Chapter 2

Question 1

Three river flows

Answer 1

Materials
Money
Information

Question 2

start with the raw materials, flowing through value-added steps until a product finally ends up in the hands of customers.

Answer 2

Materials flow downstream

Question 3

From the customer thru all the SC partners

Answer 3

Money flows upstream

Question 4

customers place orders and suppliers provide information about products and when they will be delivered.

Answer 4

Information flows both upstream and downstream

Question 5

Involves in synchronizing 3 flows

Answer 5

Managing SC effectively

Question 6

Functions inside and SCM organization

Answer 6

Purchasing
Logistics
Operation

Question 7

Simplest top-level goal for many SC decisions

Answer 7

ROI

Question 8

Sometimes called procurement.
Buys materials and services and the basic goal is to get the stuff that the company needs at the lowest cost.

Answer 8

Purchasing

Question 9

3 cost reduction strats

Answer 9

1. Negotiating
2. Switch to a supplier that charges less
3. Switch to lower quality product that is less expensive

Question 10

Related to moving or storing products. Often called: warehousing, physical distribution, traffic or transportation.

Answer 10

Logistics

Question 11

products and services that are being shipped to the company by the suppliers

Answer 11

Inbound logistics

Question 12

Products that you ship to your customers

Answer 12

Outbound logistics

Question 13

third function is key to supply chain management
in charge of the process that your company focuses on to create value

Answer 13

Operations

Question 14

Personality test

Answer 14

Myers Briggs

Question 15

4 major behavioral forces that influence culture are developed by?

Answer 15

Dr. John Gattorna

Question 16

4 behavioral forces

Answer 16

1. Integrator
2. Developer
3. Administrator
4. Producer

Question 17

force of cohesion, cooperation and relationships.

Answer 17

Integrator

Question 18

Force of creativity, change and flexibility.

Answer 18

Developer

Question 19

force of analysis, systems and control

Answer 19

Administrator

Question 20

force of energy, action and results

Answer 20

Producer

Question 21

Has a hierarchical culture

Answer 21

Purchasing department

Question 22

Rationale culture

Answer 22

Operations department

Question 23

Strict that lead to hierarchical culture

Answer 23

Large companies

Question 24

Entrepreneurial culture

Answer 24

Technology company

Question 25

Group culture

Answer 25

Human resources

Question 26

Rational culture

Answer 26

Consultants

Question 27

made up of interconnected components that behave in unpredictable ways

Answer 27

Supply chain

Question 28

pattern in which inventory peaks and valleys are amplified.

Answer 28

Bullwhip effect

Question 29

Make batches smaller. Improve forecasting Improve communications

Answer 29

Ways to reduce bullwhip effect

Question 30

Reinforcing loops Balancing loops Casual loops

Answer 30

System models

Question 31

Series of events repeats over and over

Answer 31

Reinforcing loops

Question 32

Opposite effect in which series of events gets weaker

Answer 32

Balancing loops

Question 33

Common tools for modeling the dynamics of a system

Answer 33

Casual loops

Question 34

Numerical indicators

Answer 34

Quantitative metrics

Question 35

Intangible characters

Answer 35

Qualitative metrics

Question 36

Metrics that will give you insight of the progress and performance

Answer 36

KPI (key performance indicator)

Question 37

Evaluate or check in comparison with standards

Answer 37

Benchmarking