1. The basis for all planning decision is a supply chain is forecasting.

2. Following are the ways to calculate the systematic component in time series forecast except
(Level / trend X seasonality)
3. All of the following are forms of safety capacity (Overtime, extra workforce, extra inventory,
subcontracting). All options are correct.
4. Promotion is more effective during which period? Off peak demand
5. Carrying low levels of inventory requires capacity to vary with seasonal variation in demand
6. The phenomenon resulted by lack of coordination in supply chain is called bullwhip effect.
7. To improve information accuracy, all of the following are helpful except multi stage control of
replenishment
8. Store replenishment collaboration is applied Mass merchants

• Which of the following is an inappropriate cycle time in supply chain ( Order Fulfilment cycle,
Inventory replenishment cycle time, Manufacturing Cycle time, Cash to Cash Cycle time)

9. A customer orders 5 products one each from 5 product lines. The manufacturer dispatches 4
products from 4 product lines. In this case, the line fill rate is 80 percent.

10. What happens to supply chain profit if each stage if each stage of the supply chain makes its
pricing decision independently with the objective of maximizing its own profit? Supply chain
profit increases, decreases (I guess), remains same
11. Following are the objectives of deciding the lot size except (Note lot sizes minimize the sum of
the material, ordering, and holding cost.)
12. Random component of demand uncertainty is usually estimated by the standard deviation of
demand
13. Inventory between a stage of supply chain and final customer is called echelon inventory.
14. The cumulative normal distribution function is denoted by F(x, f.L, a) and is the
probability that a normally distributed random variable with mean f.L and standard
deviation a takes on a value less than or equal to x.
15. The expected total quantity ordered during the season with two orders is less than that with a
single order for the same cycle service level.
16. If the cost of product is 100 Rs . price is Rs 250 and salvage value is 80, then what is the cost of
understocking? Rs150
17. In product-based tailored sourcing, low-volume products with uncertain demand are obtained
from a flexible source
18. Which of the following is not a mode of transportation? None of the above
19. Following are the characteristic of ropeways for transportation except :Not economical
20. Which of the following is simplest transportation network in terms of coordination?
direct shipment transportation network
21. Which of the following network structure has the least inventory requirement? All
shipments via central DC with cross-dock
22. In product categorization, bulk purchase items are low critical and high value.
23. Which of the following is not a type of auction? American auction
24. Revenue management is the use of pricing to increase the profit generated from a limited
supply of supply chain assets.
25. Revenue management has a significant impact on supply chain profitability when one of the
following four conditions exist except: the product is not perishable
26. The basic trade-off to consider during overbooking is between: All of the above (I guess)
27. Shifting demand from peak to off peak season is done by: (discount, increasing demand ,
promotion, all of the above (I guess))
28. Which of the following is not an emerging trend in IT(Information technology) for the supply
chain? Lesser availability of real time data
29. The average inventory remaining when the replenishment lot Arrives is called Safety inventory:
30. In aggregate planning, decisions are made at which level? Product family level
31.
32. Which of the following is included in metrics for sustainability? All of the above
33. Dell outsources design and production of the processors in its PCs to Intel because of capacity
aggregation.
34. All of the following are factors that drive focus on sustainability except:
35. Which of the following factors should be considered when making sourcing decisions?
36. Briefly discuss the role of IT in aggregate planning?
37. XYZ company requires warehouse space for expected demand of 100,000 units for next 3 years.
500 sq ft are needed to store 1000 units and expected revenue is Rs. 15 per unit. The company has
two options.
Three years lease cost = Rs 10 per square feet
On the spot market cost = Rs 12 per sq feet
Which option should the company go for? If the discount factor is 10 % to maximize the profit
perform a discounted cash flow analysis to reach the decision.
38. What is the impact of bullwhip effect on following supply chain performance measures?

Performance measure Impact of bullwhip effect

Manufacturing cost increases
Inventory cost increases
Replenishment lead time increases
Transportation cost increases
increases
Level of product availability Decreases
Decreases
39.
40. What is tailored transportation network? What factors affect tailoring?
41. Elaborate the essential components of internal supply chain management.
42. What are the pros and cons of direct shipping with milk runs?