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IIBM – Inventory Management Answer sheet

IIBM – Inventory Management Answer sheet


Multiple Choices:

Q1. ……………………. is the IT tool used for automation data capture.

Q2. The Stockout Level is also called the

  1. Red Zone
  2. Amber Zone
  3. Both (a) & (b)
  4. None of the above

Q3. When classified based on period, they are

  1. Supply forecast
  2. Price forecast
  3. Demand forecast
  4. None of the above

Q4. The Delphi Method was developed by the Rand Corporation in the

  1. 1980
  2. 1970
  3. 1950
  4. None of the above

Q5. The BOM file is also called the

  1. Product Structure File
  2. Product Tree
  3. Both (a) & (b)
  4. None of the above

Q6. What is the meaning of “Doller Days”?

  1. Making money with an area
  2. Management of the value of inventory and time within an area
  3. Inventory control
  4. Management of time

Q7. Weeks of supply = ……………………………………………..

Q8. Fastest and most Expensive mode of Transport.

  1. Air
  2. Rail
  3. Water
  4. Pipeline

Q9. ERP systems were developed in

  1. 1998
  2. 1990
  3. 1980
  4. 1987

Q10. The ABC analysis is also called the ………………………………


Part Two:

Q1. What is “Dependent Demand”?

Q2. Write a short note on “Simulation Models”.

Q3. What is “Time Phasing”?

Q4. Write a short note on “Statistical Techniques of Forecasting”.

Q5. Keeping in mind the objectives, do you think the company should go in for a highly

integrated system? Support your answer with reasons.

Q6. Discuss the relevant inventory management strategies for the company.

Q7. What arguments are there in favor of a formal salvage program at Advanced Management University?

Q8. What arguments would be expected against the program?

Q9. What organizational structure should Julie Joy install?

Q10. Develop a salvage program for Advanced Management University.

Q11. At Ford Motor Company, every car or truck model has its internal website to track design, production, quality control, and delivery processes. Suppliers and customers also have access to the site, and all concerned are expected to provide full supply chain information. How do you think this would affect the life of the middle manager?

Q12. Give an example of a typical case where inventory management based on an unscientific method could go wrong.


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