Chapter 9

Question 1

It is an approach to develop and maintain relationships with suppliers in order to increase vital
competitiveness in the market.

Answer 1

SUPPLIER PARTNERSHP

Question 2

The appraisal or incoming inspection of materials on sampling basis may be required although the
supplier would have already inspected the items before shipment.

Answer 2

INCOMING INSPECTION

Question 3

It emphasizes the importance of clear communication between a company and its vendors to
ensure good quality products.

Answer 3

PROPER COMMUNICATIONS

Question 4

A set of expectations, criteria, and requirements a company establishes for its suppliers.

Answer 4

SUPPLIER
STANDARDS

Question 5

A thorough evaluation of a vendor’s products at periodic intervals is required to assess the quality of
their design and manufacturing.

Answer 5

PRODUCT AUDIT

Question 6

It is the most important activity with regard to supplier partnership.

Answer 6

SUPPLIER SELECTION

Question 7

This is an internal or external analysis of a company’s quality management system to ensure that it meets regulatory and compliance standards, as well as the company’s own quality policies and
procedures.

Answer 7

QUALITY AUDIT

Question 8

It means that the suppliers should have access to and proficiency in using advanced technologies to
enhance efficiency, productivity, and innovation in their operations.

Answer 8

TECHNOLOGICAL CAPABILITIES

Question 9

A periodic interval that the company should carry out a formal second party to check the effectiveness of the vendor’s quality system.

Answer 9

QUALITY AUDIT

Question 10

It refers to the flexibility of suppliers in producing and delivering products.

Answer 10

FLEXIBILITY IN PRODUCTION AND DELIVERY

Question 11

In supplier rating, the vendors are to be assessed or rated based on the performance of the supplies
with respect to all the following parameters: quality, price, delivery, and services.

Answer 11

TRUE

Question 12

Quality is not essential to customer satisfaction.

Answer 12

FALSE

Question 13

In supplier seminars, company executives should not conduct regular visits to vendors.

Answer 13

FALSE

Question 14

Selection of right suppliers is the most important activity with regard to supplier partnership.

Answer 14

TRUE

Question 15

In a quality audit, the company should not carry out a formal second party to check the
effectiveness of the vendor’s quality system.

Answer 15

FALSE

Question 16

In proper communication, it emphasizes the importance of unclear communication between a
company and its vendors to ensure good quality products.

Answer 16

FALSE

Question 17

It will be in the interest of the company if the suppliers didn’t help in the development of the
products.

Answer 17

FALSE

Question 18

Long-term contracts can provide stability, predictability and efficiency for the parties involved.

Answer 18

TRUE

Question 19

Once the quality systems in the company and its vendors are aligned, then the efforts of the
company to check the quality of suppliers will greatly increase.

Answer 19

FALSE

Question 20

The results of inspection should be communicated to the vendors, immediately without loss of
time, so that it will alert them for improving quality.

Answer 20

TRUE

Question 21

Provide at least 5 supplier standards by Toyota Motors

Answer 21

QUALITY, PREVENTING DEFECTS, DELIVERY, RELIABLE DELIVERY, TECHNOLOGICAL CAPABILITIES

Question 22

Supplier Seminars are intended to achieve two key things, what are they?

Answer 22

VENDOR EDUCATION, QUALITY IMPROVEMENT

Question 23

The vendors are to be assessed, based upon the performance of the supplies with respect to
what parameters?

Answer 23

QUALITY, PRICE, DELIVERY