Question

Question 21 3.2 pts Which of the following is not a common cause for the bullwhip effect? Price fluctuations Periodic order policies Shortened lead times Trade deals None of the above Question 22 3.2 pts You have been talking to your co-worker about a document you just sent to a supplier. The document contains your offer to purchase 50 gallons of lubricating oil and has the terms and conditions of the purchase printed on the document. The document is legally binding if the supplier accepts it. This document is a: Purchase order Purchase requisition • Planned order release Material requisition Question 23 3.2 pts Many companies and state governments are beginning to pursue centralized purchasing of supplies. Which of the follow are true with respect to centralized versus decentralized purchasing? Centralized purchasing can lead to greater quantity discounts Centralized purchase leads to local sourcing . Decentralized purchasing uses a common supply base Decentralized purchasing reduces the duplication of activities. Question 24 3.2 pts Which demand component occurs due to interactions of factors influencing the overall economy and usually occur in 2-10 year cycles? Trend Cyclical Variation Seasonal Elements Random Variation Question 25 3.2 pts A tool used to coordinate demand forecasting production and purchase planning and inventory replenishment between supply chain partners is called: . CPFR ERP Systems SKOP Six Sigma

Answer 1

Answer 21: Correct option D – Trade Deals

The trade deals is not a common cause for the bullwhip effect, because bullwhip effect is a issue in the supply chain due to any of the cause like shortening of lead time, increased customer demand, price fluctuation, periodic order policies etc as these contributes in the bullwhip effect and result in delay in the supply chain. Trade deal is not common cause as it is not routine approach.

Answer 22: Correct option A – Purchase Order

Purchase order is the correct option because when we are dealing with suppliers, we use to send purchase order for quantity and purchase terms and conditions and supplier get binding if he signs out on the purchase order.

Answer 23: Correct Option A – Centralized purchasing can lead to greater quantity discounts.

Centralized purchasing can lead to greater quantity discounts this is the true statement because other statements are false. Rest other are false, decentralized is individual purchasing and centralized is common purchasing. The delicacy of activities swill be avoided with centralized purchasing.