CH 1 1 What the definition of total cost pg 10 a all relevant activities in moving and storing products should be considered as a whole not individually 2 What is the definition of place utility pg 3 a Having products available where they are needed by customers 3 What is the definition of accumulating pg 15 a Bringing together inventory from different sources 4 What is the most costly activity of logistics pg 18 a transportation costs or transportation management i represent up to 50 of the firms total logistics 5 What is the definition of landed cost pg 14 a Price of the product at its source plus transportation costs to its destination 6 What is the definition of postponement pg 12 a The delay of value added activities such as assembly production and packaging to the latest possible time 7 What is the definition of a cost trade off pg 10 a changes to one logistics activity cause some costs to increase and others to decrease 8 What is the definition of physical distribution pg 9 a Storage of finished product and movement to the customers CH 5 1 What point of view should companies adopt for supply chain management pg 78 a enterprise to enterprise point of view 2 How many processes are included in the Global Supply Chain Forum model 79 a 8 processes 3 What the definition of leagility pg 81 a Combines agility and leanness as a way to focus part of one s supply chain on a timely response to customer orders and or product variety and another part of the supply chain on leveling out the planning requirements to smooth production output 4 What is the definition of a partnership pg 89 a a positive long term mutually beneficial relationship between supply chain participants Designed to reward all participants when collaborative ventures are successful and provide incentives for all parties to work toward success AKA Strategic Alliances Third Party Agreements and Contract Logistics 5 What is the definition of the bullwhip effect pg 81 a Characterized by variability in demand orders among supply chain participants i the end result is inventory lumps 6 What is the general idea behind third party logistics usage pg 85 a one company say a manufacturer allows a specialist company to provide it with one or more logistics functions ie warehousing outbound transportation 7 What is the definition of supply chain pg 77 a All activities associated with the flow and transformation of goods from the raw material stage through to the end user as well as the associated information flows 8 When did the supply chain concept develop pg 77 a since the early to mid 1990s CH 6 1 What is the third step of the supplier selection and evaluation process pg 97 a Identify and evaluate possible suppliers i many sources can be used to identify possible suppliers such as salespeople trade shows the internet etc 2 What is the advantage of single sourcing pg 97 a consolidates purchase volume with a single supplier with hopes of enjoying lower costs per unit and increased cooperation and communication in the supply relationship 3 What is procurement s historical focus pg 94 a to achieve the lowest possible cost from suppliers i suppliers were often pitted against each other in cutthroat competition involving 3 6 month contracts awarded to the lowest bidder 4 What is the definition of procurement pg 94 refers to the raw materials component parts and supplies bought from outside organizations to support a company s operations 5 What are the categories of products in Kraljic s Portfolio Matrix pg 98 99 leverage noncritical strategic bottleneck CH 7 a a b c a a b c d time dependability communication convenience 1 What is the final phase of the order cycle pg 117 order delivery which refers to the time from when a transportation carrier picks up the shipment until it is received by the customer 2 What are the dimensions of customer service pg 119 120 3 What is the definition of customer profitability analysis pg 124 125 a Refers to the allocation of revenues and costs to customer segments or individual customers to calculate the profitability of the segments or customers 4 What is the definition of order management pg 113 a The management of the various activities associated with the order cycle 5 What is the definition of time series forecasting pg 111 demand 6 What is the definition of judgmental forecasting pg 1113 a A group of forecasting techniques that is based on the idea that future demand is solely dependent on past CH 8 CH 9 CH 10 a Refers to forecasting that involves judgement or intuition and is preferred in situations where there is limited or no historical data 1 What is the definition of shrinkage pg 134 a b inventory shrinkage is another component of inventory carrying cost and refers to the fact that more items are recorded entering than leaving warehousing facilities caused by damage loss or theft and although shrinkage costs can be reduced such efforts often generate other costs 2 What is the definition of the economic order quantity EOQ pg 138 a An order that minimizes the sum of carrying and ordering costs b the point at which carrying costs equal ordering costs 3 What are the assumptions of the economic order quantity EOQ pg 138 a A continuous constant and known rate of demand b A constant and known replenishment or lead time c A constant purchase price that is independent of the order quantity d All demand is satisfied no stockouts are allowed e No inventory in transit f Only one item in inventory or no interaction between inventory items g An infinite planning horizon h Unlimited capital availability 4 What is the definition of ABC analysis of inventory pg 142 a Concept that recognizes that because inventories are not of equal value to a firm they should not be managed in the same way 5 What is the definition of a substitute product pg 144 a Products that customers view as being able to fill the same need or want as another product 6 What is the definition of inventory pg 131 a Stock of goods and materials that are maintained for many purposes 1 What is the key locational determinant influencing facility location pg 158 a labor wage rates a inventory tax 2 What tax is of interest to logisticians and supply chain managers pg 159 3 What is the definition of right to work laws pg 158 a State laws that specify that a worker does not have to join the union to work permanently at a facility 4 What are quality of life considerations pg 162 a their intent is to incorporate non business factors into the