SCM MCQs

[Q.1] Which of the following is true for supply chain management?

1. The physical material moves in the direction of the end of chain

2. Flow of cash backwards through the chain

3. Exchange of information moves in both the direction

4. All of the above

Ans: (d) All of the above

[Q.2] The sequence of a typical manufacturing supply chain is

1. Storage–Supplier–manufacturing–storage–distributor–retailer–customer

2. Supplier–Storage-manufacturing–storage–distributor–retailer–customer

3. Supplier–Storage-manufacturing– distributor–storage–retailer–customer

4. Supplier–Storage-manufacturing–storage– retailer–distributor–customer

Ans: (b) Supplier–Storage-manufacturing–storage–distributor–retailer–customer

[Q.3] Due to small change in customer demands, inventory oscillations become progressively larger looking through the supply chain. This is known as

1. Bullwhip effect

2. Netchain analysis

3. Reverse logistics

4. Reverse supply chain

Ans: (a) Bullwhip effect

[Q.4] VMI stands for

1. Vendor material inventory

2. Vendor managed inventory

3. Variable material inventory

4. Valuable material inventory

Ans: (b)