1. Which of the following decision-making criteria is relevant when purchasing a maintenance, repair, and operations item?

A) It is not a component in the bill of material (BOM).
B) It is needed for the efficient functioning of the business.
C) It is a component in the bill of material.
D) It is the lowest unit cost item.



2. A company that has documented the current state of return processes most appropriately would next:

A) benchmark against the Supply Chain Operations Reference (SCOR) model.
B) evaluate whether the enterprise resources planning (ERP) system can handle the new state.
C) assign a project leader for the change effort.
D) adopt six sigma to ensure defect-free implementation.



3. The diagram below shows the process of manufacturing of item D and the capacity of each operation. Each operation requires one unit from the previous step.Which of the following is the total production throughput?

A) 25 units/hr.
B) 27 units/hr.
C) 65 units/hr.
D) 84 units/hr.



4. Which of the following statements best describes the motivation for the creation of the Global Reporting Initiative (GRI) sustainability reporting guidelines?

A) To combat widely reported sustainability abuses of multi-national companies
B) To combat increased globalization and consumption of natural resources.
C) To support governmental regulation on use and export of natural resources.
D) To support companies working to make their operations more sustainable.



5. A company has made a strategic decision to introduce products to improve profitability. Which of the following issues should the company be concerned about most while implementing this decision?

A) Reverse supply chain
B) Unpredictable demand
C) Warranty and repair
D) Patent security