31. Fundamental decisions concerning how a company is organized and how decisions are made within the company are often classified as:
A. organizational activities.
B. operational activities.
C. structural activities.
D. value chain activities.
32. Fundamental decisions concerning the day-to-day activities undertaken as a product is manufactured or a service provided are often classified as:
A. organizational activities.
B. operational activities.
C. structural activities.
D. value chain activities.
33. Which of the following activities is not a structural activity decision?
A. Decisions regarding where to locate the factory.
B. Decisions regarding whether the manufacturing process should be heavily automated or labor based.
C. Decisions regarding how equipment should be organized within the factory.
D. Decisions about how large the factory should be.
34. Which of the following activities is not an organizational activity decision?
A. Decisions regarding where to locate the factory.
B. Decisions regarding whether the company should operate in a just-in-time (JIT) or traditional manufacturing environment.
C. Decisions regarding how equipment should be organized within the factory.
D. Decisions regarding which suppliers to use.
35. Which of the following activities is not an operational activity decision?
A. Decisions regarding when a customer’s order is ready to be processed.
B. Decisions regarding when it is time to purchase additional direct materials from a supplier.
C. Decisions regarding how many units should be processed per batch.
D. Decisions regarding whether the company should operate in a just-in-time (JIT) or traditional manufacturing environment.
36. Relationships among activities that are performed within a company’s portion of the value chain are often called:
A. internal linkages.
B. external linkages.
C. structural activities.
D. value activities.
37. Relationships that are performed between a company’s own value chain and those of its suppliers and customers are called:
A. internal linkages.
B. external linkages.
C. structural activities.
D. value activities.
38. The main objective in supply-chain management is:
A. for the company to use a supplier that has the lowest cost.
B. for the company to use as many suppliers as possible.
C. for the company and its suppliers to work together to develop opportunities for their mutual benefit.
D. for the company to reveal as little information as possible to its suppliers regarding the company’s manufacturing process.
39. Which of the following statements regarding supply-chain management is false?
A. When coupled with enterprise resource planning, it allows a company to place more inventory and raw materials management in the hands of its suppliers.
B. It often allows suppliers access to a company’s sales information in real time.
C. It includes building a long-term, rather than a short-term, relationship between the buyer and seller.
D. It stresses that the buying company should receive more of a benefit from their relationship than the selling company.
40. In customer relationship management (CRM), a company should differentiate its customers by:
A. recognizing that its customers usually have the same needs.
B. recognizing that some customers are more valuable than others.
C. recognizing that all of its customers are basically alike in terms of the opportunities they present.
D. all of the above.
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