Supply Chain Complexity Quiz

What is the primary focus of predictive analytics in supply chain management?

• To reduce the number of suppliers

• To improve forecasting and decision-making

• To eliminate the need for data analysis

• To increase the volume of data

Which type of complexity arises from a large number of elements and interactions in a system?

• Static Complexity

• Market Complexity

• Operational Complexity

• Dynamic Complexity

What does the Forrester Effect describe in supply chains?

• The increase in production efficiency

• The fluctuations in supply due to demand variability

• The reduction of inventory costs

• The simplification of supply chain processes

Which cognitive bias leads individuals to overestimate their ability to predict outcomes?

• Overconfidence Bias

• Sunk Cost Bias

• Confirmation Bias

• Availability Bias

What is a consequence of the sunk cost fallacy in supply chain management?

• Continued investment in unproductive suppliers

• Increased flexibility in supplier selection

• Enhanced decision-making processes

• Reduction in operational costs

What is the primary challenge posed by dynamic complexity?

• Understanding static elements

• Long time delays and nonlinear reactions

• Minimizing the number of suppliers

• Simplifying decision-making processes

Which of the following is a factor affecting complexity in supply chains?

• Customer loyalty

• Product complexity

• Marketing strategies

• Employee satisfaction

What does the term 'availability bias' refer to?

• Ignoring statistical evidence

• Making decisions based on recent information

• Believing in the illusion of control

• Overconfidence in one's judgments

In the context of supply chains, what does JIT stand for?

• Just-In-Transaction

• Joint Inventory Tracking

• Just-In-Time

• Job Inventory Technology

What is a key strategy to manage complexity in supply chains?

• Limiting supplier relationships

• Implementing systems thinking and adaptability

• Avoiding technology adoption

• Reducing the number of products offered