#1
What is the primary goal of supply chain management in retail?
Maximizing customer value while minimizing costs
ExplanationBalancing customer satisfaction and cost efficiency.
#2
Which of the following is a characteristic of an efficient supply chain?
Low lead times
ExplanationEfficient supply chains are characterized by minimal lead times.
#3
What is the primary objective of a push-based supply chain strategy?
To forecast and plan production based on anticipated demand
ExplanationPush-based strategy involves forecasting and planning production based on expected demand.
#4
What is the concept of collaborative planning, forecasting, and replenishment (CPFR) in retail supply chain management?
A process where trading partners jointly plan, forecast, and replenish inventory
ExplanationCPFR involves joint planning, forecasting, and replenishment among trading partners.
#5
What is the Bullwhip Effect in the context of supply chain management?
An increase in demand variability as one moves upstream in the supply chain
ExplanationBullwhip Effect is the increase in demand variability upstream in the supply chain.
#6
Which of the following is a key component of effective channel management in retail?
Effective communication with channel partners
ExplanationCommunication with partners is crucial for successful channel management.
#7
What does the term 'omnichannel retailing' refer to?
Providing a seamless shopping experience across multiple channels
ExplanationEnsuring a smooth shopping experience across various sales channels.
#8
What role does demand forecasting play in supply chain management?
It helps in planning inventory levels and production schedules
ExplanationDemand forecasting aids in inventory planning and production scheduling.
#9
What is the primary purpose of a distribution center in a retail supply chain?
To store and manage inventory
ExplanationDistribution centers store and manage inventory for efficient supply chains.
#10
In retail, what does the term 'markdown' refer to?
Reducing the original price of a product
ExplanationMarkdown involves reducing the original price of a product.
#11
What role does technology play in modern retail supply chain management?
It enables real-time tracking and visibility
ExplanationTechnology facilitates real-time tracking and visibility in modern retail supply chains.
#12
What is the purpose of a lead time in supply chain management?
To measure the duration from product creation to delivery
ExplanationLead time measures the duration from product creation to delivery in supply chain management.
#13
In retail, what does the acronym SKU stand for?
Stock Keeping Unit
ExplanationSKU refers to Stock Keeping Unit, a unique identifier for each product.
#14
What is the purpose of safety stock in supply chain management?
To prevent stockouts and meet unexpected demand
ExplanationSafety stock prevents shortages and addresses unforeseen demand spikes.
#15
Which type of channel conflict occurs when different levels of the channel have disagreements or disputes?
Vertical conflict
ExplanationVertical conflict arises when channel levels disagree or dispute.
#16
What is the concept of Vendor-Managed Inventory (VMI) in retail supply chain management?
Suppliers take responsibility for managing the retailer's inventory
ExplanationVMI involves suppliers managing the retailer's inventory.
#17
Which of the following is an example of a pull-based supply chain strategy?
Build-to-Order (BTO)
ExplanationBTO is an example of a pull-based supply chain strategy.
#18
What is the purpose of a reverse logistics system in retail supply chain management?
To manage returns and product recalls
ExplanationReverse logistics manages returns and product recalls in retail supply chains.
#19
What is the role of a 3PL (Third-Party Logistics) provider in supply chain management?
To outsource logistics and transportation functions
Explanation3PL providers outsource logistics and transportation functions in supply chain management.