Question 1

Which of the following best describes a mission statement?

AA statement of the objectives of an organization

BA statement of the values of the organization

CA statement of how the organization might perceive itself at some future date

DA statement that provides a unifying influence for the organizations stakeholders.

Answer : C

Question 2

'The assessment of the internal and external linkages between the activities those are important to an organization'. Which of the following best fits this definition?

APortfolio analysis

BValue chain analysis

CFinancial ratio analysis

DSupplier positioning analysis

Answer : B

Question 3

Which of the following best defines corporate strategy?

AAnalyzing competitive pricing

BPromoting competitive employment practices

CSeeking long-term competitive advantage

DDeveloping supply chain plans

Answer : A

Question 4

Which of the following statements describing the objectives of a purchasing department best represents a strategic approach to the function?

AOptimizations of the total cost of ownership

BPrimary focus: to keep production running

CThe measurement of price reductions

DSome long term contracts.

Answer : B

Question 5

In a new product development programme, which of the following stages is likely to yield the greatest cost savings as a result of a value engineering exercise?

ADetailed design

BPrototype production

CConceptual design

DMarket launch