Warehouse and Distribution Management Flashcards by Nhi Lưu Uyên

What is Warehouse and Distribution Management?

Managing all activities: receiving, tracking, storing inventory, staff training, shipping, workload planning, and monitoring good movement.

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What criterias should companies follow when designing cost-effective distribution plans?

A. Product type

B. Customer needs/ requirements

C. Available internal expertise and resources

D. All of the above

A. Product type

B. Customer needs/ requirements

C. Available internal expertise and resources

D. All of the above

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What does Strategic Distribution Decisions include?

A. Capability Requirements

B. Network Design Issues

C. Facility Considerations

A. Capability Requirements

B. Network Design Issues

C. Facility Considerations

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What does Capacity Requirements include?

Product Characteristics and Facility Ownership

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What does Facility Ownership in the Capacity Requirements include?

Public Warehousing, Contract Warehousing and Private Warehousing

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Public warehouses are a good option for companies requiring high-fixed cost storage solutions.

A. True

B. False

A. True

B. False

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What is a public warehouse?

A. A business that provides short or long-term storage to companies on a month-to-month basis

B. Handles the shipping, receiving and storage of goods on a contract basis

C. A storage facility that is mostly owned by big companies or single manufacturing units

A. A business that provides short or long-term storage to companies on a month-to-month basis

B. Handles the shipping, receiving and storage of goods on a contract basis

C. A storage facility that is mostly owned by big companies or single manufacturing units

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A company that values minimizing storage costs and prioritizes fast shipping times for most of its products would likely benefit from an inventory location strategy that:

A. Spreads inventory across multiple warehouses closer to customers.

B. Concentrates inventory in a single, central warehouse.

C. Leases warehouse space based on product size and weight.

D. Uses a combination of central and regional warehouses.

A. Spreads inventory across multiple warehouses closer to customers.

B. Concentrates inventory in a single, central warehouse.

C. Leases warehouse space based on product size and weight.

D. Uses a combination of central and regional warehouses.

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A company considering implementing a just-in-time (JIT) inventory management system would likely find the most success with an inventory location strategy that:

A. Spreads inventory across multiple warehouses for wider reach.

B. Locates inventory in a single, central warehouse for efficiency.

C. Leases warehouse space near suppliers to reduce lead times.

D. Chooses warehouse locations based on labor costs.

A. Spreads inventory across multiple warehouses for wider reach.

B. Locates inventory in a single, central warehouse for efficiency.

C. Leases warehouse space near suppliers to reduce lead times.

D. Chooses warehouse locations based on labor costs.

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A company that sells a seasonal product with predictable demand cycles would benefit most from an inventory location strategy that:

A. Leases temporary warehouse space during peak seasons.

B.Maintains a constant level of inventory year-round.

C. Uses public warehousing for overflow inventory.

D. Locates warehouses near major transportation hubs.

A. Leases temporary warehouse space during peak seasons.

B.Maintains a constant level of inventory year-round.

C. Uses public warehousing for overflow inventory.

D. Locates warehouses near major transportation hubs.

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Which facility location strategy focuses on reducing transportation costs and improving customer service by locating warehouses close to customers?

A. Market-positioned strategy

B. Product-positioned strategy

C. Intermediate-positioned strategy

A. Market-positioned strategy

B. Product-positioned strategy

C. Intermediate-positioned strategy

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Which facility location strategy aims to consolidate goods from various suppliers by locating warehouses close to the supply source?

A. Market-positioned strategy

B. Product-positioned strategy

C. Intermediate-positioned strategy

A. Market-positioned strategy

B. Product-positioned strategy

C. Intermediate-positioned strategy

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When would an intermediate-positioned strategy be suitable for facility location?

A. When there are high distribution requirements and the product comes from various locations.

B. When warehouses need to be close to customers for improved distribution services.

C. When warehouses need to be close to the supply source to collect goods.

A. When there are high distribution requirements and the product comes from various locations.

B. When warehouses need to be close to customers for improved distribution services.

C. When warehouses need to be close to the supply source to collect goods.

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Which facility location strategy aims to strike a balance between supply source and customer locations?

A. Market-positioned strategy

B. Product-positioned strategy

C. Intermediate-positioned strategy

A. Market-positioned strategy

B. Product-positioned strategy

C. Intermediate-positioned strategy

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Which facility location strategy emphasizes improving transportation economies of scale and maximizing distribution services?

A. Market-positioned strategy

B. Product-positioned strategy

C. Intermediate-positioned strategy

A. Market-positioned strategy

B. Product-positioned strategy

C. Intermediate-positioned strategy

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According to the table, which distribution favors higher throughput volume?

A. 3PL Distribution

B. Private Distribution

C. Neither

D. Both

Throughput: the amount of work that is done, or the number of people that are dealt with, in a particular period of time

A. 3PL Distribution

B. Private Distribution

C. Neither

D. Both

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What type of demand variability is associated with favoring private distribution?

