Test Your Knowledge About Supply Chain And Logistics Functions!

SAP Supply Chain Management is one of the key module in SAP ERP and controls Production Planning, business forecasting and demand planning, and helps the organization to manage their supply chain process in a dynamic environment.

The given answer states that "it is inexpensive" is not a characteristic that makes information useful. This implies that the cost or price of the information does not determine its usefulness. While cost can be a factor in determining the accessibility of information, it does not necessarily impact its usefulness. The usefulness of information is typically determined by factors such as reliability, timeliness, and relevance, which are mentioned as characteristics in the other options provided. Therefore, "it is inexpensive" is not a characteristic that contributes to the usefulness of information.

The logistic network that moves finished products from the company to resellers and then to end users is classified as outbound distribution. This term refers to the process of delivering products from the company to the final destination, which in this case is the end users. It involves the transportation, storage, and management of goods throughout the supply chain to ensure timely and efficient delivery to customers.

Supply chain management refers to the coordination and integration of all activities involved in the production and distribution of goods and services. It encompasses the management of the flow of raw materials, the production process, the movement of final goods, and the information exchange between resellers and final consumers. This includes managing both upstream activities (such as sourcing raw materials) and downstream activities (such as delivering finished products to customers). Therefore, supply chain management is the most appropriate classification for the given scenario.

Reverse distribution refers to the logistic network through which unwanted or excess products by resellers or consumers are classified. This process involves the return of products from the end-user back to the manufacturer or distributor. It includes activities such as product recall, product repair, recycling, or disposal of the returned items. Reverse distribution helps in managing and minimizing waste, reducing environmental impact, and recovering value from returned products.

A supply chain refers to the network of organizations, resources, activities, and processes involved in the production, distribution, and delivery of a product or service from suppliers to customers. It includes the firm itself, its suppliers who provide the necessary inputs, and its customers who receive the final product. Therefore, the correct answer is supply chain.

The marketing cycle is not a part of internal supply chain management in a manufacturing enterprise. Internal supply chain management focuses on the processes involved in procuring raw materials, manufacturing products, and distributing them to customers. The marketing cycle, on the other hand, involves activities such as market research, advertising, and promotion to attract customers and generate demand for the products. While marketing is an important aspect of overall business operations, it is not directly involved in the internal supply chain management processes.

In the value chain concept, upgrading IT is considered a support activity. Support activities are those that provide assistance and resources to the primary activities of a company, such as production, marketing, and sales. Upgrading IT involves improving and maintaining the technology infrastructure of a company, which supports various operations and processes. It helps enhance efficiency, productivity, and overall performance, indirectly contributing to the success of the primary activities. Therefore, upgrading IT is classified as a support activity in the value chain concept.

Data and information are two distinct concepts. Data refers to raw facts, figures, or symbols that are unorganized and have no meaning on their own. On the other hand, information is processed and organized data that has meaning and context. Therefore, data are input, as they need to be collected and entered into a system, while information is output, as it is the result of processing and analyzing the data.

Physical distribution refers to the process of controlling, implementing, and planning materials and final goods to meet the final customer at high profits. It involves activities such as transportation, warehousing, inventory management, and order processing. By effectively managing these activities, companies can ensure that products are delivered to customers in a timely and cost-effective manner, leading to increased customer satisfaction and profitability.