to outshoring practices
5. As the level of demand for a product increases, its stockout costs to the
manufacturer → increase
6. Which of the following about CPFR is false? → CPFR consists 8 major
processes.
 7. Which one is NOT a measurement of customer service? → order filled
inaccurately.
8. Which of the following is least likely to improve the accuracy of forecasting and
planning modes? → dynamic marketplace
9. Forecasting of demand generally involves the use of heuristics and quantitative
techniques → true
10. Which fulfillment model works best for services levels → dedicated fulfillment
model.
11. Customer services can be perceived as → Tick all that apply (Performance
Measurement, Philosophy, Activity).
12. What are the possible outcomes of stockout → Tick all that apply (Buyer back-
orders the product, Seller loses all future revenue, Buyer waits until the product is
available).
13. As the level of substitutability for a product increases, its stockout costs to the …
→ Increase.
14. Terms of scale establish → When ownership and title of the goods passes from
seller to buyer.
15. All of the following describe S&OP EXCEPT → Results in lower costs.
16. Select all applicable reason(s) that prevents business firms from managing
demand → Tick all that apply (Insufficient attention to collaborative efforts and
strategic plans, Lack of coordination between business units or departments, Too
much emphasis on operational forecasts)
Topic 3: Procurement
1. The objective of the procurement process is to purchase goods and services at
the “best” price, which is the lowest price per unit at the vendor source → false
2. Sustainable supply chain should be about (tick all applicable) → tick hết trừ
exploiting cheap labor
3. List the countries known as BRIC → China, Russia, India, Brazil
4. Tick all relevant key drivers for strategic sourcing → tick hết trừ increase supplier
focus
5. Strategic sourcing as a process is far more broad and comprehensive than
procurement. Overall, the process starts with the formation of a → steering
committee.
6. When a firm “sources strategically”, it is → working together with customers and
suppliers in a creative, positive way.
7. Technology has allowed small organizations and individuals to connect to the
world’s “knowledge pools” to create business opportunities for corporations in the
supply chain.
8. Traditional sourcing tends to rely on the cheapest cost and economies of scale
→ true.
9. What do you think may be the reasons for Western companies decision to source
from Asian countries → Costs, proximity, quality
10. Critical are high-risk, high-value items that give the final product a competitive
advantage in the marketplace → true
 11. Which one is a unique aspect of strategic sourcing? → emphasis on value,
meaningful supplier relationships, consolidating purchasing power (k có lowest
quotations)
12. All are correct → (Deliver more innovative products more frequently & cheaply
than competitors, Reduce high costs of globalization & materials; increse global
competitors, Increase number of global competitors).
13. Criticals are high-risk, high-value items that give the final product a competitive
advantage in the marketplace. → true
Topic 4: Productions and Operations
1. A push-based strategy works well for supply chains that focus on → the
immediate delivery of off-the-shelf, low-cost, standardized products.
2. Packaging is not important in the manufacturing operation → false
3. Manufacturing and production operations create form utility → true
4. Companies now use strategies that are lean, flexible, or adaptive; they wait for
customers to push products to the market → false
5. Lean production relies on → pull-based systems
6. In assemble-to-order production → The finished product is generally a
combination of common components and a limited of options or accessories
made available to the customer.
7. Which of these is NOT a production method? → Create-to-order
8. In an MRP system, this document identifies all of the components required to
assemble an independent demand item → Bill of materials
9. Offshoring is a term that means relocating activity to a contract manufacturer in
another country → true
10. Capability is → The maximum amount of work that an organization is capable of
completing in a given period of time. (or the maximum square footage available
for inventory storage in a facility).
11. Asset utilization is a very important aspect of → Private distribution facilities
12. Manufacturing and production operations create form utility → true
Topic 5: Inventory Management
1. Capital cost can focus on the cost of capital tied up in inventory and resulting lost
opportunity from investing elsewhere
2. Ordering cost is the expense of placing an order and → does not include the
price of the product
3. WIP inventories are → are associated with manufacturing
4. An inverse relationship exists between the cost of lost sales and inventory cost.
5. In the event of a “stockout” one of the things that could happen is → extra freight
cost may be incurred.
