Free Practice Quiz Question List

1 Supply Chain Management Foundations and Strategy Online Quiz Questions

Use this free practice quiz with 20 questions to review 1 Supply Chain Management Foundations and Strategy, test your knowledge, and prepare for your next test or exam.

20 questions
01
True or false
1 point

True or false: The primary aim of supply chain management is to minimize cost at every step, even if doing so harms performance elsewhere in the supply chain.

  1. A

    True

  2. B

    False

02
Choose one
1 point

A company faces predictable demand and promises short customer lead times. It produces finished goods before orders arrive and holds them ready for shipment. Which operating model is it using?

  1. A

    Make-to-order

  2. B

    Make-to-stock

  3. C

    Assemble-to-order

03
Fill in the blank
1 point

A firm keeps components in stock and completes the product only after receiving a customer order. This is .

04
Written response
1 point

What supply chain function focuses on the movement and storage of goods, services, and related information?

05
Choose one
1 point

A business competes mainly on low prices. Which supply chain design choice best supports that priority?

  1. A

    Place inventory close to every customer and rely on the fastest available transportation.

  2. B

    Emphasize efficient sourcing, high asset utilization, and economical transportation.

  3. C

    Delay all sourcing decisions until customer orders are received.

06
True or false
1 point

True or false: One organization may perform several supply chain roles, and different supply chains may share suppliers or service providers.

  1. A

    True

  2. B

    False

07
Fill in the blank
1 point

A retailer uses point-of-sale data to develop a , which can guide replenishment orders to a supplier.

08
Written response
1 point

Payments and credit arrangements move among a customer, a business, and its suppliers. Which supply chain flow do these arrangements represent?

09
Choose one
1 point

A company wants to offer customized products and reduce finished-goods inventory, while accepting that customers may wait longer. Which operating model and trade-off best fit this goal?

  1. A

    Make-to-order: it can reduce finished-goods inventory and enable customization, but customers may wait longer.

  2. B

    Make-to-stock: it provides rapid delivery by keeping finished goods in stock, but increases the risk of excess or obsolete inventory.

  3. C

    Assemble-to-order: it stocks components or subassemblies and completes the product after an order arrives, balancing variety and speed.

10
Choose all
1 point

A company is considering assemble-to-order for a product line. Select all statements that accurately describe this model.

  1. A

    It can balance product variety and speed.

  2. B

    It eliminates the need to coordinate assembly.

  3. C

    It depends on having dependable components available.

  4. D

    It requires every finished product to be made before any order arrives.

11
Choose one
1 point

A manager wants performance measures that reflect both customer service and the resources committed to operations. Which measurement approach is best aligned with that goal?

  1. A

    Track cost alone because customer outcomes follow automatically from lower costs.

  2. B

    Track inventory alone because it captures every service and financial outcome.

  3. C

    Track order fulfillment time alongside cost, inventory, capacity use, and cash tied up in operations.

12
Open ended
1 point

A company wants to offer several customized product configurations without holding large quantities of every finished version. Recommend a suitable operating approach and explain how it could support customization, what it requires operationally, and at least one trade-off managers should consider.

13
Choose one
1 point

A product experiences frequent changes in demand, so the company wants its supply chain practices to emphasize responsiveness. Which approach best fits that priority?

  1. A

    Lean

  2. B

    Agile

  3. C

    Make-to-stock

14
True or false
1 point

True or false: One organization in a supply chain may perform several roles.

  1. A

    True

  2. B

    False

15
Choose one
1 point

A retailer uses point-of-sale data to update its demand forecast and guide replenishment orders. Which supply chain flow does this data primarily represent?

  1. A

    Product and service flow

  2. B

    Information flow

  3. C

    Financial flow

  4. D

    Returns flow

16
Written response
1 point

What supply chain activity estimates customer demand to help guide decisions such as sourcing and production?

17
Choose one
1 point

Which statement best distinguishes logistics from supply chain management?

  1. A

    Logistics is broader because it coordinates every internal function and external partner.

  2. B

    Supply chain management is limited to transportation and warehousing.

  3. C

    Logistics focuses on movement and storage, while supply chain management has a broader coordinating role.

  4. D

    Logistics and supply chain management are interchangeable terms for procurement.

18
Choose one
1 point

A company faces predictable demand and promises short customer lead times. Which operating model directly supports rapid delivery by holding finished goods in advance?

  1. A

    Make-to-stock

  2. B

    Make-to-order

  3. C

    Assemble-to-order

  4. D

    Delayed sourcing

19
Written response
1 point

What supply chain capability can be improved by preparing alternative sources, flexible capacity, or buffers for disruptions?

20
Choose all
1 point

A manufacturer serves two markets: one values predictable availability of standard products, while the other values flexibility as requirements change. Which conclusions about the manufacturer’s operating model are supported? Select all correct answers.

  1. A

    Use different operating approaches for different products or markets when their customer priorities differ.

  2. B

    Clarify each market’s priorities and design processes and resources to support them.

  3. C

    Adopt a competitor’s operating model regardless of whether it supports the business’s own objectives.

  4. D

    Let each department choose its operating approach independently, without coordinating across the organization.