Question

In: Operations Management

Which of the following is most closely associated with the competitive orientation in supplier relationships? Select...

Which of the following is most closely associated with the competitive orientation in supplier relationships?

Select one:

a. Zero-sum game

b. Long-term relationship

c. More information sharing

d. Fewer suppliers

In operations planning and scheduling discussion, all of the following are considered as useful options for changing supply EXCEPT

Select one:

a. vacations schedule

b. complementary products

c. subcontracting

d. workforce adjustment

Which one of the following will lead to an increase in EOQ value?

Select one:

a. a decrease in demand

b. an increase in setup cost

c. an increase in holding cost

d. all the above will lead to increase in EOQ value

Solutions

Expert Solution

CORRECT ANSWER - a Zero-sum game

It is a type of demand and supply model where one party wins and the other looses. So in order to beat the competitor you play in such a position to win over it.

The rest of the options are not closely associated with the competitive orientation in supplier relationships.

CORRECT ANSWER b. complementary products

The rest of the options are incorrect as Vacations are encouraged during the slack season and discouraged during peal season to change the supply. Subcontracting helps in overcoming shortages in short term capacity by offloading the work on other producers . Even Adjusting workforce utilizing overtime and undertime can change the supply.

The rest of the options are incorrect

CORRECT ANSWER b. an increase in setup cost

Setup costs include all of the costs related with ordering the inventory like costs of packaging, delivery, shipping, and handling which is directly related to EOQ.

The rest of the options are incorrect as decrease in demand would lead decrease in EOQ and an increase in holding cost will do the same.


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