6. Inventory as an asset on the balance sheet and a variable expense on the
income statement.
7. For an extremely large inventory level that needs to be stored but only happens
for a small proportion of time then we should → Both B and C are correct (rent
outside warehouse space, build temporary warehouse)
 8. What does the right inventory mean in this chapter → a decision-making
framework to manage inventory cost and its positioning.
9. If (CLT) is much greater than sum of (SLT) + (CT) + (DTC) then it means: → less
immediacy and urgency.
Topic 6: Transportation
1. Transportation efficiency promotes competition in the supply chain.
2. Railroads fall into a group call → Natural monopolies
3. Which modes of transportation is the most often used in intermodal shipments?
→ Motor
4. As a product’s susceptibility to loss and damage increases, its transportation cost
→ increases
5. Which management area in an organization does not normally have
transportation responsibility → Manufacturing
6. The distance in today’s global supply chains produce → all of the answers
(disruptions, longer transit time, higher costs)
7. Which of these is not a freight document → routing guide
8. Challenges for the trucking industry include → competition
9. The key financial considerations in choosing between private and 3PL
distribution options is → volume of product being moved
10. Which is a major category of ocean shipping → liner vessels
11. The growth of outsourcing has created transportation challenges. → True
12. The responsibility for transportation management is typically not assigned to any
one management discipline in an organisation. → False.
13. Given the availability of information, transportation buying has become
comparatively easy. → False.
14. Seller prepares the goods & buyer will pick up, then handles all the other
arrangements & costs associated to shipment → EXW
15. The seller will conduct import duty when → DAT
16. Which commercial term, the buyer has minimum liability for shipment & bears all
the costs of transportation, customs,… → EXW
17. Which Incoterms does the seller need to pay the insurance fee → CIP
18. Normally, which Incoterms buyer will pay the most? → DDP
19. Import tax of PVC resin pellets from Thailand to Vietnam → 0%
20. Import tax of packed films (Polyethylene) from Thailand to Vietnam → 0%
21. Distribution facilities can provide numerous services, depending on requirements
of SC, which are not typical services? → activity
Topic 7: Warehouse and Distribution Channels
1. Contract warehousing is different from 3PL warehousing → false
2. One of the advantages of distributing products through a distribution center
before it is delivered to the store is → lower transportation costs
3. The drawback of centralized inventory is → that it extends lead times and results
in higher transaction costs.
4. The drawback of centralized inventory is the long distance to customers, which
typically extends lead times and results in higher transaction costs → true
 5. A downside of direct shipping is → can create higher transportation charges.
6. The primary tradeoffs and relationships between resources include the following
→ all of the answers (space vs equip, ppl vs space, equip vs ppl)
7. Proper product slotting can improve labor productivity and generate other
advantages for the organization and its customers → true
8. One important interaction that must be considered is the tradeoff between
distribution and → transportation
9. Customers use distribution KPIs to objectively assess the speed of service
provided by the distribution operation → true
10. The primary facility operations focus is → on the movement and storage of
products.
11. The roles of the distribution center include → Balancing supply and demand,
protecting against uncertainty, and promoting transportation economies. (aDuy)
12. Additional Relevant Costs represent the sum of all costs associated with a good
or service. These include:
 Lifecycle costs
 Transaction costs.
 Quality costs.
 Technology costs
Topic 8: Supply Chain Technologies
1. The visibility of demand, customers orders, delivery status, inventory stock levels, and
production schedules provides managers with the knowledge needed to make effective
situational assessments and develop appropriate responses.
