Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

MKT 431 Logistics > Midterm Exam II > Flashcards

Midterm Exam II Flashcards

1
Q

5 business performance attributes

A
  1. delivery reliability
  2. responsiveness
  3. flexibility
  4. cost
  5. asset management
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

what is a metric?

A

metrics are a measure a company’s activities and performance

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

why do we have metrics?

A
  • give a company a way to monitor, analyze, and manage key areas of the business
  • assist in setting measurable goals
  • allow for improvement accountability
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

why are some metrics more or less effective?

A

-a metric that measures the wrong thing may encourage behavior within different business units that is counter productive to the organization’s overall goal

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

characteristics of a good metric

A
  • quantitative
  • easy to understand
  • encourages appropriate behavior
  • visible
  • encompasses both outputs and inputs
  • measures only what is important
  • multi-dimensional
  • process uses economies of effort
  • facilitates trust
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

challenges in developing a good metric

A
  • must decide what is important to measure
  • metric should represent all aspects of a process so that it gives an accurate view of business performance in that area
  • must consider how it will affect behaviors
  • complexity and scope
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

how to develop performance metrics and multi-dimensionality

A
  • team effort
  • involve customer and suppliers when appropriate
  • develop a tiered structure for the metrics
  • identify metric owners and tie goal achievement to individual or division performance
  • top management support
  • established procedure to mitigate arising conflicts
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

perfect order metric

A

-measures what percent of orders meet all of the criteria to be considered a perfect order

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

elements of the SCOR model

A

plan
source make deliver
return return

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

income statement elements

A
  • revenue
  • COGS
  • interest
  • other operating costs
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

revenue levers

A
  • order fill rate
  • order cycle time
  • on time delivery
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

COGS levers

A
  • inbound transportation
  • inventory obsolescence
  • inventory damage
  • SMI/consignment costs of suppliers
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

interest levers

A
  • inventory financing
  • vehicle financing
  • facility financing
  • technology financing
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

other operating cost levers

A
  • warehousing cost
  • transportation cost
  • logistics administration
  • technology cost
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

balance sheet elements

A
  • inventory
  • accounts receivable
  • fixed assets
  • accounts payable
How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

inventory levers

A
  • raw material
  • work in process
  • finished goods
  • days on hand
17
Q

accounts receivable levers

A
  • aging from disputed deliveries

- aging from time lag: goods delivered- invoice sent

18
Q

fixed asset levers

A
  • transportation equipment
  • warehouses
  • crossdocks
  • storage & handling equipment
  • logistics systems hardware & software
  • communications equipment
19
Q

accounts payable levers

A
  • payment/discount terms
  • inbound transport component
  • outsourcing
20
Q

return on assets ratio

A

net income/total assets

21
Q

equivalent sales concept

A

-the amount of sales increase that would be needed to have the same profit impact as a specific dollar amount of logistics costs savings

22
Q

financial impacts of an increase in customer service through higher levels of inventory

A
  • increase net sales
  • increase COGS
  • increase inventory cost
  • reduce other operating costs (assumption)
23
Q

profit margin ratio

A

net income/sales

24
Q

sales equivalent formula

A

sales equivalent= cost saving (profit)/% profit margin

25
Q

profit leverage affect

A

-a lower % profit margin means a higher sales equivalent for a given supply chain cost because it takes a higher volume to produce given profit

26
Q

SC impact on ROA

A
  • profit=revenue-costs

- total assets=inventory+accounts receivable + cash + fixed assets

27
Q

3PL relationship types

A
  • transactional
  • collaborative
  • strategic
28
Q

drivers and facilitators in choosing 3PL

A
  • drivers: asset/cost efficiency, customer service, marketing advantage, profit stability/growth
  • facilitators: corporate compatibility, mgt. philosophy & techniques, mutuality of commitment, fit on factors such as size, financial strength, etc.
29
Q

what is a 4PL?

A

manage and direct the activities of multiple 3PLs, serving as an integrator, delivering a comprehensive supply chain solution

MKT 431 Logistics (1 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions