EMT Practice Test

1. Question Content...

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Question1: Which of the following tools is most appropriate to use to determine projects that will achieve the greatest net benefits?

Question2: Transforming company policies into objectives and specific goals creates a:

Question3: Which of the following organizational design choices is an example of vertical integration?

Question4: Which of the following components of advanced planning and scheduling (APS) defines and coordinates constraints?

Question5: Which of the following reasons it often why many companies fail ' to achieve the implementation benefits of reverse logistics?

Question6: A company ships from its manufacturing facilities directly to its warehouses. If the number of warehouses increases, transportation costs between manufacturing facilities and warehouses most likely will:

Question7: A master production schedule serves a company best by functioning as a:

Question8: What is the inventory turnover for a company with the following financial data?

Question9: A company plans to implement a new software application for inventory optimization. Which of the following actions will most likely reduce the implementation time?

Question10: In the Supply Chain Operations Reference-model (SCOR®), the cash-to-cash cycle time for a manufacturing company is the number of days between which two of the following situations?

Question11: Effective data acquisition for supply chain management requires:

Question12: Which of the following tools a appropriate to overall organizational performance?

Question13: When designing a supply chain for strategic advantage, a company first should consider:

Question14: The transportation manager at a consumer goods manufacturer has decided to begin shipping full truckload rather than less-than-truckload quantities. Which of the following outcomes is likely following implementation of this decision?

Question15: Which of the following types of risk typically would be most difficult to plan for and mitigate?

Question16: A manufacturer is the leader of a group of trading partners that are collaborating to improve customer service levels and profitability. Which of the following methodologies would be most appropriate for synchronizing supply and demand across the supply chain?

Question17: Which of the following activities is critical to successful synchronization of supply and demand throughout a supply chain?

Question18: A distribution requirements planning (DRP) system it implemented to primary to monitor or manage:

Question19: The purpose of a supply chain metrics dashboard is to:

Question20: Keeping all other factors equal, a company typically will try to maintain higher service levels for products with:

Question21: The purpose of continuous improvement in the supply chain is to:

Question22: Which of the following actions typically would be considered part of a reverse logistics strategy?

Question23: A product design that can be produced to requirements even when conditions in the production process are unfavorable typically is known as what type of design?

Question24: What is the primary benefit of using a central storage warehouse for all components rather than using point-of-use storage?

Question25: Which of the following considerations are essential to a company's advanced supply chain strategy that utilizes cloud computing?

Question26: A manufacturer of consumer packaged goods with a single plant and nine regional distribution centers is considering reducing the number of distribution centers in its system. Reducing the number of distribution centers most likely will reduce fixed warehousing and the cost of:

Question27: Which of the following situations is an example of postponement?

Question28: A company is aggressively pursuing improvements in the financial performance of its supply chain. The company should first focus its efforts on which of the following metrics?

Question29: A firm has determined its cash-to-cash cycle time to be 60 days. The number of days' payables outstanding is 25, and number of days' sales outstanding is 35. If the firm reduces its inventory by 20%, the new cash-to-cash cycle time, in days, will be approximately:

Question30: A juice manufacturer wants to determine the time required to convert a dollar spent on materials into a dollar received in sales. Which of the following metrics would be most appropriate to make this determination?

Question31: Which of the following results can be expected from sharing a common understanding of demand and consumption patterns among supply chain participants?

Question32: A company distributes products through a multitiered distribution network. Recently there has been high demand variability for a mature product that had experienced stable demand for several years. The most appropriate way to address the variability of demand is to:

Question33: A procurement manager wants to reduce costs on commodity items. Which of the following actions is likely to result in the greatest savings?

Question34: A large manufacturer wanting to be more competitive in the global market place decided to outsource its transportation and return processing to other companies on a contractual basis. The companies providing the services would be referred to as:

Question35: Production of a company's highest profit items is dependent upon the purchase of high-quality circuit boards. Which level of collaboration should the company develop with their supplier?

Question36: A firm supplies products and services to a wide variety of industries with varying requirements for responsiveness and reliability. Many customers across these industries are not satisfied with the firm's ability to meet the lead time and on time delivery requirements. Which of the following tools is most appropriate for the firm to use to improve customer service?

Question37: A company exports products to emerging markets. Which of the following approaches would be used to enhance compliance, minimize risks, and connect supply chain activities?

Question38: A firm has increased finished-goods inventories for several products to compensate for increased variability in demand. The firm analyzed shipment data and determined that the variability was due to a few customers placing large orders for single shipments to obtain discounts. Which of the following actions is the firm most likely to take to maintain sales and reduce variability in demand?

Question39: Which of the following activities is the most appropriate use of an advanced planning and scheduling system?

