1. Which of the following is NOT an advantage of the "few suppliers" sourcing strategy? A) suppliers have a learning curve that yields lower transaction and production costs B) less vulnerable trade secrets C) suppliers are more likely to understand the broad objectives of the end customer D) creation of value by allowing suppliers to have economies of scale E) suppliers' willingness to provide technological expertise 2. Which of the following is an advantage of the postponement technique? A) better quality of the product B) early customization of the product reduction in inventory investment D) reduction in training costs E) reduction in automation 3. A disadvantage of the "few suppliers" sourcing strategy is: A) the risk of not being ready for technological change. B) the lack of cost savings for customers and suppliers. C) possible violations of the Sherman Antitrust Act. -D) the high cost of changing partners. E) the suppliers are less likely to understand the broad objectives of the procuring firm and the end customer. 4. In most manufacturing industries, which of the following would likely represent the largest cost (and, hence, largest opportunity for savings) to the firm? A) transportation B) advertising C) insurance -D) purchasing E) financing 5. Which of the following is NOT one of the risk mitigation tactics for the supply chain risk category of suppliers failing to deliver? A) use multiple suppliers B) require overnight delivery C) subcontractors on retainer D) pre-planning E) effective contracts with penalties 6. Which of the following is NOT one of the four main types of inventory? supply inventory -A) maintenance/repair/operating B) work-in-process inventory C) safety stock inventory D) raw material inventory E) finished-goods inventory 7. Which of the following is a function of inventory? A) All of the answer choices listed are functions of inventory. B) to provide a selection of goods for anticipated customer demand and to separate the firm from fluctuations in that demand C) to take advantage of quantity discounts D) to hedge against inflation E) to decouple various parts of the production process 8. Which of the following is NOT a typical benefit of centralized purchasing? A) reduce the duplication of tasks B) develop specialized staff expertise C) leverage purchase volume for better pricing D) all of the answer choices listed are benefits of centralized purchasing E) promote standardization 9. ABC analysis is based upon the assumption that: A) an item is critical if its usage is high. B) all of the answer choices listed are correct