HOURLY 1 SUPPLY CHAIN

MANAGEMENT

SUNMITTED BY: MUHAMMAD NABEEL (12002)

SUBMITTED TO: SIR FAISAL  

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 North Campus

Midterm Exam (Hourly-I) Spring - 2021

Subject: Supply Chain Management Submission Day/Date: Thursday/08/04/2021

Instructor: Muhammad Faisal Submission Duration: 3 Hours
Program: MBA Max. Marks: 15 Marks

Department of Business Administration

Please follow the instructions carefully:

1. Please make sure to *mention your name and your registration number* on top of the first
page of your answer file and upload the file before the due time on BlackBoard.
2. Answer scripts can be uploaded on BlackBoard within or before its deadline.
Therefore, do not wait for the last hour to avoid any unforeseen problems.
3. Submission of answer copy (ies) will be considered acceptable through BlackBoard
only. Therefore, do not submit your document through email or any other medium.

4. Solve the *questions in sequence* as given in the paper. 

5. After solving all the answers, make the *serial numbering* on all your answer sheets.
6. After completing paper, you are required to make its *Snap Shot (or Scan)* and make *its
single .pdf file* by arranging all your sheets in sequence.
7. Make the file name as per given format:
Student Name (last four digits of your Registration Number) and course title.
e.g. Muhammad Ali  (2342) *Supply Chain Management*.pdf* 

8. Please make sure that your *pdf file/word file is sufficiently visible and readable*.
9. You must avoid any *blur or dull pictures*. It is recommended to use *black color pen* to
write your answers.
10. *Don’t use pencil*.
11. Recheck your answers before the submission on BlackBoard to correct any content or
language related errors.
12. Double check your file before uploading it on BlackBoard to ensure that you have uploaded
the correct file with your answers.

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Q1) Consider an organization dealing with Fast fashion goods. The firm has limited assortments
for fashion lovers across Pakistan. Most of the suppliers to this firm are local with huge quantity in
place, however; firm has to procure certain raw materials from Europe and faces price fluctuation
issues.

You are required to supplement the following chart without modification. (Marks-07)

Factors One Liner Explanation

Demand Uncertainty High or Low with reason

Supply Uncertainty High or Low with reason

Nature of Products Functional or Innovative

Product Margin High or Low with reason

Average Stock out Rate High or Low with reason

Type of Supply Chain based on -----

Demand Supply Uncertainty

Presence of Intermediary / Yes / No with reason

Intermediaries

ANSWER:
NOTE: The product is not FMCG so the product will be innovative.
 Demand un-certainity will be high because of innovative product due to no data available
for forecasting example fashion industry

 Supply un-certainity will be Low because supply chain is responsive and possess flexibility
to shift in demand

 Innovative because fast fashion refers to the designing in trend from outlets to
consumers

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  20%-60% (high) because product’s trend will be changed quickly and based on
made to order.

 10%-40% (high) due to high demand un-certainity

 Type of Supply chain will be “VERTICAL INTEGRATION” so that company have control over
the product and can turn raw material into final product at any time.

 No because that products are only available at company’s outlets.

Q2) Iqra University is planning to replace existing A/C units with centralized air conditioning
system in the North Campus. The management has never done this before. Procurement
department is asked to proceed with requisition from potential supplier. Establish in what case you
would precede with RFQ (Request for quotation) and RFP (Request for proposal)?
(04 marks)

ANSWER:
If supplier is general order supplier than Procurement department will ask for RFP for new vendors
so that they can assess them and then send RFQ to the vendor for quotations. On the other hand if
procurement is being done with the existing vendor then there is no requirement of RFP, directly
RFQ will be generated.

Q3) Consider you purchase a pack of one kilogram of Ariel from the super mart near your home.
Draw the flow of supply chain. No explanation is required.
(02 marks)

ANSWER:

SUPPLIER MANUFACTURER DEALER

RETAILER

CONSUMER

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Q4) California Pizza is a franchise based model which serves customers a variety of pizzas and
related products. The service is purely customized. Identify whether the model is push-based
supply chain or pull based supply chain. Can we have a push-pull boundary in California case?
How?
(02 marks)

ANSWER:

Push based supply chain where customers give their orders completely customized according to
their demand and they provide accordingly i.e. ready to order. YES we can have push-pull
boundary in California case due to the reason that they can do both i.e. ready to stock and ready to
order as ready to stock is considered they prepare the initial bread and cheese and as customers
places the order they customized accordingly so we can have push-pull boundary.

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