Question40: Which of the following cost elements typically would be included in the cost of carrying inventory?

Question41: A company that is effectively managing its cash will have which of the following conditions?

Question42: What is the primary role of marketing in supporting supply chain management?

Question43: Which of the following distribution strategies is characterized by items flowing through a warehouse in an almost continuous manner?

Question44: A company would like to benchmark its inventory levels against other companies. Which of the following metrics is best to use for this purpose?

Question45: Sustainable business practices are those capable of meeting the:

Question46: In a make-or-buy decision, if the product is modular and the company is dependent on knowledge and capacity, outsourcing most likely will be:

Question47: Using financial tools to minimize the impact of currency fluctuations is an example of what type of risk management strategy?

Question48: Which of the following measures would be an appropriate indicator of the marketing and sales organization's support of the sales and operations planning (S&OP) process?

Question49: Requirements for successful application of a demand-driven supply network include:

Question50: A company has an asset turnover ratio of 1.8, inventory of $3,000, a 20% profit margin, and $5,000 in total assets. What is the total sales volume for the company?

Question51: Due diligence for conflict- or high-risk-materials should include which of the following processes:

Question52: Which of the following actions by trading partners will likely reduce the goods that will be processed by the reverse supply chain?

Question53: Implementing a balanced scorecard for a supply chain typically would include which of the following actions?

Question54: Which of the following factors is most likely to slow the adoption of collaborative planning, forecasting, and replenishment (CPFR)?

Question55: The process of continuous improvement can be defined best as a continuous effort to:

Question56: Which of the following types of lead times is related most closely to a supplier performance measure?

Question57: Compared to a global strategy, a multicountry strategy would be characterized by:

Question58: Which of the following strategies would increase overall supply chain risk?

Question59: Which of the following processes enables joint planning of key supply chain activities?

Question60: Which of the following factors is the most important driver of supply chain change?

Question61: Which type of purchase is best suited for single sourcing with a preferred supplier to reduce supply chain risk?

Question62: The use of standardized components typically results in:

Question63: Which of the following actions typically would be the first step in implementing the philosophy of customer relationship management?

Question64: Cash-to-cash cycle time is a measure of a firm's:

Question65: The most cost-effective way to increase the velocity of goods in a supply chain is to:

Question66: The most appropriate frequency for the sales and operations planning process typically is:

Question67: Which of the following measures would be most appropriate for a supply chain focused on reliability as a competitive priority?

Question68: Customizing can be an effective warehousing strategy because it allows a company to:

Question69: When a company works on controlling stockout frequency, the company is addressing which of the following attributes of customer service?

Question70: The primary reason for a firm to pursue strategic supply chain activities is to:

Question71: Which of the following documents includes the valuation of goods for assessment of duties?

Question72: Replacing a raw material in a manufacturing process with an alternate material that reduces emissions is an example of using:

Question73: A large wholesaler formerly owned a number of delivery trucks. The wholesaler sold all of its trucks and now purchases transportation services from fleet operators. This is an example of which of the following strategies?

Question74: Which of the following strategies can be used to help manage global risks?

Question75: After identifying the potential causes for delays in communicating demand information up the supply chain, the trading partners should take which of the following actions?

Question76: Compared to a blanket purchase order, a supplier alliance agreement is best differentiated by:

Question77: A company most likely would implement a supplier certification program to:

Question78: Which of the following corporate strategies is most consistent with a flexible supply chain strategy?

Question79: An advantage of using a third-party logistics service (3PL) is improved:

Question80: Incorporating supplier input into product and process design helps to:

Question81: A manufacturer uses standard costing, and a potential supplier uses activity-based costing. This difference most likely will have implications for which of the following types of future decisions?

Question82: Variability in product design can best be reduced by:

Question83: The implementation of major enterprise-wide changes to eliminate or significantly reduce waste is related to which of the following concepts?

Question84: A company faces highly unpredictable demand for an end item. Which of the following production methods would work best for meeting customer demand within a reasonable lead time?

Question85: A quick-response program (QRP) will add value to the supply chain by:

Question86: The social dimension of sustainability typically would be addressed when developing and implementing policies regarding:

Question87: Which of the following tools would help a team of operators to prioritize causes of equipment failures?

Question88: A company's product cannot be sold beyond 12 months from the date of manufacture. The product contains hazardous material and must be returned to the factory to be neutralized. This situation is an example of product:

Question89: Which of the following objectives is the primary driver in the design and implementation of lean process management?

Question90: In order to achieve economies of scale, a manufacturer is interested in producing large quantities. Which of the following functions of inventory will assist the manufacturer in achieving this goal?

Question91: Which of the following factors is a measure of supply chain reliability?

