The Design Process by Which a Firm Structures and Manages

question 327

Multiple Choice

The design process by which a firm structures and manages the supply chain to achieve optimization is called:

• A) an information network.
• B) network planning.
• C) smoothing.
• D) logistical planning.

---

Definitions:

Overstock Quantity

An excess amount of inventory that surpasses the demand, leading to unused surplus and potential storage issues.

Vertically Integrated

A business structure where a company controls multiple stages of production, distribution, or both, within the same industry or supply chain.

Sourcing Decisions

Choices made by a company regarding the suppliers from which it procures goods, services, or raw materials, impacting costs, quality, and supply chain efficiency.

Optimal Quantity

The amount of a good or service that achieves the best balance between cost and efficiency in production and distribution.