2. Supply chain software is now available over the Internet. These applications are
collectively known as on-demand software → true
3. Additional relevant costs represents the sum of all costs associated with a good or
service. These include (tick all applicable) → tick hết (lifecycle, transaction, quality,
technology costs)

4. Supply chain software that provides a platform for manufacturers, distributors, and
retailers to aggregate and organize item-related data such as item number, price,
description, and weight is called → data synchronization tools
5. All of the following are typical requirements when implementing CRM and SRM EXCEPT
→ new technology platforms
6. Advancements in ERP shift the firm’s focus from internal optimization to → external
relationship management
7. IoT is UNCONNECTED technology with sensors, on/off switches, a nd internet linkages
that allow supply chain managers to intelligently link people, processes, data and things
→ false
8. ERP systems → have information elements needed by SCIS applications
9. All of the following are financial benefits of e-business EXCEPT → reduced
transportation costs
10. Technological capabilities ultimately determine the success or failure of SCIS, rather
than the technology users → false
11. “It has been said that information is the lifeline of a business, driving effective decisions
and action. Quality of information is less and less important, given advances in
technology” → false
 12. Supply chain information technology can provide timely, cost efficient sharing of
information between suppliers, manufacturers, intermediaries, logistics, services
providers, and customers → true
13. Due to mergers and acquisitions in the software industry and ERP vendors moving into
the SC applications market space, it is possible to purchase → SC software suites
that combine planning, execution, event management, and related capabilities.
14. The term supply chain information system (SCIS) is defined as information
systems that automate the flow of information between a firm and its suppliers.
15. People is/are a major barrier to the effective use of information technology.
16. ERP systems are multimodal application software platforms that help
organizations manage the important parts of their businesses. → true.
17. “It has been said that information is the lifeline of a business, driving effective
decisions and action. Quality of information is less and less important, given
advances in technology.” → false.
18. __________ is/are a major barrier to the effective use of information technology.
→ effective applications.

Topic 9: Supply chain relationships

1. The range of relationships with 3PLs ranges from being a vendor to being a verical
supplier → false
2. The first stage in the process model for forming and sustaining supply chain
relationships involves the process by which a manufacturer becomes fully aware of its
logistics and supply chain needs → true
3. A horizontal relationship refers to firms on the same level in the supply chain → false
4. Long Cam is a producer… → Profit stability/ growth
5. Each of the following is a force leading to increased supply chain integration EXCEPT →
increased raw material cost
6. Costa, a famous global Italian-style…→ strategic alliance
7. Many organisations have directed significant attention toward working more closely with
supply chain partners, including not only customers and suppliers but also various
typesof logistics suppliers → true
8. Which is not part of dependability → Convenience
9. Full collaboration is the dynamic combination of → Both vertical and horizontal
collaboration.
10. Once a 3PL provider is chosen, it is not necessary for an organization to seek
continuous improvements as the 3PL will handle that function. → false
11. Vertical collaboration refers to →Collaboration among buyers and sellers in the
supply chain.
12. A third-party logistics firm may be defined as → An external supplier that
performs or manages all or part of a company’s logistics functions.
13. Collaboration is usually defined as a “business practice that encourages
individual organizations to share information and resources for the benefit of all”.
→ true
14. The least-frequently used IT-based services by customers of 3PLs are: →
Strategic and customer-related or Warehouse/distribution management.
15. Many organisations are working more closely with Customers, suppliers, and
various types of logistics suppliers.
 16. Whether the relationship may/may not be with a provider of logistics services.
Today’s SC relationships are most effective when collaboration occurs among
the participants who are involved.

Difficult Questions
1. Economic deregulation sparked competition among carriers in several areas. Which of
these is not an services area of competion?
2. When a firm “sources strategically”, it is → working together with customers and
suppliers in a creative, positive way
3. Terms of sale established → when ownership and title of the goods passes from seller to
buyer
4. Distribution facilities can provide numerous services, depending on the requirements of
the supply chain. Which of these is not a typical service → activity
5. Supply chains create value by → increasing profitability and return to shareholders
6. Customer service can be perceived as (tick all that apply) → philosophy, performance
measurement, activity
7. All of the following describes S&OP EXCEPT → definite near term plan
8. Asset utilization is a very important aspect of → private distribution facilities
9. Providing consumers with a selection of many variation of the same basic shirt is an
example of which forcepresently shaping the economic landscape → the empowered
consumer
10. Many industry initiatives have attempted to create efficiency and effectiveness through
the integration of supply chain activities and processes. Among the various initiatives is/
are → all of the answers (QR, VMI, ECR)