1.

When supply chain managers share information, they are not looking for one of the
following:
A. Reducing company's cost
B. Increasing variability in SC
C. Changing SC capabilities
D. Changing a company
Description: The aim of supply chain is to reduce bullwhip effect not to increase variability
2. Which of the following process designs best suits chemical industries and beer factories?
A. Project Production process
B. Mass production
C. Batch process
D. Continuous process
You can see other examples from Operations management PPT
3. Which is TRUE about BATNA in negotiation?
A. It is the position of parties
B. It is the interest of parties
C. It is the worst alternative
D. It's presence gives one negotiation power
4. From the following one is the potential benefits of procurement automation:
A. To lower visibility
B. To lower supplier collaboration
C. To increase risk mitigation
D. To increase cost
One of the benefits of automation is risk reduction
5. In adversarial tactics of negations which of the following reaction or outcome is less likely to
happen?
A. Bad relationship
B. Discouragement
C. Win-Win agreement
D. Anger
Adversarial tactics in negotiation refer to strategic techniques used by one party to gain
advantage over the other party during the negotiation process. These tactics are aimed at
maximizing one's own interests while potentially disregarding or undermining the interests of the
other party.
6. ------ is a measure of the effective use of resources, usually expressed as the ratio of output to
input.
A. Strategy C. Efficiency
B. Productivity D. Competitiveness
You can see at OM PPT under chapter 1
7. The type of communication from the manager to the subordinate is more of:
A. Informal communication
B. Upward communication
C. One-way communication
D. Two-way communication
It is downward communication I am not sure which one is best from alternatives. May be c
8. Which one is NOT useful to measure central tendency?
A. Mode
B. Mean
C. Median
D. Range
Range is a measure of dispersion
9. Which one is not considered as a barrier to internal integration?
A. Increased inventory without considering costs
B. Aligned organizational structure
C. Stand-alone reward system
D. Knowledge hoarding since it is power
Aligned organizational structure means sharing a common goal and vision for the success of an
organization.
Knowledge hoarding means using knowledge for one interest and doesn't think about the fact
that others could benefit from it as well.
10. Which one of the following new product design and development philosophy holds the
notion that "One should make what can be sold".
A. Resource-based Philosophy
B. Technology-Push Philosophy
C. Market Pull Philosophy
D. Inter-functional Philosophy
You can see it from your OM PPT
11. Experimentation, test of validity, cause and effect relationships are factors that characterize:
A. Management as an art
B. Management as group effort
C. Management as discipline
D. Management as science
Research is a scientific method of gaining knowledge; Explanatory research is a type of research
which used to test case and effect. Thus …
12. As a supply chain manager, if you are interested in examining the company's strengths and
weaknesses, you should do?
A. External analysis
B. SWOT analysis
C. PESTL analysis
D. Internal analysis
Strength and weakness analysis is part of the internal analysis component of a strategic analysis.
It involves assessing an organization's internal resources, capabilities, and limitations that can
affect its performance and competitive advantage.
13. New product development serves as a measure of performance in one of the following
market than the others. That market type is:
A. Steady market
B. Developing market
C. Mature market
D. Growth market
New product development can certainly be beneficial for mature markets. While mature markets
may seem saturated or highly competitive, introducing new products or innovations can help
companies stay relevant, attract new customers, and differentiate themselves from competitors.
14. The gap that may exist between customers' real expectations and managers' perceptions of
those expectations is called:
A. Performance gap
B. Knowledge gap
C. Communication gap
D. Standard gap
You can cheek it in the following link:
https://openstax.org/books/principles-marketing/pages/11-3-the-gap-model-of-service-
quality#:~:text=Gap%201%E2%80%94knowledge%20gap%3A%20the,policies%20and
%20standards%20for%20employees
15. In method of international payment, exporter ships the goods following a written
commitment given by the buyer bank.
A. Consignment
B. Cash in Advance
C. Documentary collection
D. Letter of Credit
The consignment method of payment is a way of conducting a transaction where the seller
retains ownership of the goods until the buyer sells them to a third party. In this method, the
seller delivers the goods to the buyer (consignee) who then agrees to sell them on behalf of the
seller. The consignee typically receives a commission or fee for facilitating the sale.
The cash in advance method of payment is a type of transaction where the buyer is required to
make payment for goods or services before they are delivered or provided.
