Exam Questions [2021] - Supply Chain Management Midterm

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Midterm exams in Supply Chain Management (SCM) typically test your understanding of foundational concepts, strategic frameworks, and quantitative calculations. This report categorizes common exam questions based on standard curriculum themes found on educational platforms like Docsity and AIMS Education. Core Concepts & Strategic Frameworks

These questions assess high-level understanding of what SCM is and its primary goals.

Definition & Objectives: What is the primary purpose of a supply chain?

Correct Answer: To manage the flow of materials, information, financials, and demand to maximize value [1].

The 5 Phases of SCM: List and describe the five pivotal stages of effective management.

Phases: Planning, Sourcing, Manufacturing, Delivery, and Returns (Reverse Logistics) [6, 7].

SCM Strategic Pillars (The 5 C's): What are the strategic pillars that drive operational agility?

Elements: Collaboration, Connectivity, Customer-centricity, Control, and Compliance [11].

Supply Chain Models: Identify different management models such as Continuous Flow, Agile Supply Network, and Fast Chain [12]. Operations & Quantitative Analysis

These questions require mathematical calculations to determine productivity and inventory levels. Productivity Calculations

Given production data, calculate the rate of growth or total productivity [2]. supply chain management midterm exam questions

Total Productivity=Units ProducedInput Resources (e.g., Hours × Machines)Total Productivity equals the fraction with numerator Units Produced and denominator Input Resources (e.g., Hours cross Machines) end-fraction

Example Problem: If a factory produces 2,300 units using 3 machines for 325 hours each, the total productivity is approximately units per machine-hour [2]. Inventory & Reorder Points

Questions often focus on when to order and how much to keep in stock [13].

Reorder Level (Deterministic): If lead time and demand are constant, the reorder level is the demand during that lead time [13].

Economic Lot Scheduling: What is the main objective of economic lot scheduling?

Answer: To minimize total costs, including holding and setup costs [13]. Critical Issues & Challenges

Expect questions regarding modern disruptions and how managers respond to them.

Current Global Issues: What are the top challenges facing supply chains in 2026?

Key Issues: Material scarcity, unforeseen delays, port congestion, and rising fulfillment costs [10, 14].

Demand Forecasting: How do fluctuating prices impact long-term planning and inventory management? [10]. Sample Practice Questions Question Type Focus Area Multiple Choice

"The supply chain should maximize..." (Answer: Manage materials, info, and financials) [1]. True/False Ready to create a quiz

"Economic lot scheduling can be applied to machines producing multiple products." (Answer: True) [13]. Quantitative Operations

Calculate the expected productivity for next month based on a 33.93% growth rate [2].

Academic Integrity

The exam is closed-book unless otherwise specified. No sharing of calculators or materials. Any violation of academic honesty policies will result in a zero and referral to the academic affairs office.

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Supply Chain Management Midterm Exam Questions

Introduction

Supply chain management is a critical component of business operations, encompassing the planning, coordination, and execution of activities involved in sourcing, producing, and delivering products or services to customers. A well-managed supply chain can provide a competitive edge, improve customer satisfaction, and increase profitability. This midterm exam assesses your understanding of key concepts, principles, and practices in supply chain management.

Section 1: Multiple Choice Questions (30 points)

1. What is the primary goal of supply chain management? a) To minimize costs b) To maximize profits c) To ensure timely delivery of products or services d) To balance cost, quality, and customer satisfaction

2. Which of the following is a type of supply chain strategy? a) Make-to-order b) Make-to-stock c) Assemble-to-order d) All of the above

3. What is the term for the process of managing the flow of goods, services, and information from raw material suppliers to end customers? a) Supply chain b) Logistics c) Distribution d) Procurement

4. Which of the following is a key performance indicator (KPI) in supply chain management? a) Inventory turnover b) Lead time c) Fill rate d) All of the above What is the primary goal of supply chain management

5. What is the term for the integration of multiple supply chain functions, such as procurement, production, and logistics? a) Supply chain integration b) Supply chain optimization c) Supply chain visibility d) Supply chain agility

Section 2: Short Answer Questions (40 points)

1. Describe the difference between a push and pull supply chain strategy. Provide an example of each. (10 points)
2. What is the bullwhip effect in supply chain management? How can it be mitigated? (10 points)
3. Explain the importance of supply chain visibility. How can it be achieved? (10 points)
4. Describe the role of inventory management in supply chain management. What are some common inventory management techniques? (10 points)

Section 3: Essay Questions (30 points)

Choose one of the following essay questions and answer it in 2-3 pages.

1. Discuss the challenges of managing a global supply chain. How can companies overcome these challenges?
2. Describe the benefits and limitations of implementing a just-in-time (JIT) inventory management system. Provide an example of a company that has successfully implemented JIT.

Grading Criteria

• Accuracy and completeness of answers (40%)
• Clarity and coherence of writing (30%)
• Depth and insight of analysis (30%)

Note

• This exam is closed-book and closed-notes.
• You are allowed to use a calculator, but no electronic devices (e.g., laptops, tablets, smartphones) are permitted.
• Please answer the questions in the space provided.
• Make sure to read each question carefully and follow the instructions.

Good Luck!

4. Procurement and Sourcing

10. Compare single sourcing and multiple sourcing—pros and cons of each.
11. Describe total cost of ownership (TCO) and list at least five cost components to include in supplier selection.
12. What is supplier relationship management (SRM) and why is it important for strategic suppliers?

Answer hints:

• TCO components: purchase price, transport, duties, holding costs, quality failure costs, administrative costs, lead time risks.

Archetype 3: The "Outsourcing vs. Make" Decision

Sample Question: "You are the supply chain director for a laptop manufacturer. Your in-house production cost is $450 per unit, with a fixed cost of $1M. A contract manufacturer in Vietnam offers $480 per unit with zero fixed cost. At what volume are you indifferent between the two options?"

The Math:

• Indifference Point: ( 1,000,000 + 450x = 0 + 480x )
• ( 1,000,000 = 30x )
• ( x = 33,333 ) units.
• Answer: Below 33,333 units, outsource. Above 33,333 units, make in-house.

Short Answer Follow-up: "Name one hidden cost of outsourcing that is not reflected in the unit price."

• Answer: Intellectual property risk, logistics costs, quality control expenses, or increased lead time.

Part B: Discussion

Q10: Which metric is better for measuring forecast error: MAD (Mean Absolute Deviation) or MSE (Mean Squared Error)? Explain why.

• MSE: Preferred if the cost of a large error is significantly higher than the cost of a small error (e.g., it squares the errors, penalizing outliers heavily).
• MAD: Preferred if the cost of errors is linear (a small error costs a little, a big error costs proportionally more). It is easier to interpret for managers.

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Instructor Notes (Grading Tips)

• Multiple Choice + True/False – 1 point each (explanation for T/F: 1 extra point)
• Short Answer – 3–5 points each based on completeness
• Problems – 5–10 points each, depending on steps shown
• Essay – 15–20 points (clarity, use of SCM terms, real-world examples)

4. Module III: Demand Forecasting

Midterms often test the ability to apply basic forecasting methods and understand error measurement.

Question Formats and Suggested Weighting

• Short-answer/concept questions (1–3 points each) — good for breadth.
• Calculation problems (4–8 points each) — assess quantitative skills.
• Case/essay questions (8–15 points each) — evaluate synthesis and application.
• Total exam length suggestion: 60–100 points, 60–90 minutes for a midterm.