Question92: A company develops annual forecasts for key products and enters into annual contracts with key suppliers based on the forecasts. Which of the following benefits would the company most likely receive from this approach?

Question93: Which of the following elements is critical to successfully using a sales and operations planning process?

Question94: Which of the following metrics is the most appropriate measure of the availability of products to ship in a make-to-stock environment?

Question95: The purpose of Incoterms® is to establish common:

Question96: A company has recently implemented a vendor-managed inventory (VMI) program with several key suppliers but quality issues are disrupting production. Which of the following actions would be more effective in dealing with these issues?

Question97: The probability of customer dissatisfaction is highest when which of the following conditions exists?

Question98: A company has been delivering a global product that no longer appears profitable. Senior management's best response is to:

Question99: When evaluating several possible supply chain options, a firm considering the minimal total cost should:

Question100: In large supply chain transformation efforts, companies often ignore which critical component of change?

Question101: Which of the following measures of a supply chain performance is most desirable from a stockholder perspective?

Question102: The purchasing manager of a company wants to minimize stock-outs as well as obsolete inventory. Which of the following tools needs to be implemented?

Question103: Which of the following statements best describes the motivation for the creation of the Global Reporting initiative (GRI) sustainability reporting guidelines?

Question104: Which of the following warehousing tools enables wireless scanning of products?

Question105: The most important challenge to consider when sourcing globally is:

Question106: Which of the following statements best identifies the value of using a supplier rating system?

Question107: Value stream mapping provides the most benefit when:

Question108: Which of the following objectives is emphasized most in an integrated logistics strategy?

Question109: An operations manager wants to measure variability in the delivery time of insurance policies to clients. Which of the following quality tools most appropriately would show the level of variability?

Question110: An organization is striving to improve the transfer of multiple levels of data about products and services to trading partners in the supply chain network. Which of the following solutions is most appropriate?

Question111: A company with a fleet of trucks is considering using a third-party logistics (3PL) provider to distribute a new product. Which of the following benefits most likely will result?

Question112: On-time delivery performance in the supply chain can best be improved by aligning required capacity with what type of capacity?

Question113: A company that is having difficulties prioritizing resources against a long list of improvement projects should use which of the following processes?

Question114: An advantage of the Supply Chain Operational Reference Model (SCOR) is that it:

Question115: Which of the following statements about the use of bar code labels for product identification in the supply chain is true?

Question116: A company that sells 60 units of product in a given year and has an average quantity on hand of 10 units. There are 360 selling days and 261 production days in the year. The company has on hand how many days of product inventory?

Question117: Which of the following criteria are important when establishing a warehouse distribution system?

Question118: A company has applied lean thinking and tools to its internal operations over the last several years. The company is now concerned about its ability to recover from a supply disruption. Which of the following actions would be most appropriate for the company to take to increase its resiliency?

Question119: Allowing for organizational restructuring is an example of which of the following steps in creating successful strategic alliances among suppliers?

Question120: Which of the following approaches most likely will help a company reduce its cost of sales while increasing customer loyalty.

Question121: Which of the following types of competitive strategies most likely will be effective for an industry in which the product is a standardized commodity?

Question122: A return material authorization (RMA) policy is used in reverse logistics to:

Question123: A company that sells engineered-to-order products is planning implementation of a supplier relationship management system (SRM) for direct materials. Which of the following factors is most likely to make the implementation difficult?

Question124: Which of the following activities typically would be an appropriate application of the ISO 31000 Risk Management Principles and Guidelines?

Question125: A company currently produces custom goods for a limited market. To increase market share, the company will implement a strategy to reduce the number of products it produces and reduce delivery lead time. The company can increase its chances of achieving the strategy by:

Question126: The factors to consider in the make-or-buy decision include costs, proprietary knowledge, and:

Question127: Which of the following activities is included in the source process of the Supply Chain Operations Reference (SCOR) model?

Question128: Which of the following distribution approaches for a low-volume, high-variety product line typically will result in the highest level of customer service and the lowest total distribution costs?

Question129: The mission of the global reporting initiative (GRI) is to provide a:

Question130: One of the key benefits of adopting a lean supply chain philosophy is the reduction of inventories that allow:

Question131: Which of the following factors typically is most important in successfully implementing sales and operations planning (S&OP)?

Question132: In a reverse supply chain, which of the following tools enables forecasting the usability of each part in the returned product?

Question133: Which of the following outcomes typically is the primary benefit from implementing a reverse logistics system?

Question134: A manufacturer has direct relationships with its tier 1 suppliers. Which of the following supplier capabilities is a benefit to the manufacturer establishing a direct relationship with lower-tier suppliers?

Question135: A large retailer has negotiated buyback contracts with several suppliers. The suppliers typically will need which of the following systems to effectively implement the contracts?