Logistics management

“LOGISTICS MANAGEMENT”
“BUSINESS ADMINISTRATION”, “INTERNATIONAL MARKETING”
BMA 6E, BMA 7E, BMA 8E, BMA 9E, IMA 16E
Final exam questions

?Please fill the gap below. _________________shows the proportion of designed capacity that is actually used.

?Utilisation is a ratio between:

?Please fill the gap below. _____________________ is a throughput of a supply chain to the amount of resources used

?Total productivity is a ratio between:

?Please fill the gap below. Partial productivity relates to throughput of a supply chain to ______________

?Please fill the gap below. _____________ relates to throughput of a supply chain to a single type of resource.

?Which four types of productivity relating the throughput to different types of resource are generally known

?Stock turnover is calculated as a ratio between:

?Ratio between Annual throughput and average total inventory value is known as:

?What are the 5 most commonly known principles to improve logistics

?How many stages are in out-sourcing:

?Out-tasking as a stage of outsourcing means that:

?Outsourcing of one or a few tasks that are considered primarily tactical and standardized is called

?When the scope of subcontracted work performed by the outside supplier is greater than out-tasking, but the outsourced tasks are still controlled by the customer this process is called:

?Co-managed services take place when:

?When an outside supplier is responsible for the design, implementation, and management of end-to-end supply chain solutions for the customer, involves customization of outsourced tasks this stage of out-sourcing is called:

?Managed services take place when:

?When the outside supplier takes full responsibility for the customized design, implementation, management, and often the determination of the strategic direction of the entire business function this agreement is called:

?Full outsourcing takes place when:

?Which type of the outsourcing is the riskiest

?Which of the following can be regarded as benefits of single-sourcing

?Which of the following can be regarded as benefits of multi-sourcing

?Which option of procurement has a benefit of creating an opportunity to deal more easily with varying demands

?Which option of procurement has a benefit of easier communications, reduced administration and simpler procedures for regular orders

?When the organisation has a policy of selecting specific types of supplier and company is buying low-value materials it is recommended to use:

?What are the weaknesses of traditional procurement:

?When an organisation places a single order for all the materials that it will need over some period, such as a year and then the supplier delivers batches of materials when requested during the year it is called:

?Blanket order means:

?When suppliers quote fixed prices, it means they used:

?Price lists mean

?When suppliers quote prices to each customer, particularly for nonstandard materials it means they used:

?Special quotations mean

?When market forces set the going rate that is used by all suppliers it is called

?Commodity pricing means

?Total cost of ownership includes:

?Costs associated with the purchase of a product or service called:

?Acquisition costs mean

?Costs associated with the ongoing use of a purchased product or service mean

?Ownership costs mean

?Post-ownership costs mean

?Costs associated with the disposal and quality assurance of a product or service mean

?Administrative costs (budgeting, developing bid specifications) associated with purchasing the product or service are example of

?Inspection costs and maintenance costs are examples of

?Environmental compliance costs and reverse logistics costs are examples of

?Types of stocks include:

?Costs of carrying stocks include:

?The cost to the organisation of acquiring one unit of the item is an example of

?Which option contains example of unit cost:

?Costs of receiving, unloading, checking, testing are examples of

?Which option contains example of reorder cost:

?Cost of special treatment to the item is an example of

?Which option contains example of holding cost:

?cost of rescheduling of production is an example of:

?Which option contains example of shortage cost:

?What are the advantages of using Economic Order Quantity concept

?What are the drawbacks of using Economic Order Quantity concept

?What kind of arrangements is implemented when supplier makes decisions on shipping quantities based upon the information it receives direct from the point-of-use or the point-of-sale, or more usually from off-take data at the customer’s distribution centre

?What are the benefits of Vendor managed inventory mechanism

?What are the drawbacks of Vendor managed inventory mechanism

?When the warehouse breaks this delivery into the separate orders and passes them on to each customer this operation is called:

?Break-bulk operation is:

?The operation when all components are sent to a warehouse which combines the parts into the final product, and arranges delivery to customers is called

?Consolidation is

?The operation when materials for a customer order are located, identified, checked, collected, wrapped and moved to a departure area for loading onto delivery vehicles is called:

?Order-picking is

?The operation when the warehouse moves almost-finished products into the distribution system, and delays final customisation until the last possible moment is called

?Postponement is:

?Essential elements in a warehouse are fully mentioned in following option:

?Fill the gap below “___________________________” is concerned with the movement of materials for short distances generally within a warehouse, or between storage areas and transport

?Material handling is

?Ensuring that the materials have the right conditions, treatment and packaging to keep them in good condition is called:

?Consumer packaging is designed to:

?Industrial packaging is designed to:

?The price of moving a unit of material between locations is

?What are the characteristics of using rail transport:

?What are the disadvantages of using rail transport:

