210+ Logistic Supply and Chain Management Solved MCQs

101.

The term which covers the operation of shifting the cargo to or from the vessel is

A. Rigging.
B. Slinging.
C. Carnage.
D. Forced discharge.
Answer» B. Slinging.
102.

The term used for loading or unloading of heavy cargo is

A. Rigging.
B. Carnage.
C. Slinging.
D. Forced discharge.
Answer» B. Carnage.
103.

The term used for carriage of goods when points of origin and destination are both within the sovereignty of UK is

A. ULD.
B. Classification rate.
C. Valuation charge.
D. Cabotage.
Answer» D. Cabotage.
104.

The delivery of a damaged product has

A. An increase in its value.
B. A decrease in its value.
C. No change in its value.
D. Better demand.
Answer» B. A decrease in its value.
105.

The flow of work in process is

A. From a supplier to producer.
B. From the last production price to ultimate user Between the various production sub-system.
C. Between the various distribution channels.
D. none
Answer» C. Between the various distribution channels.
106.

The flow of information that facilitates co-ordination activities is

A. Forward information flow.
B. Backward information flow.
C. Upward information flow.
D. Downward information flow.
Answer» B. Backward information flow.
107.

Unreliability of vendors leads to

A. Production uncertainty.
B. Process uncertainty.
C. Demand uncertainty.
D. Supply uncertainty.
Answer» D. Supply uncertainty.
108.

The internal process leads to

A. Production uncertainty.
B. Process uncertainty.
C. Demand uncertainty.
D. Supply uncertainty.
Answer» B. Process uncertainty.
109.

The uncertainty that could be reduced through forecasting techniques is

A. Production uncertainty.
B. Process uncertainty.
C. Demand uncertainty.
D. Supply uncertainty.
Answer» C. Demand uncertainty.
110.

The number of stages that the goods and services flow through

A. Add to the complexity of SCM.
B. Relaxes the complexity of SCM.
C. Brings no change in complexity of SCM.
D. Ensures better quality.
Answer» A. Add to the complexity of SCM.
111.

The business activity of farming out identified non-core activities to external agencies is

A. Logistics.
B. SCM.
C. Outsourcing.
D. Distribution.
Answer» C. Outsourcing.
112.

The warehousing function that combines the logistical flow of several small shipments to a specific market area is

A. Break bulk function.
B. Operational function.
C. Stockpiling function.
D. Consolidation function.
Answer» D. Consolidation function.
113.

Cash on delivery method is normally used for

A. Bulk cargo with immediate market.
B. Slow moving items.
C. Small but valuable items sent by post.
D. Exports to countries with balance of payments problems.
Answer» C. Small but valuable items sent by post.
114.

An appropriate strategy to achieve timely, accurate, paperless information flow is:

A. integrate this activity into all supply chain planning.
B. efficient store assortments.
C. revision of organization processes supported by information systems.
D. efficient replacement.
Answer» C. revision of organization processes supported by information systems.
115.

An appropriate strategy to maximize efficiency of promotions is:

A. revision of organization processes supported by information systems.
B. efficient store assortments..
C. integrate this activity into all supply chain planning.
D. efficient replacement.
Answer» C. integrate this activity into all supply chain planning.
116.

An appropriate strategy to optimize for time and cost in the ordering process is:

A. efficient store assortments.
B. revision of organization processes supported by information systems.
C. integrate this activity into all supply chain planning.
D. efficient replacement.
Answer» D. efficient replacement.
117.

An appropriate strategy to optimize the productivity of retail space and inventory is:

A. efficient store assortments.
B. revision of organization processes supported by information systems.
C. integrate this activity into all supply chain planning.
D. efficient replacement.
Answer» A. efficient store assortments.
118.

The upstream supply chain is:

A. exclusively inside an organization.
B. involved with procurement of material from suppliers.
C. the distribution of products or delivery of services to customers.
D. both the first and third
Answer» B. involved with procurement of material from suppliers.
119.

