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The Incoterm in which all responsibilities including the costs and risks are passed to the buyer at the sellers loading dock is?
A. FCA - FREE CARRIER
B. CFR - COST and FREIGHT
C. EXW - EX WORKS
D. FAS - FREE ALONGSIDE SHIP
Budget process for the supply management professional is called?
A. Supply management budgeting
B. Supply chain budget
C. Supply management budget preparation
D. Supply chain metrics
When the nature of the specifications of a product or service are not clearly defined or changes in the specifications are anticipated the procurement method is best.
A. Open market purchase techniques
B. Succession bidding process
C. Negotiation for best price best/product service
D. Competitive market acquisition tool
If a supplier proposes work that is different from the work specified by the supply management professional this is referred to as a/an?
A. Complete review process to the request for proposal.
B. Acceptable change for the request for proposal.
C. Dispute resolution process to the request for proposal.
D. Alternate Proposal for the request for proposal.
An instance that may prohibit an organization from obtaining more than one proposal is called ? The reason for this includes specialization of the resources required to deliver the product or service, a lack of competition in a specific region, and regulatory restrictions. It is important to ensure that this bid is competitive based on all of your information.
A. Restricted negotiation
B. Restricted bidding
C. Restricted market
D. Restricted competition
A tax levied on your trade good which is based on the value of the taxed item is called a/an?
A. Par value taxation of goods.
B. Total value taxation of goods.
C. Fair evaluation taxation of goods.
D. Ad valorem taxation of goods.
A precontractual document used to express the expectation of contract formation in the future is called?
A. Purchase order agreement document.
B. Purposeful Letter of Intent document.
C. Solicitation response document.
D. Statement of Work for proposed contractual obligations.
Solicitations for bids take many forms the most frequently used are the offer to buy, informal bids, electronic solicitations and competitive proposals. In an offer to buy versus offer to sell situation it is advantageous for organizations to solicit suppliers offers to sell otherwise what occurs?
A. You may purchase the items twice.
B. The goods may not have quality controls.
C. An offer to buy may be sent to a supplier who fails to respond.
D. You have no cost control.
Negotiations can be controlled by controlling the what?
A. Selection process or how the requests for proposals are scored.
B. Negotiation site or location of the supply management negotiation
C. Information flow internally and with external bidders.
D. Negotiation team or the members of it.
ISO provides guidance for continual improvement of systems.
Having the necessary tools for financial analysis includes review of appropriate supply management professional resources. The financial analysis resource Dun & Bradstreet provides?
A. Industry norms and business ratios
B. Wholesale costs
C. Stock market analysis
D. Retail costs for supply management
One way to categorize market conditions is through the product life cycle which consist of five stages: precommercialization, introduction, growth, decline and?
A. Maturity stage of the five stages of the product life cycle.
B. Advancement stage of the five stages of the product life cycle.
C. ProductMty stage of the five stages of the product life cycle.
D. End stage of the five stages of the product life cycle.
Determining usage over the entire life of the product and not by the month or year alone is referred to as ?
A. Cycle usage
B. Part usage determination
C. Product or part life cycle
D. Descriptive usage technique
Lose-Lose or confrontational negotiation philosophy is used when?
A. Both parties already know they win in a negotiation.
B. Both negotiators have a low degree of concern for their own and the others outcomes.
C. Both parties lose the contract in a negotiation.
D. Both parties require no negotiation.
Supply managers should try to the extent possible to use "buy recycIed" programs in minimizing waste, the strategy used which involves reclaiming materials for use in manufacturing new products is called?
A. Recycle strategy for supply management material disposition.
B. Reduce strategy for supply management material disposition.
C. Rebuild strategy for supply management material disposition.
D. Reuse strategy for supply management material disposition.
In order to have a successful diversity program it requires management support and?
A. Additional time to support the program.
B. Additional employees to support the program.
C. Additional space to support the program.
D. Resource allocation to support the program.
When the supply management professional has the suppliers proposal the most common negotiation approach is?
A. Accept the bid
B. Reveal no position
C. Revealing the optimistic position.
D. Give partial information
A contract which provides or allows payment for reasonable costs incurred in performance of the contract is called?
A. Cost performance contract
B. Cost reimbursable type of contract arrangement.
C. Fixed price incurred performance
D. Reasonable cost performance
The international Commercial Terms (Incoterms) are used for?
A. Supplier international negotiations used in international commerce, developed by the International
Chamber of Commerce (ICC).
