World class procurement requires excellent -------------------- relationships. Your answer Global sourcing is always superior to local sourcing True False Following up on a purchase order to make sure that the supplier is going to perform as it has confirmed through the purchase order confirmation is known as ------------------ Your answer Outsourcing is a great idea when competencies are strategic and world class. True False ----------------- products are hard to source and can only be obtained from one supplier. Your answer Purchasing for organizations is all about ------------- decision-making Your answer --------------- market is rather inelastic Your answer The full form of FOB is Free Alongside Ship True False During a purchasing procedure, it is useful to draw up a comparative table of costs. True False -------------------- can be demonstrated before -------------- of purchase. Your answer Although CUMC anticipated over -------------- SKUs, it did not actually know the baseline-------------------- levels Your answer Increased dependence on suppliers is one of the disadvantages of outsourcing True False -------------- of risk related to purchase affect the ------------- process Your answer Outsourcing and Insourcing enable companies to tap into and leverage global knowledge base. True False A payment term of 'Net 30' means that the payment has to be made within the 30th day after the purchase order is issued. True False In an outsourcing process, managing relationship falls under the ------------------- phase. Your answer Overspecification is quite useful in purchasing True False Service is an activity or --------------- Your answer Large Fries Principle is one of the reasons for the existence of cost saving potential. True False Market research is a part of the purchasing management process True False Energy is an example of category tree. True False Risk management is an example of --------------- services Your answer Technical risk is related to the extent to which the provider is able to provide the desired ---------------- and ---------------------- Your answer One attribute of the open account method of trade is that it is very complex. True False