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ISM Leadership and Transformation in Supply Management Sample Questions (Q52-Q57):NEW QUESTION # 52 XYZ Inc. is seeking to expand its certified diverse supply base. XYZ locates a small local supplier who is capable of providing qualified materials. The ownership of the potential supplier is as follows:
20% ownership by a Caucasian female
25% ownership by a Caucasian male who is a veteran of the armed forces
24% ownership by an African-American female
31% ownership by an Caucasian male who is a disabled veteran of the armed forces By incorporating this supplier into XYZ's supply plan, what type of diverse supplier would XYZ be supporting?
* A. Woman Business Enterprise (WBE)
* B. Service-Disabled Veteran Owned Small Business (SD-VOS
![emoticon](https://mapman.gabipd.org/html/themes/classic/images/emoticons/cool.gif)
* C. Minority Business Enterprise (MBE)
* D. Veteran-Owned Small Business (VOS
Answer: DExplanation:
Understanding the Ownership Structure: The potential supplier's ownership breakdown is:
20% ownership by a Caucasian female
25% ownership by a Caucasian male who is a veteran of the armed forces
24% ownership by an African-American female
31% ownership by a Caucasian male who is a disabled veteran of the armed forces Criteria for Diverse Supplier Types:
Minority Business Enterprise (MBE): Typically requires at least 51% minority ownership. This supplier does not meet the threshold as the total minority ownership is only 24%.
Veteran-Owned Small Business (VOS
![emoticon](https://mapman.gabipd.org/html/themes/classic/images/emoticons/cool.gif)
: Requires at least 51% veteran ownership. The supplier has 56% veteran ownership (25% + 31%).
Woman Business Enterprise (WBE): Requires at least 51% ownership by women. The supplier has 44% female ownership (20% + 24%).
Service-Disabled Veteran Owned Small Business (SD-VOS
![emoticon](https://mapman.gabipd.org/html/themes/classic/images/emoticons/cool.gif)
: Requires at least 51% ownership by service-disabled veterans. The supplier has 31% ownership by a disabled veteran, which does not meet the 51% threshold.
Conclusion: The supplier qualifies as a Veteran-Owned Small Business (VOS
![emoticon](https://mapman.gabipd.org/html/themes/classic/images/emoticons/cool.gif)
due to having 56% veteran ownership.
Reference:
National Veteran-Owned Business Association (NaVOBA)
Small Business Administration (SBA) guidelines on Veteran-Owned Small Businesses
NEW QUESTION # 53 Which of the following factors influencing department effectiveness are MOST directly under supply management's control?
* A. Organizational objectives
* B. Supplier performance
* C. Staff capabilities
* D. Future supply needs
Answer: CExplanation:
Staff capabilities are the factors most directly under supply management's control that influence department effectiveness. Leadership and transformation management documents emphasize the importance of developing and leveraging the skills and expertise of supply management professionals. By investing in training, professional development, and performance management, supply management can directly enhance its team's capabilities, leading to improved efficiency and effectiveness. Reference highlight that building a highly skilled and knowledgeable team is crucial for achieving supply management objectives and driving organizational success.
NEW QUESTION # 54 A category manager for an electronics firm is tasked with building a strategy for wiring harnesses for the coming year. Which of the following is the BEST course of action for the category manager to take?
* A. Engage relevant stakeholders in order to craft a plan that includes multiple viewpoints
* B. Ask suppliers to provide sealed bids to determine which one will be the most aggressive in reducing price
* C. Focus on suppliers with which the firm spends the most money
* D. Engage senior management to determine what they want from the category in question
Answer: AExplanation:
Task Definition: Building a strategy for wiring harnesses requires a comprehensive approach that considers multiple factors and perspectives.
Importance of Stakeholder Engagement:
Ensures the strategy is aligned with the overall business objectives and meets the needs of all departments.
Involves input from those directly affected by or involved in the procurement and usage of wiring harnesses, leading to a more informed and effective strategy.
Best Course of Action:
Engaging Relevant Stakeholders: Gathering input from engineering, production, quality control, and other relevant departments ensures the strategy is robust and addresses all critical aspects.
Creates a sense of ownership and commitment among stakeholders, facilitating smoother implementation.
Outcome:
A well-rounded strategy that considers all necessary viewpoints, leading to better decision-making and successful implementation.
Reference:
Stakeholder engagement practices from PMI's "A Guide to the Project Management Body of Knowledge (PMBOK Guide)" Best practices in category management from the Chartered Institute of Procurement & Supply (CIPS)
NEW QUESTION # 55 A supply management department is experiencing unusually high turnover, and some employees are even leaving for positions with lower salaries or titles. Exit interviews reveal dissatisfaction with the repetitive nature of work and frustration that the department offers few opportunities for professional growth. Which of the following relates MOST closely to these concerns?
* A. Work/life balance
* B. Theory X/Theory Y
* C. Reinforcement approach
* D. Motivation-Hygiene theory
Answer: DExplanation:
* Understanding Turnover Causes: The high turnover rate and employees leaving for lower salaries or titles indicate dissatisfaction with the work environment, particularly the repetitive nature of work and limited professional growth opportunities.
* Motivation-Hygiene Theory: This theory, proposed by Frederick Herzberg, distinguishes between motivators (factors that lead to job satisfaction and motivate employees to perform better) and hygiene factors (factors that can lead to job dissatisfaction if missing but do not necessarily motivate if increased).
* Relevance to the Situation: The dissatisfaction with repetitive work and lack of professional growth opportunities are classic examples of missing motivators. While these factors do not directly lead to dissatisfaction, their absence makes the job unappealing.
* Addressing the Issue: To reduce turnover, the supply management department should focus on improving job enrichment, providing professional development opportunities, and ensuring employees find their work meaningful and engaging.
* Reference: Herzberg's Motivation-Hygiene Theory is extensively discussed in organizational behavior and human resource management literature, such as "Work and the Nature of Man" by Frederick Herzberg and various HRM textbooks.
NEW QUESTION # 56 A firm is considering an expansion into a very profitable market. Supporting the production requirements of this potential supply chain will critically hamper current information technology (IT) business resources and capabilities. The company does not wish to miss profit opportunities but is uncertain about the sustainability of the new supply chain, given the market's instability. Which of the following is the BEST approach the company can take in this situation?
* A. Purchase cloud computing services that bridge the IT capabilities gap
* B. Conduct an assessment and upgrade of the current IT infrastructure
* C. Delay the start of operations in the new market until the current IT infrastructure is updated
* D. Consider outsourcing the new supply chain
Answer: DExplanation:
Given the uncertainty about the sustainability of the new supply chain and the potential strain on current IT resources, the best approach is to consider outsourcing the new supply chain. Outsourcing can provide the necessary expertise and infrastructure without overburdening the company's existing IT resources. Leadership and transformation management documents highlight the strategic use of outsourcing to manage risks and leverage external capabilities. This approach allows the firm to capitalize on the profitable market opportunity while mitigating the risks associated with market instability and IT resource constraints. Reference also point to the importance of flexibility and adaptability in supply chain management, which can be achieved through strategic partnerships with third-party providers.
NEW QUESTION # 57......
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