The documentary collection method of payment is a type of international trade settlement where
the exporter entrusts the collection of payment for goods to their bank, which acts as an
intermediary between the exporter and importer. The process involves the exporter presenting
shipping and commercial documents to their bank, which then sends those documents to the
importer's bank. The importer's bank releases the documents to the importer upon payment or
acceptance of a payment obligation. Once the payment is made, the exporter's bank remits the
funds to the exporter. This method provides an additional level of security for both parties
compared to open account or letter of credit methods.
A letter of credit is a written commitment issued by the buyer's bank, known as the issuing bank,
to the exporter, confirming that payment will be made upon presentation of specified documents
and compliance with the terms and conditions outlined in the letter of credit.
16. The focal organization in Ethiopian public procurement is:
A. Ministry of Finance
B. The Federal Public Procurement and Property Administration Authority
C. Auditor General
D. The parliament
17. If an exporter offers 50% prepayment to cover the cost of manufacturing, 25% payment at
invoice date, and 25% payment 90 days after invoice, then it means:
A. Transferring risks to the other party
B. Balancing the needs of both parties
C. Each payment method is absolute
D. Standardizing payment modality
Conceptually the answer may be B, but I am not sure for that.
18. Which one of the following could be possible strengths of a company based on
environmental analysis?
A. Lowest production costs and talented people
B. Slow decision making due to bureaucracy
C. Excellent customer relationship & inferior delivery speed
D. Major competitor bet on wrong technology
19. Supply chain professionals can go for electronic data interchange system for:
A. Sending and receiving of purchase orders, invoices, and advance shipment notices
B. Transmitting data in flexible formats between computers and between computers & humans
C. Quickly and inexpensively connecting their computer systems
D. Tracing and tracking of cargo in transit across the globe
All are correct but B is best and wide in its scope
20. What do negotiators do in packaging upon setting agenda?
A. Set issues of negotiation B. Set the order of issues
C. Set general principles D. Set issues as separate or group
21. Where do you map out the process to be followed in evaluating submission?
A. Governance arrangement
B. Submission evaluation plan
C. Evaluation criteria
D. Procurement process
22. If a researcher gives equal chance for all members of the population, his/her sampling
method is?
A. Systematic sampling C. Stratified sampling
B. Simple random sampling D. Quota sampling
You can see it and others in your research methods PPT
23. Assume you are the supply chain manager in a particular organization and its competitors are
planning to cut price and conduct promotion to increase their supply. Then, what do you do?
A. Try to use a new source of supply
B. Introduce a new product or service
C. Consider it when preparing forecasts
D. Ignore it and prepare own demand forecast
24. Which one is not among the services provided by freight forwarders?
A. Letter of credit opening
B. Advising on mode choice
C. In-transit cargo follow up
D. Consolidation
25. Which one is a location selection factor to consider?
A. Technological change
B. Customer needs
C. Product design
D. Labor availability
You can see it in your OM PPT
26. ------represents a measurements of frequent customer claims and refunds on adjustments.
A. Lower productivity
B. Lower cycle time
C. Lower quality service
D. Lower asset utilization
27. One of the following is type of relationship that do not receive much managerial time: (5)
A. Strategic alliance
B. Partnership
C. Operational alliance
D. Transactional relationship
28. Whenever the number of employees working for an organization on the same route increases,
the organization can go for:
A. Ride-sharing C. Telecommuting
B. Cycling D. Virtual team
29. From the following one cannot be the reasons behind banks has the right not to approve
online financial transactions:
A. Lack of money deposited by the merchant
B. Use of updated credit line
C. Availability of unfinished transactions
D. Having unpaid loan
I am not sure
30. Allocating too little capacity to a facility means:
A. Revenue maximization
B. Delay in meeting demand
C. Higher supply chain costs
D. Low utilization
As we see in OM Under-capacity is the reason for loss of sales due to delay in meeting future
demand
31. Fill rate, on time delivery and order cycle time are measures best suitable for:
A. Productivity
B. Cost
C. Customer service
D. Asset utilization
32. It is the delivery of electronic commerce capabilities directly into the consumer's hand
anywhere via wireless technology, wireless digital devices that enable transactions on the
web.
