When Using a Weighted Criteria Evaluation System to Evaluate Suppliers,all

question 26

Multiple Choice

When using a Weighted Criteria Evaluation System to evaluate suppliers,all of the following are true EXCEPT:

• A)Select the key dimensions of performance based on what is important to the consumer
• B)The weights for all dimensions must sum to 1
• C)Evaluate each of the performance measures on a rating between zero and one-hundred
• D)Multiply the dimension ratings by their respective important weights and then sum to get an overall weighted score

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Definitions:

Cost Of Electricity

The amount of money charged for the consumption of electrical energy provided by a utility company or generated by self, often measured in kilowatt-hours (kWh).

Manufacturing Facility

A site equipped with machinery and tools specifically designed for the production of goods.

Manufacturing Overhead

All costs incurred in the production process that cannot be directly attributed to specific units produced, such as maintenance and utilities.

Conversion Cost

The sum of direct labor and manufacturing overhead costs, representing the costs needed to convert raw materials into finished goods.