Multiple-Choice Questions (MCQs) on Supply Chain Resilience
- What does supply chain resilience primarily aim to achieve?
- A. Cost reduction
- B. Rapid recovery from disruptions
- C. Increased inventory levels
- D. Supplier dependency
- Answer: B. Rapid recovery from disruptions
- Which strategy involves using multiple suppliers to mitigate risk and enhance resilience?
- A. Centralization
- B. Dual sourcing
- C. Vertical integration
- D. Outsourcing
- Answer: B. Dual sourcing
- What is a key characteristic of a resilient supply chain?
- A. High levels of redundancy
- B. Sole reliance on just-in-time inventory
- C. Inflexible processes
- D. Limited supplier base
- Answer: A. High levels of redundancy
- Which of the following practices enhances supply chain resilience by creating alternative routes and methods?
- A. Risk pooling
- B. Network reconfiguration
- C. Demand forecasting
- D. Supplier consolidation
- Answer: B. Network reconfiguration
- Which technology can significantly improve supply chain visibility and resilience?
- A. Blockchain
- B. Fax machines
- C. Landline telephones
- D. Pagers
- Answer: A. Blockchain
- What is the primary benefit of having a diversified supplier base in terms of supply chain resilience?
- A. Lower production costs
- B. Enhanced flexibility and risk mitigation
- C. Increased inventory holding
- D. Simplified logistics
- Answer: B. Enhanced flexibility and risk mitigation
- Which of the following is an example of proactive risk management to enhance supply chain resilience?
- A. Reacting to disruptions as they occur
- B. Conducting regular risk assessments and scenario planning
- C. Minimizing communication with suppliers
- D. Reducing safety stock levels
- Answer: B. Conducting regular risk assessments and scenario planning
- In the context of supply chain resilience, what does the term “agility” refer to?
- A. The ability to reduce lead times
- B. The capacity to quickly adapt to changes and disruptions
- C. The speed of production
- D. The consistency of order sizes
- Answer: B. The capacity to quickly adapt to changes and disruptions
- What is a significant advantage of implementing real-time data analytics in supply chains?
- A. Decreased operational costs
- B. Enhanced decision-making and rapid response to disruptions
- C. Reduced need for human resources
- D. Increased complexity of operations
- Answer: B. Enhanced decision-making and rapid response to disruptions
- Which of the following factors contributes to the resilience of a supply chain?
- A. Rigid operational procedures
- B. Strong partnerships and collaboration with suppliers
- C. Sole reliance on a single logistics provider
- D. Minimal investment in technology
- Answer: B. Strong partnerships and collaboration with suppliers
- What role does supply chain visibility play in enhancing resilience?
- A. It reduces the need for multiple suppliers
- B. It allows for better monitoring and management of the entire supply chain
- C. It minimizes transportation costs
- D. It simplifies the procurement process
- Answer: B. It allows for better monitoring and management of the entire supply chain
- Why is flexibility important in a resilient supply chain?
- A. It enables cost-cutting measures
- B. It allows for rapid adaptation to changing circumstances
- C. It reduces the need for skilled labor
- D. It increases dependency on suppliers
- Answer: B. It allows for rapid adaptation to changing circumstances
- Which of the following is a key component of a business continuity plan in supply chain management?
- A. Identifying critical supply chain nodes
- B. Increasing the number of suppliers
- C. Reducing production levels
- D. Simplifying the supply chain structure
- Answer: A. Identifying critical supply chain nodes
- How can companies enhance supply chain resilience through inventory management?
- A. By implementing just-in-time inventory systems exclusively
- B. By maintaining strategic safety stock
- C. By reducing inventory to the lowest possible levels
- D. By centralizing all inventory in one location
- Answer: B. By maintaining strategic safety stock
- What is the impact of strong supplier relationships on supply chain resilience?
- A. They reduce the need for monitoring
- B. They enhance collaboration and improve response times during disruptions
- C. They increase dependency on specific suppliers
- D. They simplify contract negotiations
- Answer: B. They enhance collaboration and improve response times during disruptions
- Which of the following is an external factor that can affect supply chain resilience?
- A. Supplier lead times
- B. Internal process inefficiencies
- C. Natural disasters
- D. Inventory levels
- Answer: C. Natural disasters
- What is the significance of redundancy in a resilient supply chain?
- A. It increases operational costs unnecessarily
- B. It ensures there are backup options in case of disruptions
- C. It complicates supply chain management
- D. It reduces the number of suppliers
- Answer: B. It ensures there are backup options in case of disruptions
- Which of the following actions can companies take to build a more resilient supply chain?
- A. Limit communication with suppliers
- B. Invest in supply chain technology and analytics
- C. Focus exclusively on cost reduction
- D. Reduce the number of distribution centers
- Answer: B. Invest in supply chain technology and analytics
- Why is it important to include supply chain risk management in strategic planning?
- A. To avoid disruptions and maintain business continuity
- B. To increase product diversification
- C. To centralize all operations
- D. To reduce supplier engagement
- Answer: A. To avoid disruptions and maintain business continuity
- Which of the following best describes the concept of “supply chain redundancy”?
- A. Having excess capacity to handle sudden increases in demand
- B. Reducing the number of suppliers to simplify management
- C. Increasing inventory to cover longer lead times
- D. Developing multiple supply chain routes and backup suppliers
- Answer: D. Developing multiple supply chain routes and backup suppliers