A. Business-to-business e-commerce business model
B. Consumer-to-business e-commerce business model
C. Mobile-commerce e-commerce business model
D. Peer-to-peer e-commerce business model
33. The two outcomes of the internal environmental analysis in operations management are?
A. Opportunities and Weakness
B. Opportunities and Threats
C. Strength and Weakness
D. Strength and Threats
34. If an international bidder provides price of USD 100,000 and the Birr/USD exchange rate
was 50 on bid evaluation day and 40 on bid opening day, what is the right price offer
converted to Ethiopian Birr?
A. 4,000,000
B. 5,000,000
C. 20,000
D. 100,000
35. Which one of the following scheduling rules offers service to customers that arrive first at the
service centre?
A. Earliest (Shortest) Due Date (EDD)
B. First Come First Served (FCFS)
C. Shortest Processing Time (SPT)
D. Last Come First Served (LCFS)
36. Which one of the following is not a correct statement or idea?
A. Supply chain performance driver- location
B. Customer focused marketing- standardized product
C. Logistics - timing and positioning of inventory
D. Operational performance - speed
37. It is a system that links individual applications into a single application that integrates the
data and business processes of the entire business:
A. Enterprise Resource Planning software
B. Materials Requirement Planning software
C. Customer Relationship Management software
D. International financial Reporting System software
38. A type of technologies in e-procurement which serves as a network protocol that allows users
to login to a remote server to provide a two-ways, collaborative and text based
communication channel between two machines
A. Telnet
B. File Transfer Protocol
C. Secure Socket Layer
D. Packet Switching
The correct answer for a secure collaborative and text-based communication channel would be
c. Secure Socket Layer (SSL). SSL is a cryptographic protocol that provides secure
communication over the internet. Telnet is not secure as it transmits data in plain text, File
Transfer Protocol (FTP) is not specifically designed for collaborative communication, and
packet switching refers to the method of data transmission rather than a communication channel
itself.
39. It is the basic type of supply chain management system software which is used to automate
different steps in the supply chain such as automatically sending purchase orders to vendors
when inventories reach specified levels:
A. Operating software
B. Encryption software
C. Supply chain execution software
D. Supply chain planning software
40. If you judge someone on the basis of your perception of the group to which he or she
belongs, you are committing what type of short cut?
A. Contrast effect
B. Halo effect
C. Selective perception
D. Stereotyping
If you judge someone based on your perception of the group they belong to, you are committing
a cognitive shortcut known as stereotyping or making generalizations. Stereotyping can lead to
biases and unfair judgments based on limited information or preconceived notions about a
particular group.
41. Which one of the following correctly describes abstract in a research?
A. Summary
B. Conclusion
C. Recommendation
D. Research objective
42. In detecting deceptive negotiation tactics, which one refers to forcing the other party to admit
otherwise you will tell the truth?
A. Gentle Prods
B. Concern
C. Minimization
43. When supply chain managers engage in process mapping/analysis, which one of the
following will be more likely to result?
A. Elimination of activities that add more value
B. Identification of non-value adding activities
C. Maintaining the process as it is
D. Reduction of value adding activities
44. Which one of the following is among possible reasons for using third party logistics service
providers?
A. The need to focuses on organizational core activities
B. The possibility for transferring risks
C. The availability of required skill in-house
45. Which one of the following mainly characterizes the shipping business industry?
A. Water depth is not a barrier for navigation
B. Carrying 30 -40% of internationally traded value
C. Carrying 80 -90% of internationally traded volume
D. ICAO is the principal regulatory organ
The statement "carrying 80-90% of internationally traded volume" mainly characterizes the
shipping business industry. While shipping may not carry the majority of the value, it handles a
significant share of the volume when it comes to international trade.
46. ___ Analysis depends on the researcher's extensive skills, knowledge and experience.
A. Inferential C. Descriptive
B. Quantitative D. Qualitative
47. Sampling technique in which some units of the population has zero chance of selection is?
A. Stratified sampling C. Non-probability sampling
B. Systematic sampling D. Simple random sampling

48. Which one of the following is not among MRP processes?

A. Lead time C. Scheduled receipt
B. Net requirement D. Planned order release
49. In which step do you take a different procedure in international bidding compared to national
bidding?
