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Which of the following consequences is a result of shipping directly from the point of manufacture to the customer rather than through a distribution network?

  1. Delivery lead times are consistent.
  2. Risk pooling benefits are negated.
  3. Distribution overhead is increased.
  4. Order-fill rate is decreased.

Answer(s): B



Which of the following results can be expected from sharing a common understanding of demand and consumption patterns among supply chain participants?

  1. Improved transparency of collaboration relationships
  2. Increased performance in balanced scorecard
  3. Reduced inventory levels for key items
  4. Better synchronization of planning and operations

Answer(s): D



An advantage of using a third-party logistics service (3PL) is improved:

  1. on-time delivery of shipments due to higher inventory levels.
  2. cost structure due to economies of scale.
  3. access to smaller markets due to localization.
  4. risk visibility due to inventory consolidation.

Answer(s): B



A return material authorization (RMA) policy is used in reverse logistics to:

  1. physically transport returned items by using an efficient transportation mode.
  2. minimize the number of returned items by involving product design and demand forecasting.
  3. reduce the cost of returned items by refusing to accept items that should not be returned.
  4. reclaim substantial value from returned items by recycling.

Answer(s): C






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