What indicators would you use to evaluate suppliers?

Questions in this section focus on how a firm manages its network and relationships. Network Design

Explain how a company can improve its procure-to-pay (P2P) process.

Answer guidance: Purchasing focuses specifically on acquiring goods and services from suppliers, including activities like supplier selection, negotiation, and contract management. Supply chain management is broader, encompassing the coordination of all activities across the entire chain from raw materials to end customers, including logistics, production, and distribution.

The reply came in three seconds: “No. Should we?”

) from the manufacturer is fixed at 9 days. If the distributor wants to maintain a Cycle Service Level (CSL) of 95%, what should their safety stock and reorder point (ROP) be? Find the standard deviation of demand during lead time ( σLsigma sub cap L

When inventory hits 574 units, place a new order.

“The MV Phoenix, a 15,000-TEU container vessel, departs Shanghai on schedule. However, 72 hours into its 18-day journey to Long Beach, its transponder shows a 200-nautical-mile deviation south of the standard shipping lane. No storm warnings, no piracy alerts, no mechanical distress. Using the principles of multi-echelon inventory optimization and risk-pooling strategies, hypothesize three distinct supply chain motives for this deviation. For each, model the downstream impact on a just-in-time automotive factory in Ohio.”

You may be asked to calculate the ideal order size to minimize total inventory costs.