Hi.

TRUE OR FALSE. Please state your explanation.

22) A major problem in a plant location decision based on the factor-rating system is that simple point-rating schemes do not account for the wide variance of costs that may occur within each factor used in the analysis.

23) Services typically have multiple site locations to maintain close contact with customers.

24) Facility location decisions are made using analytical techniques that are able to weigh a large number of different variables equally.

25) A third-party logistics company is a firm that manages all or part of another company's product delivery operations.

26) The Association for Operations Management defines logistics as "the art and science of obtaining, producing, and distributing material and product in the proper place and in proper quantities."

27) Cross-docking is a practice used in the international shipping industry that facilitates port utilization.

28) Cross-docking is an approach used in consolidation warehouses, where large shipments are broken down into small shipments for local delivery in an area.

29) Hub-and-spoke systems combine the idea of consolidation and that of cross-docking.

30) In a hub-and-spoke system each warehouse in the system acts as a spoke.

31) DHL and United Parcel Service are transportation companies that are prohibited from functioning as a third-party logistics company the way Federal Express does.