Supply Chain Management Midterm Exam Questions Hot! Guide

This comprehensive guide breaks down the core pillars of an undergraduate or MBA-level SCM midterm, provides realistic practice questions with detailed answers, and outlines actionable study strategies. Core Pillars Tested on an SCM Midterm

Rationale: 3PL costs are typically considered external service fees rather than direct internal holding costs like capital or spoilage. Quantitative Practice Problems

This is the most classic case study topic for SCM midterms. supply chain management midterm exam questions

Given: Last period’s forecast = 1,000 units. Last period’s actual demand = 1,200 units. Alpha (α) = 0.3.

Rationale: JIT focuses on minimizing inventory by aligning production strictly with demand. A) Capital Cost B) Shrinkage Cost C) 3PL Service Cost ✅ D) Storage Cost This comprehensive guide breaks down the core pillars

Strategic fit requires that both the competitive strategy (what the customer needs) and the supply chain strategy (what the network does well) have aligned goals.

To improve customer satisfaction while reducing operating expenses and inventory investment. Given: Last period’s forecast = 1,000 units

Ultimately, supply chain management is about designing flows that maximize value to the customer while minimizing waste. The best way to prepare for your midterm is to stop asking "What is the answer to question 4?" and start asking "If lead time doubles, what happens to safety stock?" (Answer: It increases by the square root of 2.)

Pooling inventory into a single warehouse reduces safety stock and holding costs but increases inbound/outbound transportation distances and slows delivery times.

Hypothesis 1: Fuel arbitrage. The ship diverted to a non-union bunkering port in Ensenada, Mexico, to take on cheaper heavy fuel oil, betting that the $150,000 saved outweighs the 18-hour delay. Impact on Ohio: The JIT factory’s safety stock of wiring harnesses (held at a cross-dock in Chicago) covers exactly 18 hours. Any longer, and the line stops. Cost per minute of downtime: $12,000.