The downstream supply chain is:

A. exclusively inside an organization. involved with procurement of material from suppliers.
B. the distribution of products or delivery of services to customers.
C. both the first and third answer above.
D. none
Answer» C. both the first and third answer above.
120.

The correct sequence of an organizations supply chain from a systems perspective is:

A. transformation process, delivery to customers, acquisition of resources.
B. transformation process, acquisition of resources, delivery to customers.
C. acquisition of resources, transformation process, delivery to customers.
D. delivery to customers, acquisition of resources, tr
Answer» A. transformation process, delivery to customers, acquisition of resources.
121.

offers the opportunity to buy direct from the supplier with reduced costs and shorter cycle.

A. Reintermediation
B. Countermediation
C. Contramediation
D. Disintermediation
Answer» D. Disintermediation
122.

IS can be used to reduce cycle time by:

A. increased efficiency of individual processes.
B. improved data integration between elements of the supply chain.
C. reduced cost through outsourcing.
D. reduced complexity of the supply chain.
Answer» A. increased efficiency of individual processes.
123.

The typical aim of the push approach to supply chain management is:

A. to reduce costs of distribution.
B. to enhance product and service quality.
C. to reduce costs of new product development.
D. both the first and third
Answer» A. to reduce costs of distribution.
124.

One choice for an organization's vertical integration strategy related to 'The direction of any expansion'. What does this mean?

A. How far should the company take downstream or upstream vertical integration?
B. Should the company aim to direct ownership at the upstream or downstream supply chain?
C. To what extent does each stage of the supply chain focus on supporting the immediate supply chain?
D. How to enhance product and service quality.
Answer» B. Should the company aim to direct ownership at the upstream or downstream supply chain?
125.

A supply chain is a sequence of firms that perform activitiesrequired:

A. to find products that are similar
B. to facilitate wholesalers inventory selections
C. to create synergy in their training programs
D. to create and deliver goods to consumers
Answer» D. to create and deliver goods to consumers
126.

A supply chain is essentially a sequence of linked:

A. customer and prospects
B. supplier and manufacturer
C. suppliers and customers
D. warehousing and wholesaling units
Answer» C. suppliers and customers
127.

In the automotive industry, the person who is responsible for translating customer requirements into actual orders and arranges delivery dates is the car maker:

A. supply manager
B. purchasing manager
C. supply chain manager
D. production manager
Answer» C. supply chain manager
128.

It is estimated that the logistics costs of a new car are about:

A. 10-20%
B. 25-30%
C. 20-25%
D. 30-40%
Answer» B. 25-30%
129.

An appropriate strategy to achieve timely, accurate, paperless information flow is:

A. revision of organisation processes supported by information systems
B. integrate this activity is integrated into all supply chain planning
C. efficient replacement
D. efficient store assortments
Answer» A. revision of organisation processes supported by information systems
130.

An appropriate strategy to maximise efficiency of promotions is:

A. revision of organisation processes supported by information systems
B. integrate this activity is integrated into all supply chain planning
C. efficient replacement
D. efficient store assortments
Answer» B. integrate this activity is integrated into all supply chain planning
131.

An appropriate strategy to optimise for time and cost in the ordering process is:

A. efficient store assortments
B. revision of organisation processes supported by information systems
C. efficient replacement
D. integrate this activity is integrated into all supply chain planning
Answer» C. efficient replacement
132.

An appropriate strategy to optimise the productivity of retail space and inventory is:

A. integrate this activity is integrated into all supply chain planning
B. efficient store assortments
C. revision of organisation processes supported by information systems
D. efficient replacement
Answer» B. efficient store assortments
133.

The upstream supply chain is:

A. exclusively inside an organisation
B. the distribution of products or delivery of services to customers
C. involved with procurement of material from suppliers
D. both the first and third
Answer» A. exclusively inside an organisation
134.

The downstream supply chain is:

A. exclusively inside an organisation
B. involved with procurement of material from suppliers
C. the distribution of products or delivery of services to customers
D. both the first and third
Answer» A. exclusively inside an organisation
135.

