Question

Supplier Planning and Delivery Monitoring

1.	When someone working with purchasing matters raise the question ”who makes such a product or who can make it?”, what stage in the purchasing process would it represent?
	a	Experience stage.
	b	Survey stage.
	c	Selection stage.

2.	Which source of information can give useful help when identifying sources of supply?
	a	Sales people from the buyer company.
	b	List of stock exchange companies.
	c	Tourist leaflets.

3.	Which basic questions must also be answered when considering various potential sources of supply?
	a	To buy from national or foreign owned sources.
	b	To buy direct from the manufacturer or go through a distributor.
	c	To decide which language to communicate with.

4.	What is the general rule of thumb when considering the business dependence in purchasing?
	a	To correlate the size of the order with the size of the supplier.
	b	To buy from domestic instead of from foreign sources.
	c	To establish alternative sources in assurance of supply and to maintain competition.

5.	What reason can there be behind the policy of reducing the supplier base that exists amongst many companies?
	a	That they have proved they can and will meet high standards of quality, service and delivery at a competitive price.
	b	That more time and money is spent in training supplier.
	c	That more time is spent in evaluation and tracking of performance.

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Answer 1

Answering the first four questions as per Chegg policy

Answer 1: Option B

Explanation: While surveying the prospective sellers for a particular product, a firm which is contemplating which supplier would supply, the firm is in survey stage.

Answer 2: Option A

Explanation: Sales people are an excellent source while contemplating among various options. They can help in pros and cons, effective negotiation and closing the deal.

Answer 3: Option B

Explanation: A question of whether to buy from manufacturer or a distributor is a valid question which has an effect on the supply chain. This question must be answered.

Answer 4: Option C

Explanation: Ageneral rule of thumb in purchasing is to buy from multiple sources, have alternative suppliers ready and maintain competition.