D471 - Global Supply Chain Management

Question 41: What does the term 'capacity utilization' measure?

The efficiency of supply chain operations

The percentage of production capacity being used

The amount of inventory in stock

The speed of product delivery

Question 42: What does the term 'stockout' signify in inventory management?

The availability of excess inventory

The situation where inventory levels are zero and cannot meet demand

A method for replenishing inventory

A strategy for managing supplier relationships

Question 43: What is 'reverse logistics'?

Managing the forward flow of goods

The process of returning products to manufacturers

Increasing inventory levels for future demand

Reducing production times

Question 44: What is a primary characteristic of a 'continuous flow' process?

High variation in product types

Low volume of standardized products

An automated process with no variation

Flexible production for customized orders

Question 45: What does 'environmental sustainability' in supply chains focus on?

Maximizing production efficiency

Minimizing costs while maximizing profit

Reducing negative impacts on the environment

Increasing product variety

Question 46: Which of the following describes a 'pull system' in supply chain management?

Producing goods based on forecasted demand

Manufacturing based on actual customer orders

Maintaining high levels of finished goods inventory

Setting production schedules in advance

Question 47: In supply chain management, what does 'capacity planning' focus on?

Forecasting customer demand

Managing supplier negotiations

Assessing production capacity to meet demand

Evaluating marketing strategies

Question 48: What is the primary goal of a 'supply chain network design'?

To eliminate all external suppliers

To maximize total profits while meeting customer demand

To reduce the number of facilities in the network

To increase inventory levels

Question 49: What is a primary benefit of using 'automation' in supply chains?

Increased manual labor requirements

Improved consistency and efficiency in operations

Higher production costs

Decreased speed of production

Question 50: What does the term 'vendor managed inventory' (VMI) entail?

The retailer manages its own inventory levels

The vendor monitors and replenishes inventory at the retailers site

Suppliers control the entire production process

Customers manage their own inventory needs

D471 Global Supply Chain Management - Set 5 - Part 3