One of the important role of distribution in SCM towards base cost reduction is

A. Transportation
B. Warehousing/inventory
C. Information
D. all the above
Answer» D. all the above
136.

offers the opportunity to buy direct from the supplier with reduced costs and shorter cycle

A. Reintermediation
B. Countermediation
C. Disintermediation
D. Contramediation
Answer» C. Disintermediation
137.

IS can be used to reduce cycle time by:

A. improved data integration between elements of the supply chain
B. increased efficiency of individual processes
C. reduced cost through outsourcing
D. reduced complexity of the supply chain
Answer» B. increased efficiency of individual processes
138.

The typical aim of the push approach to supply chain management is:

A. to reduce costs of distribution
B. to enhance product and service quality
C. to reduce costs of new product development
D. both the first and third
Answer» A. to reduce costs of distribution
139.

analysis relates to what processes, activities, and decisions actually create costs in your supply chain.

A. Cost driver
B. Value proposition
C. Cost reduction
D. Target costing
Answer» A. Cost driver
140.

MRO stands for

A. Management Resource Outstanding
B. Maintanance Repair Operative
C. Marketing Reverse Order
D. Maintanance Record Overview
Answer» B. Maintanance Repair Operative
141.

The has made it possible for other companies to eliminate intermediaries and sell directly to the end consumer.

A. SCM
B. Internet
C. competition
D. global sourcing
Answer» B. Internet
142.

Value stream mapping is an application of process mapping, developed to apply principles to process improvement.

A. Management
B. Lean
C. Supply chain
D. Cycle time
Answer» B. Lean
143.

A supply chain is made up of a series of processes that involve aninput, a , and an output.

A. Shipment
B. Supplier
C. customer
D. Tr
Answer» A. Shipment
144.

is a tool to chart how individual processes are currently being conducted and to help lay out new improved processes.

A. Process mapping
B. Pareto charting
C. Supply chain design
D. Design chain mapping
Answer» A. Process mapping
145.

from the following list a major strategic risk associated with outsourcing.

A. Outsourcing landed cost is usually higher than in sourcing cost.
B. The supplier is purchased by a competitor.
C. The business loses sight of market trends.
D. The cost of supplied material is passed on to the customer.
Answer» B. The supplier is purchased by a competitor.
146.

is the design of seamless value-added processes across organization boundaries to meet the real needs of the end customer.

A. Operations
B. Supply chain management
C. Process engineering
D. Value charting
Answer» B. Supply chain management
147.

The impact of cost reduction on profits is much larger than the impact of increased

A. innovation.
B. production
C. information.
D. sales
Answer» D. sales
148.

considers how your organization competes and is an essential element of corporate strategy.

A. Value proposition analysis
B. Leadership
C. A consultant
D. A competitor
Answer» A. Value proposition analysis
149.

Demand Forecasting is

A. animperfeCt science
B. accompanied with forecast error
C. identifying the future demand
D. all the above
Answer» D. all the above
150.

The collective learning in the organization, especially how to coordinate diverse production skills and integrate multiple streams of technologies, is called

A. innovative constraint.
B. second-tier competency.
C. corporate skill.
D. core competency.
Answer» D. core competency.
151.

Integration of business economics and strategic planning has given rise to ane area of study called .

A. Micro Economics
B. Corporate Economics
C. Macro Economics
D. Managerial Economics
Answer» B. Corporate Economics
152.

Factors affecting network design decisions

A. strategic factor
B. micro economic factor
C. competitive factor
D. all the above
Answer» D. all the above
153.

From the economic system's point of view, the role of marke ting intermediaries is to transform the assortment of products made by producers into the assortment of products wanted by . channel members

A. manufacturers
B. marketers
C. distributors
D. consumers
Answer» D. consumers
154.

Intermediaries play an importan t role in matching .

A. dealer with customer
B. manufacturer to product
C. information and promotion
D. supply and demand
Answer» D. supply and demand
155.

Marketing logistics involves getting the right product to the right customer in the r ight place at the right time. Which one of the following is not included in this process?