?The best type of vessel to transport large quantities of cheap materials in large holds is:

?The best type of vessel to be used in transportation in shorter routes where sea conditions are fairly reliable is:

?The best type of vessel to be used in transportation of road vehicles over relatively short distances is:

?Ferry is the best type of vessel to:

?Barge is the best type of vessel to:

?Bulk carrier is the best type of vessel to

?What are the main types of air transportation

?Demurrage:

?Penalty for late collection and storage is called:

?Piggy-back:

?when a lorry is driven onto a train for fast movement over a longer distance it is called:

?What are the barriers for international trade

?Border controls and custom formalities are examples of:

?Physical barriers for international trade include:

?Different health and safety standards are examples of:

?Technical barriers for international trade include:

?Different VAT and excise duties are examples of:

?Fiscal barriers for international trade include:

?How many groups are in INCOTERMS:

?Following is the most convenient term for the seller (INCOTERMS – 2020)

?Following is the most convenient term for the buyer (INCOTERMS – 2020)

?Which of the following statement(s) regarding INCOTERMS-2020 is/are correct

A. When DDP is used the seller is responsible for the import custom clearance
B. When FCA is used the seller is responsible for the insurance of the load

?Which of the following statement(s) is/are INCOTERMS-2020 correct:

A. When CIP is used the buyer is responsible for the loading in the port of origin
B. When FOB is used the seller is responsible for locating the container alongside the ship

?When Ex-works (INCOTERMS-2020) is used it means that:

?When FCA (INCOTERMS-2020) is used it means that:

?When CIP Tashkent (INCOTERMS-2020) is used it means that:

?When DDP Tashkent is used it means that:

?What types of international payments do you know

?Which type of the payment in international trade is the least risky for the seller:

?Which type of the payment in international trade is the most risky for the seller:

?Why the letter of credit is the most popular type of payment in international trade

?A territory with certain borders and a special legal regime, specially designated in order to attract foreign and domestic investments, high technologies and management experience for the accelerated socio-economic development of the relevant region is called:

?Special economic zone is:

?Free economic zone is

?A territory intended for the creation of new production facilities, the development of high-tech production, active involvement in the development of production of modern competitive, import-substituting, export-oriented finished industrial products, as well as ensuring the development of production, engineering and communication, road transport, social infrastructure and services logistics is

?Zone created at border points, airports, railway stations or other places in the customs territory of the country and includes consignment warehouses, territories with special customs and tax regimes, as well as areas for processing, packing, sorting, and storing goods is called:

?Free trade zone is

?The INCOTERM should indicate the place of shipment in case of

?The group of terms arranged in order of increasing responsibility of exporter is

?Freight forwarders are people who:

?People who collect relatively small loads, and consolidate them into bigger loads travelling between the same points are called:

?Customs brokers are people who:

?People who prepare the documents needed for customs clearance, get materials through customs and move them across international borders are called:

?Fill the gap. ________________________ puts items into categories that show the amount of effort worth spending on inventory control

?Reorder level is calculated using following formula:

?Which of the following is not an inventory

?Which of the following is true for Inventory control

?The time period between placing an order its receipt in stock is known as

?In the ABC analysis system of the inventory the “A” category stands for:

?Distribution center acts as _________ warehouse of an organization.

?Which among the following are the factors that determine inventory levels.

?Identify the two components that make up the Economic Order Quantity equation:

?Packaging performs two functions: ___________ and logistics

?Reverse logistics is required because:

?The variability in demand orders among supply chain participants:

?Bullwhip effect refers to

?Fill the gap. By combining inventory at a single location, the amount of safety stock that is necessary for a service level______

?The most popular shapes of warehouses are:

?Benefits of “I”-shaped warehouse include:

?Benefits of “U”-shaped warehouse include:

?Benefits of “L”-shaped warehouse include:

?What is one major fear of managers when they decide to outsource their logistics function

?Which of the following type of warehouses are situated at Airports and Seaports

?A trader of India has imported goods from USA, but he is not in a position to pay import duty immediately. In which type of warehouse can he keep the goods

?The benefits of public warehousing includes ...

