Physical distribution is___________
- The movement and storage of goods from production to customer
- The movement and storage of goods from customer to production
- The movement and storage of goods from suppliers to manufacturing
- The movement and storage of goods from manufacturing to suppliers
The __________________ is concerned with the transfer of ownership. Its function is to negotiate, sell, and contract.
- transaction channel
- distribution channel
- reverse logistics channel
- physical distribution channel
The reverse flow of goods (reverse logistics) is due to_______
- Increased quality demands of customers
- Financial pressures on distributors to reduce slow-moving inventories
- Financial pressures on distributors to reduce unwanted inventories
- All of the above
Goods are returned because they are____________
- Damaged or defective
- Seasonal
- Out-of-date
- All of the above
Returned goods___________
- Cannot be sold in alternate markets
- Can be returned to inventory
- Cannot be broken down into reusable components
- Cannot be refurbished
_____________ is the single highest cost in distribution, usually accounting for 30% to 60% of distribution costs.
- Distribution
- Transportation
- Warehousing
- Materials handling
Global distribution will____________
- Decrease in the future
- Become harder
- Allow companies to manufacture goods at competitive rates
- Force companies to sell products only in their own market
_______ are costs that do not change with the volume of goods carried.
- Fixed costs
- Variable costs
- Vehicle costs
- Terminal costs
Economic regulation has centered on__________
- Regulation of rates and control of routes
- Regulation of rates, control of routes and service levels, and control of market entry and exit
- Control of routes and service levels and control of market entry and exit
- Regulation of rates and control of market entry and exit
Consolidation shipments can____________
- Decrease billing and collecting costs
- Decrease the number of parcels
- Decrease terminal-handling costs
- All of the above
In the decline phase of the life cycle, companies can maintain profitability by________
- Reducing the number of new product introductions
- Limiting improvements to existing products
- Improving the methods of production
- All of the above
The needs of sales and the economics of production must be balanced with good product___
- Simplification
- Simplification and standardization
- Standardization and specialization
- Simplification, standardization, and specialization
__________________ is concentration of effort in a particular area or occupation.
- Specialization
- Modularization
- Market focus
- Product focus
Products must be designed to be___________
- Functional
- Capable of low-cost processing
- Both of the above
- Neither of the above
An example of a poor design is a product_________
- With excessive material that must be removed
- With easy operations
- With standardized components
- Using the most economical methods possible
An advantage of concurrent engineering is__________
- Time to market is increased
- Costs are increased
- Quality is improved
- Tool system costs are increased
A reason to make products in house is__________
- Less capital investment is required
- Specialized expertise of suppliers is used
- To maintain quality
- Allows the firm to concentrate on its own area of specialization
Based on material flow, processes can be organized as___________
- Flow and project
- Flow and intermittent
- Flow, intermittent, and project
- None of the above
If sufficient demand exists, flow systems are efficient because__________
- Workstations are designed to produce a wide range of dissimilar products
- Material flows from one workstation to the next
- There is high work-in-process inventory available
- Lead times are increased
Provided the volume of work exists to justify it, flow manufacturing is less costly than intermittent manufacturing because_____
- Setup costs are high
- Run costs are low
- Work-in-process inventories will be high
- Costs associated with controlling production are high
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