A. implementing the plan for the flow of goods and services
B. planning the physical flow of goods and services
C. gathering customer's ideas for new productsontrolling the physical flow of goods,services, and information
D. none
Answer» C. gathering customer's ideas for new productsontrolling the physical flow of goods,services, and information
156.

Which of the following is not an area of responsibility for a logistics manager?

A. inventory
B. marketing
C. warehousing
D. purchasing
Answer» B. marketing
157.

From the economic system's point of view, the role of marketing intermediaries is to transform the assortment of products made by producers into the assortment of products wanted by channel members.

A. manufacturers
B. marketers
C. distributors
D. consumers
Answer» C. distributors
158.

To reduce inventory management costs, many companies use a system called , which involves carrying only small inventories of parts or merchandise, often only enough for a few days of operation.

A. reduction
B. inventory management
C. supply chain management
D. economic order quantity
Answer» B. inventory management
159.

Companies manage their supply chains through .

A. information
B. transportation modes
C. competitors
D. skilled operators
Answer» D. skilled operators
160.

Julie Newmar recognizes that her company needs to provide better customer service and trim distribution costs through team work, both inside the company and among all the marketing channel organizations. Julie will begin the practice of .

A. intermediation
B. customer relationship management
C. integrated logistics management
D. horizontal marketing syste m management
Answer» C. integrated logistics management
161.

Today, a growing number of firms now outsource some or all of their logistics to . intermediaries

A. competitors
B. third - party logistics providers
C. channel member
D. ross - functiona l teams
Answer» D. ross - functiona l teams
162.

According to Professor Mentzer and colleagues, the supply chain concept originated in what discipline?

A. marketing
B. operations
C. logistics
D. production
Answer» B. operations
163.

The supply chain management philosophy emerged in which decade?

A. 1960s
B. 1970s
C. 1980s
D. 1990s
Answer» B. 1970s
164.

A encompasses all activities associated with the flow and transformation of goods from the raw material stage, through to the end user, as well as the associated information flows.

A. production line
B. supply chain
C. marketing channel
D. warehous
Answer» B. supply chain
165.

Which of the following are not key attributes of supply chain management?

A. inventory control
B. leveraging technology
C. custo mer power
D. a long - termorientation
Answer» C. custo mer power
166.

Positive, long - term relationships between supply chain participants refer to:

A. co - opetition
B. tailored logistics
C. partnerships
D. supply chain management
Answer» D. supply chain management
167.

Cross docking is the major SC technique used by

A. Flipkart
B. Wall mart
C. Dell
D. Zara
Answer» B. Wall mart
168.

The variability in demand orders among supply chain participants:

A. cannot be controlled
B. refers to the bullwhip effect
C. can be controlled with electronic order placement
D. is more pronounced in relational exchanges
Answer» B. refers to the bullwhip effect
169.

Cooperative supply chain relationships developed to enhance the overall business performance of both parties is a definition of:

A. third - party logistics
B. supply chain collabor ation
C. dovetailing
D. relationship marketing
Answer» B. supply chain collabor ation
170.

What is a perfect order?

A. simultaneous achievement of relevant customer metrics
B. an order that arrives on time
C. an order that arrives undamaged
D. an order that is e asy for the receiver to fill
Answer» A. simultaneous achievement of relevant customer metrics
171.

The method of payment where the exporter relies on the undertaking of a bank to pay is

A. Bank guarantee.
B. Letter of credit.
C. Letter of comfort.
D. None of the above.
Answer» D. None of the above.
172.

The beneficiary under a letter of credit is

A. The bank opening the credit.
B. The customer of the opening bank.
C. The confirming bank.
D. The exporter.
Answer» D. The exporter.
173.

When a letter of credit does not indicate whether it is revocable or irrevocable, it is treated as

A. Revocable.
B. Irrevocable.
C. Revocable or irrevocable in the option of the beneficiary.
D. Revocable or irrevocable in the option of the negotiating bank.
Answer» B. Irrevocable.
174.