?The following types of costs are usually involved in inventory decision making except:

?Fill the gap. The main benefit to a materials processing operation of having multiple sourcing of component parts is ______

?Which of the following picking and put away strategy involves sale the oldest material first

?The business term that involves choosing a supplier, agreeing what to buy at a certain price and by when is called:

?What is the main purpose of issuing a pre-qualification questionnaire in procurement

?The idea of identifying waste along the whole supply chain, especially in the form of unnecessary inventory, is the basis of what concept

?What does DDP signify in INCOTERMS

?Porter looked at the reasons why nations are prosperous and said that ‘a nation’s ability to upgrade its existing advantages to the next level of technology and productivity is the key to its international success’. He listed four important factors for this:

?According to Porter, factor condition of prosperity means:

?According to Porter, demand condition of prosperity means:

?According to Porter, related and supporting industries which are required for prosperity mean:

?According to Porter, company strategy, structure and competition which are required for prosperity mean:

?The function responsible for the flow of materials from suppliers into an organisation, through operations within the organisation, and then out to customers is called:

?Logistics is:

?Moving materials into the organisation from suppliers is called:

?Inbound logistics is:

?What are the inputs required for operations:

?Moving materials out to customers is called:

?Outbound logistics is

?Material management is

?Moving materials within the organization is called:

?All the things that an organisation moves to create its products are called:

?series of activities and organisations that materials move through on their journey from initial suppliers to final customers comprise:

?Upstream activities take place:

?Activities in front of the organization are called:

?The overall aim of logistics is to achieve:

?How logistics ensures time utility:

?What are the differences between product and service:

?Combination of the benefits of mass production with the flexibility of customised products is called:

?When a company makes the same, or comparable, products as the competitors, but at a lower price, this strategy is called:

?When a company makes products that customers cannot get from other sources and provides a better product than their competitors, this strategy is called:

?In Lean manufacturing:

?When Lean manufacturing and Traditional manufacturing are compared, production cycle time is

?What are the key features of agile supply chain:

?Mass customization takes place

?Vendor Managed Inventory takes place when:

?Mass productions happens when:

?When products are produced in large quantities but in small varieties it is called:

?When products are produced in small quantities but in large varieties it is called:

?When suppliers manage both their own stocks and those held further down the supply chain this process is called:

?Total logistics cost equals to:

?Comparing logistics’ performance with other organisations, learning from their experiences, identifying areas that need improvement and finding ways of achieving this is called:

?Benchmarking is

?An ongoing relationship between firms, which involves a commitment over an extended time period, and a mutual sharing of information and the risks and rewards of the relationship

?Supplier partnering is

?A manufacturer and supplier might together form a transport company for moving materials between the two. The name of such cooperation is:

?Joint venture is

?The organisation owns initial suppliers, does most of the value adding operations, and distributes products through to final customers and it owns a lot of the supply chain. In this case the organization:

?If the organisation owns a lot of the supply side, then it has:

?Backward vertical integration takes place, if:

?Forward vertical integration occurs when

?If the organisation owns a lot of the distribution network, then it has:

?Fill the gap. ___________________ are most important and set the overall direction of the organization, they have effects over the long term, involve many resources and are the most risky:

?Strategic decisions

?Fill the gap. ___________________ are concerned with implementing the strategies over the medium term; they look at more detail, involve fewer resources and some risk.

?Tactical decisions:

?Fill the gap. ___________________ are the most detailed and concern activities over the short term; they involve few resources and little risk.

?Operational decisions:

?A statement to give the overall aims of the organization is called:

?When a company follows cost leadership strategy then in logistics it should follow:

?When a company follows differentiation strategy then in logistics it should follow:

?The aims of ________ are to do every operation using less of each resource – people, space, stock, equipment, time, and so on. It organises the efficient flow of materials to eliminate waste, give the shortest lead time, minimum stocks and minimum total cost

?The aim of __________ is to give a high customer service by responding quickly to different or changing circumstances.

?What are the factors which should be considered in the design of a logistics strategy:

?The purpose of a ______________ is to collect relevant information about existing practices and performance of logistics. It gives a systematic review of current operations, describing the procedures, costs, resources, utilisation, performance, products, and all other relevant details.

?Logistical audit is:

?Overall capacity is set by the part with the smallest individual capacity, which is called:

?Fill the gap. The__________________ is the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical, contemporary measures of performance, such as cost, quality, service and speed.

?Business process re-engineering is

?When organisations generally prefer a series of small adjustments and improvements, this process is called_____________.

?Continuous improvement is:

?Which type of performance improvement is provided in the following graph:

?Which type of performance improvement is provided in the following graph:

?The number of parallel routes that materials can flow through is called:

?When producers sell directly to the customers:

?The number of tiers, or intermediaries, that materials flow through between source and destination is called:

?Supply chain breadth is

?Supply chain length is

?The arrival of materials at a warehouse is co-ordinated with its departures to customers, so that they are transferred directly from the arrival area to the loading area, and immediately sent for delivery to downstream customers:

?Cross-docking takes place when:

?Postponement is:

?Moving almost-finished products into the distribution system, and delaying final modifications or customisation until the last possible moment is called:

?The ________ of a supply chain sets the maximum amount of product that can be delivered to final customers in a given time

?Capacity of a supply chain sets:

?Fill the gap. ___________ is the maximum possible throughput in ideal conditions

?Designed capacity is:

?Effective capacity:

?Actual throughput:

?Adjusting the speed of working and rescheduling maintenance periods can be used to:

?Limiting the customers served and changing the marketing effort are examples of:

?Fill the gap. ________________makes the tactical decisions that translate forecast demand and available capacity into schedules for families of activities

?Aggregate planning

?Fill the gap. ____________ gives detailed timetables for jobs, people, materials, equipment and all other resources.

