A supply manager learns that parts used in manufacturing are arriving scratched and must be polished before use, thereby hampering production. Sending the parts back to the supplier is not an option, as they are needed to meet increased demand. Which of the following will be MOST helpful in resolving this problem?
A company introduces a new product line. Although the line is selling well, profit margins are barely at the break-even point. In this situation, which of the following is MOST likely to improve profit margins’
A company logistics manager is informed that, because of an emergency, part of the firm's ocean-going cargo had to be thrown overboard. The losses are to be split 50/50 between the shipper and the freight company. Which of the following pertains MOST closely to this issue?
A warehouse manager notices that there has been a constant shortage of 4K TVs for the last few months. An investigation finds that the TVs have been stolen, even though warehouse access is strictly controlled by employee ID badge. In this situation, the warehouse manager's FIRST course of action should be to
A manufacturer receives notice from one of its largest customers stating that, from this point on, it will only accept environmentally friendly boxes for packaging. The manufacturer checks the remaining packaging in its inventory and finds that it still has over six months' worth of boxes that are not made of environmentally-friendly materials. These boxes are custom-designed and cannot be returned to the packaging material supplier. In this situation, the manufacturer would be BEST served by doing which of the following?
An organization purchases material from several countries. These materials are assembled into products and sold in several other countries. This firm's product specifications will MOST likely reference
A manufacturing firm redesigns its premier product to benefit from material standardization. This will entail re-tooling its manufacturing facility. The firm conducts a cost analysis using net present value (NPV) and considers four options. Option 1 is to make no change at all. Options 2, 3, and 4 represent different re-tooling configurations. The discount rate for NPV calculation is 10% per annum, and material costs are fixed for the next 3 years. The firm follows a three-year planning cycle and wishes to apply NPV over that time period to the calculations:
Option 1Option 2Option 3Option 4
Re-tooling Costs$0$500,000$800,000$950,000
Annual Material Costs$1,100,000$900,000$800,000$750,000
NPV = £ r.i (l*r/
What is the 3-year NPV of the best option’
A supplier with a previously good performance record has recently been shipping parts with a number of flaws, making them unusable for production. The firm’s supply manager would like to resolve these problems before taking more drastic measures. Which of the following actions should the supply manager take FIRST’
A wine bar which also serves tapas and sandwiches notices that its customer volume fluctuates significantly (depending on convention tourism and hotel night stays) and that wait times for seating are growing longer. As a result, managing demand for perishable food products is becoming more challenging.
Which of the following would be MOST useful in this scenario?
A product has the following characteristics:
COGS$1,000,000
Starting Inventory20,000
Ending Inventory10,000
What is the inventory turnover of this item’
