CBS Supply Chain & Operations Strategy Flashcards

The SCOR (Supply Chain Operations Reference) model is primarily used for:

Answer: Benchmarking and improving supply chain performance using standardized processes

The SCOR model provides a standardized framework for evaluating and improving supply chain processes across plan, source, make, deliver, return, and enable.

Which inventory strategy maintains a buffer stock to guard against unexpected demand spikes or supply delays?

Answer: Safety stock

Safety stock is extra inventory held beyond expected needs to buffer against demand variability or supply disruptions.

In operations strategy, 'throughput' refers to:

Answer: The rate at which a system produces finished goods or services

Throughput measures the rate at which a production system converts inputs into finished outputs, indicating operational speed and efficiency.

Outsourcing a non-core function in operations strategy is typically driven by the goal to:

Answer: Focus internal resources on core competencies while gaining external expertise and cost savings

Outsourcing non-core functions allows a company to redirect management attention and capital toward its strategic strengths while leveraging specialized external providers.

A strategic alliance in supply chain management differs from a traditional supplier relationship in that it:

Answer: Creates a long-term collaborative partnership with shared goals and information

A strategic alliance builds a deep, collaborative, and long-term relationship where partners share information, risks, and rewards to achieve mutual goals.

Which operations performance objective is most critical when a company competes on speed of delivery?

Answer: Speed

Speed as a performance objective focuses on minimizing the time from customer order to delivery, providing a competitive advantage in time-sensitive markets.