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Test bank For Supply chain management Exam 6th Edition by Bowersox
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Test bank For Supply chain managementExam 6th Edition by Bowersox
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What is a supply chain?
A supply chain consist of all parties involved, directly or indirectly, in fulfilling a customer request
from raw material to end costumer. Manufacturers, suppliers, transporters, warehouse, retailers
and customers and all flows in between
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Why is it important to have a company/ supply chain strategy?
Strategy is the determination of the basic
long-term goals of an enterprise and the
adoption of courses of actions and the
allocation of resources necessary to carry out
these goals."
Strategy is "the creation of a unique and
valuable position, involving a different set of
activities."
,Why should a company develop a mission accordingly to the strategy?
The mission of the organization
- defines its purpose, i.e., what it contributes to
society
- states the rationale for its existence
- provides boundaries and focus
- defines the concept(s) around which the company
can rally
What is Supply chain management?
SCM is a set of approaches utilized to efficiently integrate suppliers, manufacturers,
warehouses, and stores, so that merchandise is produced and distributed at the right quantities,
to the right locations, and at the right time, in order to minimize systemwide costs while
satisfying service level requirements.
What are the challenges in a supply chain in order to have a good one?
• High uncertainty due to customer orientation
• Internal coordination difficult enough
• High complexity due to many interfaces
• Different conditions in the various steps
• Not clear who should control the chain
- Complicated process to decide leader
- "Time consuming" change process
Give examples of companies which are responsive, differentiated or apply cost leadership
Responsivenes: (Reliability; Quickness; Flexibility;
e.g., Dell, Overnight Delivery Services)
Cost leadership: (Price; e.g., Wal-Mart, Ryan Air, Generic Drugs)
Differentiation: (Quality; Uniqueness; e.g., Tessla, Hugo Boss, Apple Brand Name Drugs)
What factors are affecting the corporate strategy?
External and internal factorns.
, External
- Emerging strengths and weaknesses of competitors => new
threats and opportunities, respectively
- New industry entrants
- Development of substitute products
- Development of new technologies
- Legal developments (e.g., environmental concerns and
regulations)
- Economic and political developments (e.g., new international agreements, political crises)
Internal
- Company politics and restructuring
- Modified relationships with customers and suppliers
- Product Life Cycle
What are porters 3 generic strategies? and give examples on what their strategic advantage is.
*differentiation, uniqueness percived by the customer i.e. Apple
*cost leadership low cost position i.e. ryan air
*focus strategy a particular segment only- a company which is focused on a specific segment or
a specific region i.e. tåg i bergslagen.
Please describe porters five forces
Rivalry among existing firms (the middle one)
-number of competitors (concentration)
-relative size of competitors (balance)
-Industry Growth rate
-Fixed vs variable cost (barriers)
-product differentiation
-Capacity augmented in large increments
-buyers switching cost
-diversity of competitors
-exit barriers
-strategic stakes
determinants of suppliers (Left box)
-supplier concentration
-availability of substitute inputs
-importance of suppliers input to buyer etc etc.
Threat of new entrants (top box)
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