1- Which statement refers to the supply chain profitability (SCP)? a) SCP is not

Question

1- Which statement refers to the supply chain profitability (SCP)?

a) SCP is not correlated to the value generated by the various stages of the supply chain.

b) The total profit to be shared across all supply chain stages.

c) The difference between the revenue generated from the customer and the overall cost across the supply chain.

d) The total revenue generated by the distributor stage of the supply chain.

e) b and c only

2- Which of the following is not considered to be a stage of typical supply chain systems?

a) Customers

b) Retailers

c) Distributors

d) Merchandisers

e) Suppliers

Explanation / Answer

1. Option C, The difference between the revenue generated from the customer and the overall cost across the supply chain.

Supply chain profitability is the value added by the supply chain function to the organization that is selling the products. Value added = total revenue from customers - cost of supply chain.

2. Option D, Merchandisers

Merchandizers the the visual consultants of the consultants who help the retailer or a shop to showcase its product and display them in sucha a way that the products and offers are attractive and easily visible to the customer. Hence they are not the part of a typical supply chain. On the other hand customers, retailers, distributers and suppliers are typical stage in a supply chain

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