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Order accuracy and order completeness are the same.

A) True
B) False

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KPIs cannot be used in connection with distribution center activities as they do not provide tangible, relevant data.

A) True
B) False

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Define and discuss distribution KPIs, focusing on customer-facing measures.

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The activities performed in the distribu...

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Asset utilization is a very important aspect of


A) KPIs.
B) 3PL distribution facilities.
C) commercial distribution facilities.
D) private distribution facilities.

E) None of the above
F) C) and D)

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Cross-docks typically increase transportation costs.

A) True
B) False

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The primary facility operations focus is


A) on the movement and storage of product.
B) inventory control and personnel issues.
C) making sure KPIs are fulfilled.
D) the WMS system.

E) None of the above
F) C) and D)

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There are two options for product flow through the supply chain: direct shipments versus movement of goods through distribution facilities. Discuss advantages and disadvantages of both options.

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Direct shipping operations bypass distri...

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Distribution facilities can provide numerous services, depending on the requirements of the supply chain. Which of these is not a typical service?


A) assortment
B) accumulation
C) allocation
D) activity

E) B) and C)
F) A) and C)

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The first facility consideration is to determine the size of each operation within the network.

A) True
B) False

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After the layout of the operations is determined, attention shifts to the facility size of the operations within the distribution operation.

A) True
B) False

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Discuss in detail the various tradeoffs that affect distribution operations.

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One important interaction that must be c...

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When establishing a distribution strategy, the first and most obvious consideration is the product.

A) True
B) False

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One of the primary tradeoffs at the facility level is space versus equipment.

A) True
B) False

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The drawback of centralized inventory is:


A) that it undercuts the dispersed distribution concept.
B) that it increases the amount of inventory required.
C) strains the ability of the carrier network.
D) that it extends lead times and results in higher transportation costs.

E) A) and C)
F) A) and D)

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Inventory handling, storage, and processing facilities help supply chains create time and place utility.

A) True
B) False

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The roles of the distribution center include __________


A) balancing supply and demand.
B) protecting against uncertainty and promoting transportation economies.
C) promoting transportation economies.
D) balancing supply and demand, protecting against uncertainty, and promoting transportation economies.

E) None of the above
F) All of the above

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Discuss inventory positioning, and the differences between centralized and decentralized inventory.

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Inventory positioning focuses on the iss...

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Potential labor problems for distribution centers may be the result of


A) low pay and long hours.
B) competition from nearby firms.
C) the graying of America.
D) awareness of these job opportunities.

E) B) and D)
F) C) and D)

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Product handling functions include both receiving and shipping.

A) True
B) False

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A downside of direct shipping is


A) that it takes product flow away from the distribution center.
B) can create higher transportation charges.
C) that customer may not like this method.
D) the product may not lend itself to this method.

E) None of the above
F) All of the above

Correct Answer

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