Supplier and Vendor Relations Questions and Answers Flashcards
6 cards from real Walmart practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Supplier and Vendor Relations Questions and Answers flashcards as text
A key supplier notifies Walmart that they cannot fulfill an order due to a raw material shortage. What is the best immediate response?
Answer: Assess the impact, activate backup suppliers, adjust inventory forecasts, and communicate with affected stores
Supply disruptions require a coordinated response involving backup plans, communication, and demand management.
What is a 'vendor scorecard' used for in supplier management?
Answer: To measure and track supplier performance across metrics like fill rate, on-time delivery, quality, and compliance
Vendor scorecards provide objective, data-driven evaluation of supplier performance against agreed-upon metrics.
What is 'Vendor Managed Inventory' (VMI) and why does Walmart use it with certain suppliers?
Answer: The supplier monitors Walmart's inventory levels and automatically replenishes stock based on agreed parameters
VMI shifts replenishment responsibility to the supplier who has visibility into Walmart's real-time inventory and sales data.
A vendor delivers products that do not meet Walmart's packaging specifications. What should happen?
Answer: Reject the non-compliant shipment, document the issue, and notify the vendor of the compliance failure
Non-compliant packaging should be rejected to maintain standards and signal to vendors that specifications must be met.
What is the purpose of 'cost negotiations' in vendor relations and what factors does Walmart typically consider?
Answer: To achieve the best total value considering product cost, quality, delivery terms, payment terms, and promotional support
Effective negotiations balance multiple factors to achieve the best total cost of ownership, not just the lowest unit price.
A small, local supplier wants to sell products in Walmart stores. What is the typical process they must follow?
Answer: Submit a proposal through the supplier application portal, pass quality and compliance reviews, and potentially start in a local store pilot program
Walmart has structured programs for onboarding local and small suppliers, often starting with regional placement.