Cumbie's World #8 & #9 #8-9 | Page 2

                  In-­‐Chapter  Questions:   1. How  can  organizations  better  manage  their  global  supply  chain?  (p.  318)   Organizations  can  better  manage  their  global  supply  chain  by  considering  both  the  costs  and  risks  involved  in   their  supply  chain.  Many  companies  rely  on  just-­‐in-­‐time  deliveries  to  keep  their  inventory  levels  at  a   minimum.  Organizations  can  create  a  better  supply  chain  by  adding  greater  flexibility  to  their  supply  chain   through  the  use  of  multiple  suppliers.  Organizations  can  better  manage  their  global  supply  chain  by   collaborating  with  suppliers.     2. What  are  the  trade-­‐offs  when  developing  a  supply  chain  strategy?  (p.  318)   The  trade-­‐offs  when  developing  a  supply  chain  strategy  are  efficiency  and  effectiveness.  A  company  that  uses   a  low-­‐cost  provider  competitive  strategy  would  probably  focus  more  on  supply  chain  efficiency,  while  a   company  using  a  superior  customer  service  differentiation  strategy  would  probably  focus  on  supply  chain   effectiveness.     3. How  are  emerging  technologies  such  as  radio  frequency  identification  improving  the  way  in  which  organizations   manage  their  supply  chains?  (p.  318)   Standard  bar  codes  are  starting  to  be  replaced  by  RFID  tags,  which  can  be  used  on  a  variety  of  products.  RFID   tags  and  other  emerging  technologies  can  help  organizations  to  manage  their  supplies  and  to  keep  track  of   the  amount  of  supplies  they  have  in  stock.     4. What’s  the  tagline  for  a  Web  2.0  company?  (p.  323)   “Let  them  come,  and  they  will  build  it.”   5. From  the  perspective  of  both  McDonald’s  and  its  customers,  what  are  the  pros  and  cons  of  outsourcing  drive-­‐ through  ordering?  (p.  326)   A  pro  for  McDonald’s  to  outsource  drive-­‐through  ordering  is  that  it  is  financially  beneficial  to  do  so  and  the   company  would  not  have  to  struggle  to  find  someone  to  fill  the  position  for  taking  drive-­‐through  orders.  A  pro   for  the  customer  would  be  if  McDonald’s  was  able  to  decrease  the  cost  of  their  food  and  beverages  as  a  result   of  lower  labor  costs.  A  con  for  both  the  company  and  the  customer  would  be  that  it  would  be  more  difficult  to   correct  orders  that  were  taken  incorrectly  and  the  customer  would  have  to  wait  while  the  employees  at   McDonald’s  worked  out  the  issue.