Ch. 15

Question 1

supply chain management

Answer 1

the strategic coordination of the supply chain for the purpose of integrating supply and demand management

Question 2

logistics

Answer 2

the movement of goods, services, cash, and information in a supply chain

Question 3

resiliency

Answer 3

the ability of a business to recover from an event that negatively impacts the supply chain

Question 4

supply chain visibility

Answer 4

a major trading partner can connect to its supply chain to access data in real time

Question 5

event-response capability

Answer 5

the ability to detect and respond to unplanned events

Question 6

purchasing cycle

Answer 6

series of steps that begin with a request for purchase and end with notification of shipment received in satisfactory condition

Question 7

centralized purchasing

Answer 7

purchasing is handled by one special department

Question 8

decentralized purchasing

Answer 8

individual departments or separate locations handle their own purchasing requirements

Question 9

E-business

Answer 9

the use of electronic technology to facilitate business transactions

Question 10

vendor analysis

Answer 10

evaluating the sources of supply in terms of price, quality, reputation, and service

Question 11

strategic partnering

Answer 11

two or more business organizations that have complementary products or services join so that each may realize a strategic benefit

Question 12

inventory velocity

Answer 12

the speed at which goods move through a supply chain

Question 13

bullwhip effect

Answer 13

inventory oscillations become progressively larger looking backward through the supply chain

Question 14

vendor-managed inventory

Answer 14

VMI - vendors monitor goods and replenish retail inventories when supplies are low

Question 15

order fulfillment

Answer 15

the processes involved in responding to customer orders

Question 16

logistics

Answer 16

movement of materials, services, cash, and information in a supply chain

Question 17

traffic management

Answer 17

overseeing the shipment of incoming and outgoing goods

Question 18

radio frequency identification (RFID)

Answer 18

a technology that uses radio waves to identify objects such as goods in supply chains

Question 19

third-party logistics (3-PL)

Answer 19

the outsourcing of logistics management

Question 20

strategic sourcing

Answer 20

analyzing the procurement process to lower costs by reducing waste and non-value-added activities, increase profits, reduce risks, and improve supplier performance.

Question 21

information velocity

Answer 21

the speed at which information is communicated in a supply chain

Question 22

fill rate

Answer 22

percentage of demand filled from stock on hand

Question 23

reverse logistics

Answer 23

the process of transporting returned items

Question 24

gatekeeping

Answer 24

screening returned goods to prevent incorrect acceptance of goods

Question 25

avoidance

Answer 25

finding ways to minimize the number of items returned

Question 26

closed loop supply chain

Answer 26

a manufacturer controls both the forward and reverse shipment of product

Question 27

cross-docking

Answer 27

a technique whereby goods arriving at a warehouse from a supplier are unloaded from the supplier’s truck and loaded onto outbound trucks, thereby avoiding warehouse storage.

Question 28

delayed differentiation

Answer 28

production of standard components and subassemblies , which are held until late in the process to add differentiating features

Question 29

disintermediation

Answer 29

reducing one or more steps in a supply chain by cutting our one or more intermediaries