Free Practice Quiz Question List

6 Data-Driven Supply Chain Decisions Online Quiz Questions

Use this free practice quiz with 20 questions to review 6 Data-Driven Supply Chain Decisions, test your knowledge, and prepare for your next test or exam.

20 questions

True or false

1 point

True or false: A higher target service level generally calls for more safety stock, which can reduce stockout risk while increasing holding cost.

A
True
B
False

Choose one

1 point

When defining an operational performance metric, which set of details is essential for consistent calculation?

A
The metric's data owner and review frequency only
B
The denominator, event dates, and treatment of partial shipments or cancellations
C
The forecast method used, regardless of the metric
D
The desired result, without defining how the measure is calculated

Fill in the blank

1 point

Mean absolute error (MAE) is the between actual and forecast demand.

Written response

1 point

A store expects to sell 20 units per day. Replenishment takes 5 days, and the chosen safety-stock allowance is 30 units. Using the reorder point rule, $\text{expected demand during lead time} + \text{safety stock}$ , what is the reorder point? Enter the value in units.

True or false

1 point

True or false: A demand forecast is a commitment that actual demand will match the forecast.

A
True
B
False

Choose one

1 point

A product's demand changes substantially during promotions and with the weather. Which forecasting approach is most justified by these conditions?

A
Use a causal method whenever demand is uncertain, even if no relevant drivers are identified
B
Choose a method based only on its performance on the data used to fit it
C
Consider a causal method when price, promotions, or weather materially affect demand
D
Avoid comparing methods with out-of-sample data

Choose all

1 point

A team is preparing data for a replenishment model. Select all practices that support a reliable decision base.

A
Align product, location, calendar, unit-of-measure, and lead-time definitions
B
Separate customer demand from shipments when possible
C
Treat every unusual one-time order as a normal recurring pattern
D
Flag events such as product launches and closures

Fill in the blank

1 point

Inventory position is on-hand stock plus confirmed inbound orders .

Choose one

1 point

In a supply chain optimization model, which item is an example of a feasibility constraint rather than a cost component of the objective?

A
Supplier capacity
B
Purchasing cost
C
Holding cost
D
Shortage cost

Choose all

1 point

A planner is defining the cost objective for a basic supply chain optimization model. Select all cost categories that may be included in the objective.

A
Purchasing cost
B
Ordering cost
C
Holding cost
D
Transportation cost
E
Supplier capacity
F
Shortage cost
G
Warehouse capacity

Written response

1 point

What responsiveness metric measures the time from order receipt to fulfillment? Enter the metric name.

True or false

1 point

True or false: Filling trucks more completely can lower freight cost per unit yet delay deliveries, so it should not automatically be treated as a reduction in total supply-chain cost.

A
True
B
False

Choose one

1 point

A company wants to introduce a new inventory policy while limiting implementation risk. Which first step best matches a bounded pilot?

A
Apply the new policy across all products and regions without documenting current results
B
Test the policy in one product family or region and compare results with a documented baseline
C
Implement the model without assigning owners for data, parameters, or approvals
D
Expand the policy before checking its effects on service and cost

Open ended

1 point

A high-demand scenario predicts shortages at one warehouse. Describe two possible responses and compare the trade-offs each could create. Consider service, cost, inventory, response time, or disruption exposure.

Choose one

1 point

A planner notices that shipments fell during a period when products were frequently out of stock. Which data-handling choice best avoids mistaking constrained shipments for lower underlying demand?

A
Treat shipments as the exact measure of customer demand because they record what was delivered.
B
Separate customer demand from shipments when possible, since shipments may be constrained by stockouts, allocation, or promotions.
C
Exclude all shipment records from planning, even when no constraints affected them.
D
Use shipment records only for multi-year network design.

Choose one

1 point

A company is aligning its forecast, inventory policy, and performance review. Which design choice best supports a consistent decision process?

A
Use the most detailed data available for each step, even if product and location definitions differ.
B
Use one level of detail for forecasting and a different level for inventory policy so each can be optimized independently.
C
Use the same product and location granularity for the forecast, inventory policy, and performance review whenever practical.
D
Choose the level of detail based only on the number of suppliers.

Choose one

1 point

A planning team wants to test whether its proposed supply plan remains sensible under uncertainty. Which scenario set is the most suitable starting point?

A
Compare a base case, high-demand case, low-demand case, and a disruption case.
B
Compare only the base case and the most likely forecast, to avoid unnecessary complexity.
C
Compare high-demand and low-demand cases but exclude disruptions because they are not forecasts.
D
Use the base case for inventory decisions and reserve all other cases for network design.

Written response

1 point

What is the acronym for the measure defined as the average absolute difference between actual and forecast demand?

Choose one

1 point

A product's demand appears to change substantially with promotions and weather. Which forecasting approach is most consistent with the planning guidance?

A
Use a causal method whenever a forecast is needed, regardless of whether external drivers affect demand.
B
Consider causal methods when drivers such as price, promotions, or weather materially affect demand.
C
Use causal methods only after inventory has been optimized.
D
Avoid causal methods because they cannot be compared with simple baselines.

Written response

1 point

A store expects demand of 20 units per day, has a 5-day replenishment lead time, and uses 30 units of safety stock. Using reorder point = expected demand during lead time + safety stock, what is the reorder point? Calculate it as $20 \times 5 + 30$ .