A. Payment method C. Bid opening
B. Need identification D. Filing documents
D may has also a probability since we require many documents in international bidding
50. Sharing point-of-sales data across the supply chain helps to:
A. Improve demand forecast accuracy
B. Align performance incentive
C. Create bullwhip effect
D. Avoid order batching
51. When performing carrier selection, which one of the following is not the concern for
transportation managers?
A. Product protection
B. Geographic coverage
C. Equipment availability
D. Accessibility
I am not sure
52. If you are employed by a carrier company, you are required to set the carrier's price in a way
that:
A. The market perceive it lower
B. Ignores capacity utilized
C. Exceeds competitors' price
D. Maximizes carrier's return
53. The concept based on combinations of attributes or skill sets that give an organization a
unique advantage over its competitors represents:
A. Supply chain mapping
B. Supply chain strategy
C. Supply chain design
D. Core competencies
54. If foreign suppliers were not selected with great care, then:
A. Risks will be inevitable
B. Letter of credit is the best
C. Customs facilitate the case
 D. The signed contract gives the way out
55. If supply chain manager's goal is to better understand the current process and to improve it so
that it works more like the ideal process, they are expected to go for:
A. Value stream mapping C. Value analysis
B. Six sigma D. SCOR model

56. Freight management is part of:

A. Logistics
B. Inventory control
C. Marketing
D. Production
57. If inventory items are classified based on consumption or movement rate, the analysis used
is?
A. ABC analysis
B. FSND analysis
C. SDE analysis
D. VED analysis
58. Purchaser attaches proforma and purchase order together as contract in which method?
A. Request for quotation
B. Framework agreement
C. Request for proposal
D. Restricted bidding
59. The process of assigning tasks to workstations in such a way that the workstations have
approximately equal time requirements refers to:
A. Work design and measurement
B. Assembly line balancing
C. Division of labor
D. Facility Layout
60. Inventory classification method that basis on criticality is?
A. ABC
B. HML
C. SDE
D. VED
61. The type of pricing strategy that charges what the traffic can bear best refers to:
A. Marginal cost pricing
B. Fully-distributed pricing
C. Value of service pricing
D. Cost of service pricing
62. When choosing between different contracts, it is better.
A. To assume terms acceptable for one market are not for others
B. To choose fixed contracts to foster long-term relationship
C. To make risky assumption looking for higher returns
 D. To make promises whether achievable or not
63. Which one of the following is less likely to create dependency?
A. Possession of scarce organizational resources
B. Absence of alternative sources for resources
C. Availability of alternative sources for resources
D. Importance of the resource needed

64. The most complex negotiations are required under which of the following situation?
A. When there is tight quality requirement
B. If selection can be made on the lowest price
C. If technical support is less important
D. If low levels of services are needed.
65. Under which of the following situations higher level of safety stock is required?
A. If price tends to increase
B. If demand is stable
C. If demand tends to decline
D. If demand is predictable
66. If you are dealing with shipments of unusual sizes, unitized on pallets, in bags, or in crates,
you need:
A. Roll-on/roll-off ships
B. Containerships
C. Bulk carriers
D. Break-bulk ships
67. The net requirement for component 1 (Cp1) equals:
A. 200 units
B. 1000 units
C. 400 units
D. 800 units
Additional information is required
68. In a negotiation situation where the issue is important to you, show little concern to the other
party, and have good alternative, you take a stance to?
A. Compromise
B. Collaborate
C. Contend
D. Concede
69. Maintaining information links both inside and outside organization; using mail, phone calls
and meetings best represent?
A. Disseminator role
B. Leader role
C. Liaison role
D. Figurehead role
70. Majority of people are aware of which one of the following as the reason for sustainable
procurement?
A. Conserving natural resources
B. Increasing environmental pollution
C. Supporting the import of goods
D. Reducing water and energy availability
71. Rooms in a Hotel services is a typical example of?
A. Excess capacity
B. Capacity shortage
C. Capacity complexity
D. Capacity focus
72. If the price of the product is $10, there is no discount up to 1000 units and 5% discount for
above 2000 units, the unit price for 2100 units is:
A. $9.25 C. $9.50
B. $.50 D. $5.00
2100*10*.05 = 1050
21000-1050 = 19950
19950/2100 = 9.5
73. Plans that apply broadly to the entire organization are:
A. Operational plans
B. Short term plans
C. Strategic plans
D. Tactical plans
74. Which one of the following do you likely include in the final stage of a complete research
report?