B. Commercial terms used in international commerce, developed by the International Chamber of Commerce (ICC).
C. Contracting used in international commerce, developed by the International Chamber of Commerce (ICC).
D. Tariff determination used in international commerce, developed by the International Chamber of Commerce (ICC).
What is the impact of decreasing productMty for the supply management professional?
A. Quality improvement
B. Need for additional employees
C. Future monetary savings
D. Indicates major problems and a degrading process.
Supply management professionals are subject to and responsible for adhering to Regulation by OSHA, EPA, DOT and?
A. Central Intelligence Agency CIA
B. Department of Homeland Security DHS
C. Federal Bureau of investigation FBI
D. US Immigration and Services INS
During the phase out transition with the current supplier when is the best time this should occur, during?
A. High and volatile production.
B. Low stock scenarios.
C. Low volume production periods.
D. High volume production periods.
Using value analysis and negotiations in an effort to prevent or reduce supplier price increases and ancillary charges is called?
A. Cost avoidance/cost containment.
B. Costing cap analysis of value.
C. Cost reduction supply analysis.
D. Budget planning cost analysis.
During the site visit the supply manager should inquire about any organizational changes in the past year, such as leadership changes which may show a difference in normal operations or production. It takes for a new leader to affect the organization.
A. One to three years of leadership
B. One to six months of leadership
C. Six months to one year of leadership
D. Three to five years of leadership
Which factor is the LEAST important for you to consider in supply management in terms of human resource management?
A. Human rights factors for HR.
B. Delivery management factors for HR.
C. Labor skills factors for HR.
D. Cultures factors for HR.
The supplier cross-functional evaluation team process includes 1) Identifying supplier evaluation categories 2) Defining scoring metrics 3) Weighting each evaluation category and 4) what?
A. Choosing the supplier to use.
B. Providing specific improvement goals.
C. Determining environmental constraints for the organization
D. Choosing the supply chain format
Consortiums are managed by whom?
A. Federal entities in supply management organizations.
B. Commodity teams in supply management organizations.
C. Shareholders in supply management organizations.
D. Stakeholders in supply management organizations.
In the cost management program, rationalizing inventories and delaying costly redesigns is referred to as?
A. Cost rationalizing for supply management.
B. Systems redesign for supply management.
C. Design filexibility for supply management.
D. Cost management for supply management.
When preparing solicitations for competitive bids it is important to communicate the attributes of a product or service. Acceptance criteria define the specifications the product or service must meet upon delivery in order to be accepted and paid for by the customer. These criteria can include a result, performance of equipment, a visual inspection or ?
A. Smell attributes of a product.
B. Taste attributes of a product.
C. Color attributes of a product.
D. A report detailing attributes of a product.
To evaluate for antitrust violations the Federal Antitrust DMsion has a business review process for evaluation whether you are?
A. In the safety zone.
B. Participating in legal purchases.
C. Operating legally in the market or a negotiation.
D. Participating in "Veteran owned" purchases.
When reviewing a suppliers proposal evaluate the terms, any deviations from your requirements, delivery specifications, price, and what other component?
A. Starting constraints which may hinder the supplier from beginning to act on the awarded contract.
B. The original Statements of Work the organization solicited.
C. Substitute products which may readily be available at a greater cost savings.
D. Strategic alignment of the purchasing organization.
Which type of contract requires the maintenance of annual work plans, work authorizations and notices to proceed?
A. Annum asset conversion type of contract.
B. Cost-reimbursement type of contract.
C. Initial option year type of contract.
D. Negotiated contract type of contract.
Documentation is critical during development of a supplier exit strategy. The documentation should include reports, meeting notes, call records and customer feedback. It should also include?
A. Legal descriptions of the issues.
B. Required performance measures.
C. An outline of the exit strategy.
D. List of the suppliers other customers for notification purposes.
Employing a diverse supply base can lead to enhanced organizational reputation and?
A. Stronger supplier ties with the supply management organization.
B. Diversified workforce for the supply management organization.
C. Consumer loyalty with the supply management organization.
D. Diversity of the purchasing organization.
The second form of payment for international purchases is a document drawn by the seller on the buyer to pay the amount of the purchase known as a?
A. Bill of exchange form of payment for goods or services.
B. Letter of credit form of payment for goods or services.
C. Payment instrument for goods or services.
D. Offer or pay or form of payment for goods or services.
A logistical operation that is a strategic partnership with a client rather than a tactical stance for a supply chain function is called?
A. Third-party logistics services.
B. First-party logistics services.
C. Fourth-party logistics services.
D. Second-party logistics services.
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