MIB Global Supply Chain Management

Question 1

What is 'nearshoring' in global supply chain management?

Accepted Answer

Relocating operations to a nearby country

Answer

Moving production to a distant low-cost country

Answer

Setting up offshore financial accounts

Answer

Outsourcing to domestic suppliers

Question 2

The 'bullwhip effect' in supply chains refers to:

Accepted Answer

Increasing demand variability as orders move upstream

Answer

Rapid price fluctuations in commodity markets

Answer

Sudden supplier bankruptcy

Answer

Customs delay volatility

Question 3

Which inventory management philosophy aims to receive goods only as they are needed in the production process?

Accepted Answer

Just-In-Time (JIT)

Answer

Safety stock management

Answer

Economic Order Quantity (EOQ)

Answer

Vendor Managed Inventory (VMI)

Question 4

A 'free trade zone' (FTZ) benefits international supply chains primarily because:

Accepted Answer

Goods can be stored and processed without paying import duties

Answer

It eliminates all labor regulations

Answer

It provides free transportation services

Answer

Currency exchange is eliminated

Question 5

Which risk management strategy involves sourcing the same component from multiple suppliers in different countries?

Accepted Answer

Multi-sourcing

Answer

Single sourcing

Answer

Dual sourcing

Answer

Sole sourcing

Question 6

The concept of 'supply chain visibility' in global operations refers to:

Accepted Answer

Real-time tracking of goods, orders, and inventory across the supply network

Answer

Publishing supplier contracts publicly

Answer

Transparency in executive compensation

Answer

Making pricing data available to all partners