Chap3 Part 2
Chap3 Part 2
### 10. **Which of the following is NOT one of the logistical integration
objectives?**
- A) Responsiveness
- B) Inventory Reduction
- C) Speed of product development
- D) Life Cycle Support
- **Answer:** C) Speed of product development
### 11. **What is meant by ‘dwell time’ in supply chain logistics?**
- A) Time spent in production
- B) Time inventory spends idle before being moved to a desired location
- C) Time taken for customer order processing
- D) Time for goods to reach the end customer
- **Answer:** B) Time inventory spends idle before being moved to a desired
location
### 12. **The integration of logistics operations focuses primarily on:**
- A) Reducing customer demand
- B) The alignment of inventory and information flows
- C) Expanding warehouse facilities
- D) Increasing transportation costs
- **Answer:** B) The alignment of inventory and information flows
### 18. **Which logistical function is primarily concerned with the movement
of goods between warehouses and customers?**
- A) Order Processing
- B) Inventory Management
- C) Transportation
- D) Facility Network Design
- **Answer:** C) Transportation
### 19. **In logistics, the term ‘variance reduction’ refers to:**
- A) Increasing transportation speed
- B) Minimizing deviations in performance to improve consistency
- C) Increasing inventory levels
- D) Reducing customer interaction
- **Answer:** B) Minimizing deviations in performance to improve consistency
### 20. **Which of the following best defines the 'facility network design' in
logistics?**
- A) Planning the transportation routes between suppliers
- B) Organizing warehouse facilities and distribution centers
- C) Negotiating supplier contracts
- D) Managing transportation costs
- **Answer:** B) Organizing warehouse facilities and distribution centers
### 21. **What does the EERS model in logistics stand for?**
- A) Efficiency, Effectiveness, Responsiveness, and Speed
- B) Environment, Efficiency, Responsiveness, and Safety
- C) Execution, Efficiency, Responsiveness, and Service
- D) Effectiveness, Efficiency, Reliability, and Service
- **Answer:** D) Effectiveness, Efficiency, Reliability, and Service
### 25. **In logistics, the 'demand' input to a performance cycle refers to:**
- A) The number of products manufactured
- B) Customer orders that specify product requirements
- C) Forecasts of future product needs
- D) Product returns from customers
- **Answer:** B) Customer orders that specify product requirements
### 27. **What does logistical integration across a supply chain seek to
minimize?**
- A) Customer satisfaction
- B) Inventory variability
- C) Transportation speed
- D) Inventory costs
- **Answer:** D) Inventory costs
### 28. **In logistics, the term ‘shipment consolidation’ refers to:**
- A) Combining multiple shipments into one to reduce overall cost
- B) Increasing the number of warehouses
- C) Delaying shipments until full truckloads are achieved
- D) Reducing the shipment lead time
- **Answer:** A) Combining multiple shipments into one to reduce overall cost
### 29. **Which logistics function involves managing the flow of materials from
suppliers?**
- A) Procurement
- B) Order Processing
- C) Warehousing
- D) Manufacturing Support
- **Answer:** A) Procurement
### 32. **What does the term ‘inventory reduction’ generally aim to achieve?**
- A) To increase warehouse storage capacity
- B) To improve financial liquidity
- C) To lower operational costs and improve responsiveness
- D) To reduce customer demand
- **Answer:** C) To lower operational costs and improve responsiveness