THE INTERNATIONAL UNIVERSITY (IU) - VIETNAM NATIONAL UNIVERSITY
MIDTERM EXAMINATION – BA
School of Business
Dr. Nguyen Van Phuong
SAMPLE SUPPLY CHAIN MANAGEMENT
Duration:
120 minutes
Lecturer:
Student ID:
Date:
Name:
6 October, 2015
Mr. Dương Võ Nhị Anh
INSTRUCTIONS:
1.
This is an open book examination.
2.
Calculator and dictionary are allowed. Discussion and material transfer are strictly prohibited.
PART I – Multiple Choice – Students can answer directly into question paper (30 points)
1. (10 points) Match the correct characteristics in right column to the following items in the left column:
1.
2.
Logistics is
a.
activities between external customers and the organization
2.
Factors in Heavy
Manufacturing
Facilities
a.
Proximity to raw materials
Utilities
Means of waste disposal
Labor availability
3.
Outbound logistics:
a.
the function that is responsible for the movement of
materials (and information
4.
AGILE Logistics
5.
The importance of
locating facility
a. Affect the organization's performance for many years
It’s expensive to move somewhere else or work in a wrong place
a.
flexible and responsive, customized service, respond
quickly to a changing demand
(10 points) Match the correct characteristics in right column to the following items in the left column:
Effective Capacity is
Ways of adjusting capacity include
AGGREGATE PLANNING

3.
JIT is
makes the tactical decisions that translate forecast demand
and available capacity into schedules for families of activities.

an all-encompassing manufacturing and service
management philosophy that is founded on the
concept of elimination of waste.
•
•
•
•
using outside contractors
renting or leasing extra facilities
adjusting the speed of working
rescheduling maintenance periods
the maximum realistic throughput in normal conditions.
(10 points) Match the correct characteristics in right column to the following items in the left column:
Quality Management – BA .
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THE INTERNATIONAL UNIVERSITY (IU) - VIETNAM NATIONAL UNIVERSITY

MRP 
aims to enable organizations to develop
realistic plans and to coordinate resources to
PART II – Writing Questions – Student answer into answer sheets. (70 points)
1.
(15 points) What is logistics and supply chain management? Give an example and explain in detail
2.
ABC currently has sales of $ 20 mil. a year, with a stock level of 35% of sales. Annual holding cost for the stock is
20% of value. Operating costs are $8 mil./ year and other assets are valued at $15 mil. What is the current return on
assets? How does this change if stock levels are reduced to 25% of sales?
3.
What are Factors influence location decision? List down all factors and explain indetail
4.
5.
6.
7.
What is the best location for a new warehouse considering only distances and quantities sold per month?
Suppose you're turning a jewelry-making hobby into a business. You have $1,000 per month of fixed costs (studio rent,
utilities, equipment, etc.). Your variable costs for each necklace are $50 for materials and labor. You'd like to charge
$70 per necklace, since that's what similar pieces are selling for.
What is the break-even point for your business?
The main bottling plant at J&R Softdrinks has a capacity of 80,000 litres a day, and works a seven-day week.
It fills standard bottles of 750 ml, and these are passed to a packing area which can form up to 20,000 cases a day with
12 bottles each. The packing area works a five-day week.
The cases are taken to warehouses by a transport company whose 8 lorries can each carry 300 cases, and make up to 4
trips a day for 7 days a week. There are two main warehouses, each of which can handle up to 30,000 cases a week.
Local deliveries are made from the warehouses by a fleet of small vans that can handle everything passed to them by
the warehouse.
Quality Management – BA .
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THE INTERNATIONAL UNIVERSITY (IU) - VIETNAM NATIONAL UNIVERSITY
8.
9.
10.
What is the capacity of this part of the distribution system? How can J&R increase the capacity?
What are The main steps in capacity planning? List down and explain in detail
How many strategies for adjusting capacity of factory in order to deal with demand of customer? List down and explain
in detail
A&B Coaches of Blackpool plan their capacity in terms of ‘coach-days’.
Forecasts show expected annual demands for the next two years to average 400,000 full-day passengers and 750,000
half-day passengers.
A&B have 61 coaches, each with an effective capacity of 40 passengers a day for 300 days a year. Breakdowns and
other unexpected problems reduce efficiency to 90%.
They employ 86 drivers who work an average of 220 days a year, but illness and other absences reduce their efficiency
to 85%. If there is a shortage of coaches the company can buy extra ones for £110,000 or hire them for £100 a day. If
there is a shortage of drivers they can recruit extra ones at a cost of £20,000 a year, or hire them from an agency for
£110 a day.
How can the company approach its tactical planning
11.
Explain the diagram as below
12.
Order for A in period 8 = 103
b. Order for Q in period 7 = 200
c. On hand inventory: A=18, Q=6, B=10, C=20, D=0, and E=30
d. Safety stock required: A=5, Q=6, B=0, C=0, D=0, and E=0
e. Committed (allocated): A=10, others=0
f. Lot size: D=200, E=500, A,Q,B,C lot-for-lot
g. Open orders (Scheduled receipts): None
h. MRP outputs: Order size and time of release for each item
i. Item A Level 0, LT = 4
j. Item Q Level 0, LT = 2
k. Item B Level 1, LT = 3
l. Item C Level 1, LT = 2
m. Item D Level 2, LT = 1
n. Item E Level 2, LT = 1
GOOD LUCK!
Quality Management – BA .
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