#1
Which of the following is NOT a key objective of logistics and supply chain network optimization?
Maximizing inventory levels
ExplanationFocuses on minimizing costs and improving efficiency rather than increasing inventory.
#2
In logistics, what does the term 'last mile delivery' refer to?
The final stage of transportation to the end customer
ExplanationDelivery to the customer's location, often the most costly and complex stage.
#3
Which software tool is commonly used for modeling and simulating supply chain networks?
Supply Chain Guru
ExplanationSpecialized software for analyzing and optimizing supply chain operations.
#4
What does the term 'lean manufacturing' focus on in supply chain management?
Minimizing waste and inefficiencies
ExplanationStrives to reduce non-value adding activities in production and supply chain.
#5
What does the term 'ABC analysis' refer to in supply chain management?
Analysis of inventory categorization
ExplanationMethod to categorize inventory based on importance for better management.
#6
Which mathematical model is commonly used for optimizing supply chain network design?
Linear Programming
ExplanationUtilized to find the best solution given constraints in network design.
#7
What does the term 'bullwhip effect' refer to in supply chain management?
A sudden increase in demand variability
ExplanationAmplification of demand fluctuations upstream in the supply chain.
#8
Which inventory management technique aims to maintain a constant replenishment level?
Vendor-Managed Inventory (VMI)
ExplanationSupplier takes responsibility for inventory levels, ensuring timely replenishment.
#9
What is the primary purpose of using demand forecasting in supply chain management?
To estimate future demand for products
ExplanationHelps in planning production, inventory, and distribution to meet future demand.
#10
What is the primary goal of transportation optimization in supply chain management?
Minimizing delivery lead times
ExplanationFocuses on reducing time taken for goods to reach their destination.
#11
What is the primary goal of multi-echelon inventory optimization?
Minimizing stockouts
ExplanationAims to ensure inventory availability while reducing excess stock.
#12
Which strategy focuses on consolidating shipments from multiple suppliers to reduce transportation costs?
Milk run
ExplanationEfficient way to manage transportation by combining multiple shipments.
#13
What is the primary goal of network design optimization in supply chain management?
Minimizing distribution costs
ExplanationFocuses on structuring the network to reduce overall distribution expenses.
#14
Which of the following is NOT a typical constraint in supply chain network optimization?
Quality constraints
ExplanationQuality considerations usually fall within optimization objectives rather than constraints.
#15
Which metric is used to measure the responsiveness of a supply chain network?
Supply chain velocity
ExplanationIndicates how quickly goods move through the supply chain.
#16
What is the primary goal of collaborative planning, forecasting, and replenishment (CPFR) in supply chain management?
To improve communication between suppliers and retailers
ExplanationEnhances coordination between supply chain partners to reduce uncertainties.