A company moves its warehouse operations to a new location. Soon after, the company experiences higher shipping costs and delays in meeting delivery dates. Which of the following is the MOST likely cause of these increased costs and delays?

• A. The new warehouse is staffed with inexperienced employees.
• B. The new warehouse is farther away from suppliers than the previous one.
• C. The transportation supplier is charging more to drive to the new warehouse.
• D. The transportation supplier's drivers are having difficulty accessing the new warehouse.

Which of the following is the PRIMARY benefit of project governance?

• A. Projects that are behind targets may be allowed to continue, if the cause of the delay can be resolved.
• B. Business cases and associated benefits are subject to effective scrutiny, which helps with setting project timelines.
• C. Projects considered essential are prioritized over others already in progress.
• D. Business projects need less monitoring, which allows local managers freedom to execute their projects.

A supply manager receives four bids for a special piece of equipment. The equipment is large and does not fit into a normal sea container. The bids are as follows:
Supplier 1Supplier 2Supplier 3Supplier 4
Bid$2,110,000$2,105,000$2,110,000$2,115,000
Incoterms 2020 RuleGIFDPUFCAFAS
The costs of transportation, included within each bid price, are as follows:
Responsibility for Payment to CarrierTransfer of Risk to BuyerCost of Transportation Supplier, before goods are loaded onto vessel: purchaser thereafterAlongside vessel nominated by purchaser$50,000 Supplier to named port of destination: purchaser thereafterOnce goods have been loaded onto the vessel$55,000 Supplier to named place of destination once unloaded: purchaser thereafterOnce goods have been unloaded at named place of destination540,000 PurchaserWhere goods are loaded onto the collecting vehicle$30,000 The supply manager has taken account the firm's risk profile and wishes to use FCA for its Incoterms 2020 rules. Adjusting the pricing in the tenders to reflect this, which supplier should be awarded the contract (based on the lowest price)?

• A. Supplier 3
• B. Supplier 2
• C. Supplier 4
• D. Supplier 1

To ensure items frequently employed in production are immediately available for Kanban replenishment, a storage location is established specifically for these items. This inventory location is known as a(n)

• A. fixed location
• B. overflow location
• C. point-of-use location
• D. random location

XYZ Company is a manufacturer that buys raw materials from Supplier A. In the past several years, Supplier A has experienced increasingly unpredictable order patterns from XYZ, which has necessitated it carry more inventory as safety stock. A meeting with XYZ reveals that this is because XYZ frequently stocks out of items its upstream customers require, and thus orders more than it needs in order to ensure that it is covered. Which of the following BEST describes the problem within this supply chain?

• A. Risk transfer
• B. Bullwhip effect
• C. Growth stage in a product cycle
• D. Fluctuating lead times