Lesson 11

Question 1

what are the 4 measurement system objectives?

Answer 1

monitoring
controlling
directing
improving shareholder value

Question 2

what measurement system objectives performs by establishment of appropriate metrics to track and report?

Answer 2

monitoring

Question 3

what measurement system objectives perform by having appropriate standards of performance relative to metrics being monitored?

Answer 3

controlling

Question 4

what measurement system objectives focuses on system performance of the employees through giving motivation and reward?

Answer 4

directing

Question 5

what measurement system objectives is through superior logistics performance?

Answer 5

improving shareholder value

Question 6

what are the 4 perspective in the balance scorecard?

Answer 6

financial, internal operations, innovation and learning, and customer perspective

Question 7

what are the 5 major categories of the functional perspective on logistics measures?

Answer 7

cost
customer service
quality
productivity
asset management

Question 8

what is the most direction reflection of logistics performance?

Answer 8

cost

Question 9

what requires specific measures for each element of basic service platform?

Answer 9

customer service

Question 10

what is the availability organization’s fill rate?

Answer 10

item x line x value x order

Question 11

what is the average number of days elapsed between order receipt and delivery to customer?

Answer 11

ave. order cycle time

Question 12

what often include service reliability performance?

Answer 12

quality measures

Question 13

what is the ratio of number of damaged units to the total number of units?

Answer 13

damage frequency

Question 14

accuracy of work activities performed, damage frequency, number of customer returns of damaged or defective goods, number of instances when information is not available on request, number of instances when inaccurate information is discovered

Answer 14

quality measures

Question 15

what is measured as output of goods compared with input quantities?

Answer 15

productivity

Question 16

units shipped per employee or units received per employee

Answer 16

labor productivity

Question 17

what is measured differently by different types of firms?

Answer 17

inventory turnover rate

Question 18

what requires an additional set of metrics?

Answer 18

measuring customer relationships

Question 19

what measures the effectiveness of the overall integrated logistical performance?

Answer 19

perfect order

Question 20

what provides a better indication of how a firm’s performance impacts customers?

Answer 20

absolute performance

Question 21

what measurement requires monitoring, measuring, and collecting information from the customer?

Answer 21

customer satisfaction

Question 22

how to determine the appropriate metrics using frameworks?

Answer 22

1. competitive basis
2. measurement focus
3. measurement frequency

Question 23

this reflects the fundamental choice between responsive or efficient logistics performance.

Answer 23

competitive basis

Question 24

what is a continuum ranging from operational metrics to strategic metrics?

Answer 24

measurement focus

Question 25

what is the need to monitor day-to-day performance versus less frequent review to diagnose performance problems?

Answer 25

Measurement frequency

Question 26

Total logistics cost as ____

Answer 26

percent of sales

Question 27

Percent error pick rate

Answer 27

Measurement need

Question 28

what are the supply chain comprehensive metrics?

Answer 28

1. cash-to-cash cycle time 2. inventory days of supply 3. dwell time 4. on-shelf in-tock percentage 5. total supply chain cost 6. supply chain response time

Question 29

Time required to convert a dollar spent on inventory into a dollar of sales revenue

Answer 29

cash-to-cash cycle time

Question 30

Calendar days of sales available based on recent sales activity

Answer 30

inventory days of supply

Question 31

Ration of days inventory sits idle to the days it is productively used or positioned

Answer 31

dwell time

Question 32

Percentage of time a product is available on the shelf in a store

Answer 32

on-shelf in-stock percentage

Question 33

Sum of costs across all firms in the supply chain

Answer 33

total supply chain cost

Question 34

Time required for all firms to recognize a fundamental shift in demand, internalizing that finding, replan, and adjust output to meet that demand

Answer 34

supply chain response time

Question 34

what are the 3 critical tools for financial assessment?

Answer 34

segmentation of data cost-revenue analysis strategic profit-model

Question 35

this financial tool is used for channel, territory, customer, product, and supplier

Answer 35

segmentation of data

Question 36

what are the 3 approaches of cost-revenue analysis to identify and control logistics expenses?

Answer 36

Contribution Net profit Activity-based costing

Question 37

what are the 3 strategic profit model?

Answer 37

ROI RONW ROA

Question 38

this is a critical measure of financial success

Answer 38

return on investment (ROI)

Question 39

this measures profitability of funds invested by owners

Answer 39

return on net work (RONW)

Question 40

this measures profitability generated by managing operational assets

Answer 40

return on assets (ROA)