1. The transportation manager at a consumer goods manufacturer has decided to begin shipping full truckload rather than less-than-truckload quantities. Which of the following outcomes is likely following implementation of this decision?

A) Inventory levels at the manufacturer will decrease.
B) Lead times as seen by the customer will increase.
C) Production efficiencies at the manufacturer will increase.
D) Transportation costs as seen by the customer will increase.



2. Which of the following processes would a company use to evaluate the risk profile for end-of-life planning for a product family?

A) Distribution requirements planning
B) Sales and operations planning
C) Rough-cut capacity planning
D) Production activity control



3. A business is changing from a business to business model to a business to consumer model. Which of the following statements about this supply chain change is true?

A) Returns from customers will decrease.
B) Number of supplier orders will increase.
C) Number of customer orders will increase.
D) Average supplier order size will increase.



4. Which of the following actions is most likely to increase total supply chain risk?

A) Standardizing components used in a product family
B) Expanding operations to multiple locations
C) Consolidating manufacturing locations
D) Reducing the supplier base for commodity-type components



5. A company is formally adhering to the principles of the UN Global Compact. After a review of their supply chain, they have found that a key supplier is in violation of the compact. The best action for the company to do first is:

A) do nothing. The company is not responsible for compliance of suppliers.
B) replace the supplier as soon as possible with a compliant supplier.
C) notify the supplier of non-compliance.
D) require the supplier to become compliant.