A. Table of contents
B. Acknowledgement
C. Appendices
D. Abstract
75. Which can be acceptable reason to extend the bid opening day?
A. Absence of bid committee
B. Lack of qualified bidders
C. Too many late bid submissions
D. Issuance of addenda/amendment to bid document
76. When you apply tactic in negotiation, you allow the other party to think about your offer.
A. Face saving C. Pacing
B. Pinch factor D. Soak time
77. Why customers perceive timely and accurate information as necessary element of total
customer service?
A. To let suppliers know the status of the orders
B. To have workable delivery schedule
 C. To select the right type of supplier
D. To put pressure on potential suppliers
78. Which one of the following is not considered as a major category of workforce diversity?
A. Age C. Gender
B. National origin D. Income
79. Which one of the following shows services of freight forwarders favored by shippers?
A. Ensuring efficient and late delivery
B. Narrow geographical coverage
C. Charging premium commission
D. Client's product related knowledge

80. Which one of the following is true in relation to downtime?

A. It shows portion of capacity used
B. It applies to transportation equipment
C. It occurs when resources are busy
D. It shows efficient resource utilization
The option that is true in relation to downtime is c. Downtime occurs when resources are busy.
It refers to the period of time when a particular resource or equipment is not in operation or not
available for use due to maintenance, repair, or other reasons. It indicates that the resources are
not actively utilized during that time.
81. Quality, efficiency and responsiveness are metrics used to capture:
A. Economic dimension of sustainability
B. Legal dimension of sustainability
C. Technological dimension of sustainability
D. Social dimension of sustainability
82. When to conduct business research?
A. If decisions are less important
B. If the value of the research exceeds its costs
C. If inadequate information is available
D. If time is inadequate
83. A leader who centralizes authority and dictates work methods is exercising?
A. Participative leadership style
B. Democratic leadership style
C. Laissez-faire leadership style
D. Autocratic leadership style
84. Which one of the following question is not addressed by the organizing function?
A. Are the right things happening and in the right ways?
B. How many organizational positions are needed?
C. How many people should a manager supervise directly?
D. What specific tasks are required to implement our plans?
85. Which one of the following reflects the characteristics of water transport?
 A. Low cost service
B. Accessibility is high
C. Fast transit time
D. Favored for short distance
86. Which one of the following will help to say sustainable practices are there after looking at the
transportation system of an organization?
A. Using fossil fuel
B. Maximizing utilization
C. Increased mobility
D. The use of road transport
87. If you are interested in predicting quality and quantity of work, persistence of effort,
absenteeism, and accident rates, you better use:
A. Equity theory
B. Reinforcement theory
C. Goal setting theory
D. Maslow's needs hierarchy
88. Which one of the following happens if products and materials can be delivered quickly?
A. Inventory carrying costs increase
B. Responsiveness tends to be lower
C. Customers maintain more inventories
D. Retailers require less safety stocks
89. E-procurement demands to design and develop a website and its process may vary
significantly from designer to designer, but from the following one consider the correct basic
process?
A. Information gathering, testing & delivery, planning, design, development and maintenance
B. Information gathering, maintenance, design, development, planning, testing and delivery
C. Information gathering, design, development, planning, maintenance, testing and delivery
D. Information gathering, planning, design, development, testing & delivery and maintenance
90. If actual demand in current period is used as next period's forecast, the approach is?
A. Trend projection
B. Linear regression
C. Simple moving average
D. Naïve approach
91. Supply chain managers are expected to improve bottom line benefits by:
A. Ensuring lower order-fill rates
B. Decreasing profitability utilizing promotional events
C. Decreasing capacity through joint planning
D. Enhancing asset utilization by aligning supply and demand
92. Which one of the materials you need to select while designing for environment?
A. Toxic materials
B. Non-renewable materials
C. Recyclable materials
D. Hazardous materials
 You can see your OM PPT, Design for environment
93. In managing conflict in contract management which should be the last step to apply?
A. Litigation
B. Arbitration
C. Communication
D. Written warning
94. When organizations in a supply chain engage in risk management, which one is not the goal?
A. Transferring threats to supply chain success
B. Reducing threats to supply chain success
C. Creating threats to supply chain success
D. Eliminating threats to supply chain success