INTE Exam Preparation Material | Supply Management Integration

A sourcing manager needs to outsource production in order to meet demand for a specific product. The internal production schedule and forecasted sales have been provided for the next nine months. Internal production follows a level schedule of 4,000 units per month and up to 7,000 units may be stored in inventory. There is no beginning inventory for January.
During what month(s) will outsourced production be required to meet forecasted sales?
Month Jan Feb Mar Apr May Jun Jul Aug Sep
Unit Sales 3,000 3,000 4,000 1,000 9,000 5,000 4,000 3,000 5,000

FGH, Inc., a specialty construction company located in Italy, orders bulky customized sound equipment from a sole-source supplier in Asia. The equipment is to be installed in a new auditorium that FGH is constructing. Failure to complete the project in time for its scheduled opening will subject FGH to penalties. FGH receives notice from the supplier that the equipment is packaged and ready to ship as planned via ocean freight but that an impending storm may cause delays. FGH needs to stay within budget.
In this situation, which of following is the BEST course of action for FGH to take?

A firm has a 50% chance of receiving its daily purchases of fresh bread from a supplier in the event a regional flooding incident. The supply manager approaches two suppliers in geographic locations less likely to be disrupted by the event, and both agree to be ad-hoc suppliers. Their likelihoods of supplying in the event of the flood incident are 75% and 80% respectively. If the flooding event occurs, purchases would be sought from all three companies.
Based on this information, what is the probability of the firm being supplied fresh bread during a major regional flooding event’

When executing a new project, which of the following is MOST important to a smooth transition?

A firm wants to contract with two suppliers to develop a cellphone tower servicing five million customers. The new technology is required within the next 36 months and has a large budget.
The following suppliers are under consideration:
• Supplier A - Has been in business for 20 years; however, every two to three years, its labor force goes on strike
• Supplier B - An established business located in an overseas country which may charge an additional 2% duty on some imported goods
• Supplier C - An established business which has been closed on recent occasions by governing authorities due to health and safety violations
• Supplier D - Has the smallest facilities and workforce of the four, but will be expanding over the next three months and has successfully subcontracted work in order to meet timelines
Based on this information, which two suppliers offer the BEST capacity and capability?