Under an acceptance letter of credit, the responsibility of the issuing bank is

A. Only to accept the bill.
B. To pay against the bill.
C. To accept the bill immediately and also to pay the amount of the bill on its due date.
D. To get the acceptance of the importer on the bill.
Answer» C. To accept the bill immediately and also to pay the amount of the bill on its due date.
175.

The warehouses located near the port is

A. Field warehouse.
B. Buffer storage warehouse.
C. Bonded warehouse.
D. Export and import warehouse.
Answer» D. Export and import warehouse.
176.

The kind of warehouse that is licensed and authorized by the customs for storing goods till import duty is

A. Field warehouse.
B. Buffer storage warehouse.
C. Bonded warehouse.
D. Export and import warehouse.
Answer» C. Bonded warehouse.
177.

The business activity of farming out identified non-core activities to external agenciesis

A. Logistics.
B. SCM.
C. Outsourcing.
D. Distribution.
Answer» C. Outsourcing.
178.

Which of the following statements is true?

A. Supply chain is a subset of logistics.
B. Logistics is a subset of supply chain.
C. Transportation and logistics are same.
D. Logistics and supply chain are same.
Answer» B. Logistics is a subset of supply chain.
179.

If a customer visiting a departmental store cannot find his desired soap manufactured by Hindustan Unilever Ltd (HUL) in the store, which of the following chain partner will he hold responsible for the non-availability of the soap?

A. The logistics service provider
B. The distributor
C. The departmental store
D. Hindustan Unilever Ltd
Answer» C. The departmental store
180.

A Supply chain process is viewed as

A. Birds eye view
B. Technical view
C. strategic view
D. cyclic and push/pull view
Answer» D. cyclic and push/pull view
181.

Supply chain is concerned with the

A. flow of raw materials, WIP and finished products in the forward direction
B. flow of information in both the directions
C. flow of materials in the forward direction, cash in the reverse direction and information in both the directions
D. flow of materials in the forward direction and that of cash in the reverse direction
Answer» C. flow of materials in the forward direction, cash in the reverse direction and information in both the directions
182.

The objective of a supply chain is:

A. to improve the efficiency across the whole supply chain
B. to improve responsiveness across the whole supply chain
C. to deliver improved value to the customers
D. to improve the efficiency and responsiveness across the whole supply chain and also deliver improved value to the customers
Answer» D. to improve the efficiency and responsiveness across the whole supply chain and also deliver improved value to the customers
183.

Which of the following statements is true?

A. Ford supply chain is both highly efficient as well as highly responsive.
B. Dell supply chain propagated the concept of long-term relationship with the suppliers.
C. Toyota supply chain believed in medium-term relationship with the suppliers with loosely held supplier network.
D. Dell supply chain is both highly efficient as well as highly responsive.
Answer» B. Dell supply chain propagated the concept of long-term relationship with the suppliers.
184.

which type of demand forecast is related to environmental factors

A. Qualitative forecast
B. Time forecast
C. Casual forecast
D. Simulation forecast
Answer» C. Casual forecast
185.

Which of the following statements is true regarding outsourcing?

A. Higher level of outsourcing enables a firm to have better control on all outsourced activities.
B. Higher level of outsourcing makes a firm more vulnerable to outside influences.
C. Higher level of outsourcing enables a firm to outsource core activities to other competent players.
D. Higher level of outsourcing enables a firm to outsource non-core activities to other competent players.
Answer» A. Higher level of outsourcing enables a firm to have better control on all outsourced activities.
186.

If the focus of a retailer is to achieve leadership in cost, then which of the following phenomenon will hold good?

A. Customers will like to have convenience and the retailers will also set up a number of stores at different locations in order to provide convenience to the customers.
B. Customers will prefer a large variety of products and the retailer will also keep a large variety in the store in order to satisfy customer needs.
C. Customers will prefer a large variety of products but the retailer will not keep a large variety in the store in order to achieve economies of scale.
D. Customers will prefer short lead time for their products and the retailer will keep higher amount of inventory in order to satisfy customer needs in time.
Answer» C. Customers will prefer a large variety of products but the retailer will not keep a large variety in the store in order to achieve economies of scale.
187.

