A company that sells direct to industrial and commercial businesses has become successful by being responsive to the needs of its customers. The company currently produces in each country all of the products it sells in that country. Several countries in which the company operates have negotiated an agreement to establish a trading bloc. Which of the following actions by the company would be most appropriate if the agreement is implemented?

• A.Consolidate production outside the trading bloc to reduce total costs.
• B.Consolidate production within the trading bloc to reduce tariffs paid.
• C.Outsource the production of products with low sales volumes to reallocate capacity.
• D.Reassign products so that each is produced in a single facility within the trading bloc to get economies of scale.

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All of the following are predictable obstacles to building a successful collaborative supplychain EXCEPT:

• A.technology barriers
• B.suboptimization
• C.conflicting individual incentives and organizational goals
• D.bottlenecks caused by weaker partners
• E.trust-based relationships

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Which of the following factors is a measure of supply chain reliability?

• A.Downside supply chain adaptability
• B.Perfect order fulfillment rate
• C.Order-fulfillment cycle time
• D.Upside supply chain flexibility

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A work center's demonstrated capacity for the last week was 160 standard hours. Its demonstrated capacity for the last 6 weeks was 140 standard hours. Which of the following numbers would be best to use to determine the appropriate future load for the work center?

• A.160 standard hours, because it reflects what the work center has proven it can do.
• B.160 standard hours, because it reflects what happened most recently.
• C.150 standard hours, because it is the average of the last two periods.
• D.140 standard hours, because it is based on a greater number of periods.

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Which of the following metrics compares the cost of goods sold (COGS) for a period to the average inventory cost for a period?

• A.Total cost per unit
• B.Inventory turnover
• C.Actual versus budget cost
• D.Carrying costs

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