An Organization Decides to Implement a Supply Chain Management System

question 70

Multiple Choice

An organization decides to implement a supply chain management system to increase the efficiency of its operations. A group of employees resist the implementation. Which of the following could be the most probable reason for their resistance?

• A) The change would increase the productivity as well as responsibility of most members of the group.
• B) The group fears that the implementation would adversely affect their role in the organization.
• C) Implementation of a supply chain management system would lead to a change in organizational hierarchy.
• D) Implementation of supply chain management system often leads to blockage of crucial information.
• E) Supply chain management system cannot be used to manage the internal operations of a company.

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Definitions:

Supply Sources

Supply sources are origins or places from which goods, materials, or resources are obtained to fulfill the needs of production or consumption.

MRP

Material Requirements Planning, a system for managing manufacturing processes by ensuring that materials and products are available for production and delivery at the right time.

Computer-based Production Planning

The use of computer systems and software to plan, coordinate, and optimize the production process in manufacturing.

Inventory System

A mechanism for tracking and managing an organization's goods throughout their lifecycle, from procurement to sale.