A. Fluctuating

B. Stable

C. Unpredictable

D. Highly variable

A. Fluctuating

B. Stable

C. Unpredictable

D. Highly variable

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For which distribution is market density lower?

A. Private Distribution

B. 3PL Distribution

C. Both are equal

D. Cannot be determined

a) Private Distribution

b) 3PL Distribution

c) Both are equal

d) Cannot be determined

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Higher security requirements are associated with which distribution?

A. 3PL Distribution

B. Private Distribution

C. Both

D. Neither

A. 3PL Distribution

B. Private Distribution

C. Both

D. Neither

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Customer service requirements are lower for which distribution?

A. Private Distribution

B. 3PL Distribution

C. Equal for both

D. Cannot be determined

A. Private Distribution

B. 3PL Distribution

C. Equal for both

D. Cannot be determined

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Which distribution is preferred when special physical control needs are not required?

A. 3PL Distribution

B. Private Distribution

C. Neither

D. Both

A. 3PL Distribution

B. Private Distribution

C. Neither

D. Both

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The drawback of centralised inventory is:

A. That it extends lead times and results in higher transportation costs.

B. Strains the ability of the carrier network.

C. That it increases the amount of inventory required.

D. That it undercuts the dispersed distribution concept.

A. That it extends lead times and results in higher transportation costs.

B. Strains the ability of the carrier network.

C. That it increases the amount of inventory required.

D. That it undercuts the dispersed distribution concept.

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One important interaction that must be considered is the tradeoff between distribution and

A.Transportation

B.Marketing

C. Service

D. Finance

A.Transportation (Operations)

B.Marketing

C. Service

D. Finance

Contract warehousing is different than 3PL warehousing.

A. True

B. False

A. True

B. False

**Proper product slotting can improve labor productivity and generate other advantages for the organisation and its customers.** A. True B. False ## Footnote slot: to put something into a space that is available or designed for it; to fit into such a space

**A. True** B. False

**The drawback of centralized inventory is the long distance to customers, which typically extends lead times and results in higher transportation costs.** A. True B. False

**A. True** B. False

**The primary facility operations focus is** A. On the movement and storage of product. B. Making sure KPIs are fulfilled. C. Inventory control and personnel issues. D. The WMS system.

**A. On the movement and storage of product.** B. Making sure KPIs are fulfilled. C. Inventory control and personnel issues. D. The WMS system.

**Customers use distribution KPIs to objectively assess the speed of service provided by the distribution operation.** A. True B. False

A. True **B. False**

**The efficiency of distribution facilities and networks is not nearly as critical as their speed.** A. True B. False

A. True **B. False**

**Inventory handling, storage, and processing facilities help supply chains create time and place utility.** A. True B. False

**A. True** B. False

**Sortation refers to a type of conveyer equipment.** A. True B. False ## Footnote Conveyer euipment: hệ thống băng tải

A. True **B. False**

**Organizations may benefit substantially from the establishment of one or several warehouses to reduce transportation costs.** A. True B. False

**A. True** B. False

**A common fulfillment strategy of many firms is to use the normal distribution network for most items including their low-velocity items.** A. True B. False

A. True **B. False**

**One of the primary tradeoffs at the facility level is space versus equipment.** A. True B. False

**A. True** B. False

When establishing a distribution strategy, the first and most obvious consideration is the product. t/f

True

Cross-docks typically increase transportation costs. t/f

False

The first facility consideration is to determine the size of each operation within the network. t/f

After the layout of the operations is determined, attention shifts to the facility size of the operations within the distribution operation. t/f

Slotting is defined as the placement of product in a facility for the purpose of optimizing materials handling and space efficiency. t/f

Product handling functions include both receiving and shipping. t/f

KPIs cannot be used in connection with distribution center activities as they do not provide tangible, relevant data. t/f

Order accuracy and order completeness are the same. t/f

Asset utilization is very important in a 3PL warehouse. t/f

WMS is more than a simple database that provides stock location information. t/f

The roles of the distribution center include __________

balancing supply and demand, protecting against uncertainty, and promoting transportation economies

Distribution facilities can provide numerous services, depending on the requirements of the supply chain. Which of these is not a typical service? -assortment -accumulation -allocation -activity

ACTIVITY

One important interaction that must be considered is the tradeoff between distribution and ________

TRANSPORTATION

The primary tradeoffs and relationships between resources include the following

all the above -space vs. equipment -equipment vs. people -people vs. space

Potential labor problems for distribution centers may be the result of

the graying of America

Certain raw materials can be stored

OUTSIDE

A downside of direct shipping is

can create higher transportation charges.

The key financial consideration in choosing between private and 3PL distribution options is

volume of product being moved

The first facility consideration is to determine

the size of each operation within the network.

The primary facility operations focus is

on the movement and storage of product.

Asset utilization is a very important aspect of

private distribution facilities.