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Chapter 9
Achieving Operational Excellence and Customer Intimacy: Enterprise Applications
True-False Questions 1. Manufacturing companies typically think about their supply chains as a process ultimately focused on serving the customer. Answer: False 2. Difficulty: Medium Reference: p. 355
Enterprise software allows data to be used by multiple functions and business processes for precise organizational coordination and control. Answer: True Difficulty: Easy Reference: p. 359
3.
Companies can use configuration tables provided by the enterprise software to tailor a particular aspect of the system to the way it does business. Answer: True Difficulty: Hard Reference: p. 359
4.
The upstream portion of the supply chain consists of the organizations and processes for distributing and delivering products to the final customers. Answer: False Difficulty: Medium Reference: p. 361
5.
Supply chain inefficiencies can waste as much as 25 percent of a company’s operating costs. Answer: True Difficulty: Medium Reference: p. 361
6.
Low inventory acts a buffer for the lack of flexibility in the supply chain. Answer: False Difficulty: Medium Reference: p. 362
7.
The bullwhip effect is the distortion of information about the demand for a product as it passes from one entity to the next across the supply chain. Answer: True Difficulty: Medium Reference: p. 362
141
8.
Supply chain execution systems enable the firm to generate demand forecasts for a product and to develop sourcing and manufacturing plans for that product. Answer: False Difficulty: Hard Reference: p. 364
9.
In the pre-Internet environment, supply chain coordination was hampered by the difficulties of making information flow smoothly among different internal supply chain processes. Answer: True Difficulty: Easy Reference: p. 365
10.
Intranets can be used to integrate information from isolated business processes within the firm to help them manage their internal
Achieving Operational Excellence and Customer Intimacy: Enterprise Applications
True-False Questions 1. Manufacturing companies typically think about their supply chains as a process ultimately focused on serving the customer. Answer: False 2. Difficulty: Medium Reference: p. 355
Enterprise software allows data to be used by multiple functions and business processes for precise organizational coordination and control. Answer: True Difficulty: Easy Reference: p. 359
3.
Companies can use configuration tables provided by the enterprise software to tailor a particular aspect of the system to the way it does business. Answer: True Difficulty: Hard Reference: p. 359
4.
The upstream portion of the supply chain consists of the organizations and processes for distributing and delivering products to the final customers. Answer: False Difficulty: Medium Reference: p. 361
5.
Supply chain inefficiencies can waste as much as 25 percent of a company’s operating costs. Answer: True Difficulty: Medium Reference: p. 361
6.
Low inventory acts a buffer for the lack of flexibility in the supply chain. Answer: False Difficulty: Medium Reference: p. 362
7.
The bullwhip effect is the distortion of information about the demand for a product as it passes from one entity to the next across the supply chain. Answer: True Difficulty: Medium Reference: p. 362
141
8.
Supply chain execution systems enable the firm to generate demand forecasts for a product and to develop sourcing and manufacturing plans for that product. Answer: False Difficulty: Hard Reference: p. 364
9.
In the pre-Internet environment, supply chain coordination was hampered by the difficulties of making information flow smoothly among different internal supply chain processes. Answer: True Difficulty: Easy Reference: p. 365
10.
Intranets can be used to integrate information from isolated business processes within the firm to help them manage their internal