The companies will realize the benefits of implementing IT when which of the following is undertaken?

A. Companies need to invest heavily in information systems.
B. Companies need to automate the existing supply chain systems and processes.
C. Companies need to re-engineer their supply chain structure.
D. Companies need to re-engineer their supply chain structure and undertake revision in the supporting organizational processes.
Answer» D. Companies need to re-engineer their supply chain structure and undertake revision in the supporting organizational processes.
188.

Ford supply chain is characterized by

A. Increased product variety
B. Loosely-held supplier networks
C. Vertical integration
D. Long-term relationship with the suppliers
Answer» C. Vertical integration
189.

Dell supply chain is characterized by

A. Lean production systems
B. Zero product variety
C. Vertical integration
D. Individual customization
Answer» D. Individual customization
190.

Which of the following statements is true?

A. A 3PL company is a professional logistics service provider meeting the logisticsrequirements of an organization and can also integrate its resources, capability, and technology in order to provide comprehensive solution to its customers.
B. A 4PL company is a professional logistics service provider meeting the logisticsrequirements of an organization and can also integrate its resources, capability, and technology in order to provide comprehensive solution to its customers.
C. A 3PL is a logistics service provider meeting only the logistics requirements of an organization while 4PL is a logistics service provider meeting the logistics requirements ofan organization and can also integrate its resources, capability and technology to provide comprehensive solution to its customers.
D. A 4PL company is a professional logistics service provider meeting only the logistic requirements of an organization.
Answer» C. A 3PL is a logistics service provider meeting only the logistics requirements of an organization while 4PL is a logistics service provider meeting the logistics requirements ofan organization and can also integrate its resources, capability and technology to provide comprehensive solution to its customers.
191.

Which one of the following is not the supply challenge being faced by the Indian organizations?

A. Poor infrastructure
B. IT implementation
C. Complex taxation structure
D. Smaller pack sizes
Answer» B. IT implementation
192.

Many organisations hold safety stocks as part of their inventory. Which of the following is a reason for holding safety stocks?

A. To improve stock holding levels
B. To improve stock accuracy levels
C. To cater for demand forecast errors
D. To cater for a large storage capacity.
Answer» C. To cater for demand forecast errors
193.

Which of the following stock valuation methods is based on a cost estimate made before the part is purchased?

A. Standard costing
B. FIFO
C. Average costing
D. LIFO.
Answer» A. Standard costing
194.

The receipt used for warehouse is

A. Inventory receipt
B. Dock receipt
C. EDI receipt
D. Goods receipt
Answer» B. Dock receipt
195.

Warehouses and stockyards are two types of storage facilities. Which of the following is the most appropriate factor to consider in the design of a stockyard?

A. Structure
B. Services
C. Surface
D. Shelving.
Answer» C. Surface
196.

Managing predictable variability is

A. managing the seasonal demand
B. managing the change in demand that can be forecasted
C. forecasted error ratio
D. managing stock out situation
Answer» B. managing the change in demand that can be forecasted
197.

Which of the following statements is true?

A. Ford supply chain is both highly efficient as well as highly responsive.
B. Dell supply chain is both highly efficient as well as highly responsive.
C. Dell supply chain propagated the concept of long-term relationship with the suppliers.
D. Toyota supply chain believed in medium-term relationship with the suppliers with loosely held supplier network.
Answer» C. Dell supply chain propagated the concept of long-term relationship with the suppliers.
198.

Role of distribution in supply chain management

A. providing localised services
B. Collecting product reviews from customers which could be used by manufacturers
C. Reduces inventory holding cost
D. All the above
Answer» D. All the above
199.

Which of the following types of container is used to carry oversized cargo?

A. Bulk
B. Flat rack
C. Reefer
D. Tank.
Answer» B. Flat rack
200.

Which of the following is the name given to a bill of lading where goods have been received by a carrier free of defects?

A. Shipped bill of lading
B. Claused bill of lading
C. Ordinary bill of lading
D. Clean bill of lading.
Answer» D. Clean bill of lading.
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