?Short term schedule….

?The __________ gives a timetable for activities, typically for each week. Its aim is to achieve the activities described in aggregate plans as efficiently as possible.

?Master schedule

?Backward scheduling:

?Forward scheduling:

?List 4 scheduling rules:

?Main 4 common methods of batching include:

?Lot-for-lot order means:

?When you order exactly the net requirement suggested by MRP for each period it means that you are using:

?Fixed order quantity means:

?Where you find an order size that is convenient, always order this amount, and put any spare in stock it means that you are using:

?Periodic order:

?When you combine the requirements over some fixed period and place regular orders for different quantities, it means that you are using:

?Fill the gap. __________________ finds the best location in principle and then looks for a site nearby

?Infinite set approach

?Fill the gap. __________________ compares sites that are currently available and chooses the best

?During the identification of the optimal location manager used following steps.

Step 1 decide the relevant factors in a decision
Step 2 give each factor a maximum possible score that shows its importance
Step 3 consider each location in turn and give an actual score for each factor, up to this maximum
Step 4 add the total score for each location and find the highest
Step 5 discuss the result and make a final decision.
Which approach is used by the manager:

?Which factors a manager needs to take into account while making a decision about locating the shoe manufacturing company in a certain part of the selected country:

?Which factors a manager needs to take into account while making a decision about locating the services in a certain part of the selected country:

?Fill the gap. _______________________ finds suitable suppliers, negotiates terms and conditions, organises delivery, arranges insurance and payment, and does everything needed to get materials into the organisation

?Benefits of outsourcing include:

?Drawbacks of outsourcing include:

?Fill the gap. ____________ is a Japanese term meaning continuous improvement.

?Reverse logistics is required because

?Analysis of the external business environment of the industry can be implemented by:

?What are the benefits of Kaidzen:

?One of the followings represents a pure good:

?Which of the following statements is true about LEAN:

?Which one of the following best represents a pure service:

?Bill of materials includes:

?Fill the gap. …………is the time that elapses between issuing replenishment order and receiving the material in stores.

?Fill the gap. ________for a particular part in a period = number of units to be made (from master schedule) x units of parts needed per unit (from the bill of materials)

?Fill the gap. _____________ = gross requirements – current stock – stock on order

?Fill the gap.____________ - consists of the organisational structure and the systems, human resources, culture and resources to support it

?Which of the following is not true about a lean production system:

?When a lead time is short and demand is predictable it is advised to use:

?When a lead time is short and demand is unpredictable it is advised to use:

?When a lead time is long and demand is predictable it is advised to use:

?When a lead time is long and demand is unpredictable it is advised to use:

?It is advised to use lean strategy and continuous replenishment when:

?It is advised to use Agile strategy and quick response when:

?It is advised to use lean strategy with proper planning and execution when:

?It is advised to use Leagile production using postponement method when

?Drawback of following scheduling rule is that urgent jobs may be delayed while less urgent ones are being processed:

?Drawback of following scheduling rule is that jobs which have low priority may be stuck at the end of the queue for a very long time:

?Drawback of following scheduling rule is that long jobs can spend a long time waiting:

?Following scheduling rule has a benefit of minimizing the maximum lateness of jobs:

?Disadvantages of MRP include:

?Advantages of MRP include:

?Just-in-time approach’s view of stock can be summarized:

?Which of the options below contains correct definition of the term “Kanban”:

?cards that control the flow of materials through JIT operations are called:

?Benefits of Just-in-Time management include:

?Specific problems listed by Just-in-Time users include:

?Fill the gap. _______________within an organisation has all the related activities working together as a single function.

?Integrating logistics within an organization has:

?When companies implement cooperation view in their relations what is the focus of their activities:

?Fill the gap. ___________ describe the strategic direction of each function, including logistics

?Fill the gap. ___________ of an organization consists of all the strategic decisions, policies, plans and culture relating to the management of the supply chains.

?Logistics strategy consists of:

?Approach of “Lean enterprise” can be summarized in following 5 principles:

?”Pull” principle of Lean enterprise means:

?What are the measures of performance in agile logistics

?Lead time and service level are used in measuring of performance of ______ logistics.

?What are the measures of performance in lean logistics

?productivity and utilization are used in measuring of performance of ______ logistics

?Deming wheel helps the team to continuously look for improvements using following cycle:

?In locating facilities gravity model can be used in order to:

?Large, centralised facilities have:

?More dispersed facilities have: