1. In the first video (WSJ documentary), the people in the video are experiencing the same disappointment we all found at some point over the past two years: we couldn’t buy something we wanted when we wanted to buy it. Based on your understanding of inventory carrying costs and distribution channels, describe a situation you had when you couldn’t buy something you wanted when you wanted it and explain the decisions the manufacturer made that led up to your frustrating experience.

Logistics Management
Exam 2 Questions
Dr. Jones

1. Your answers should be reflective and focus on the big picture. I am looking for some indication that you understand the question, the issues involved, and how to apply the concept to the real world. At most, you should write three pages for each question. I’m not judging your grammar – outline with detailed bullet points is a perfectly acceptable way to get your ideas across.
2. You will have 3 hours to complete the entire exam including the multiple choice section found on Connect
3. The multiple choice section is worth 20 points. Points for the essays are broken out below.
4. Please watch these two short videos before starting to write the essays (hint – you might want to read the questions first so you know what you’re listening for in the videos):
a. https://www.youtube.com/watch?v=1KtTAb9Tl6E
b. https://www.youtube.com/watch?v=Rvd3iO4ZayI

1. In the first video (WSJ documentary), the people in the video are experiencing the same disappointment we all found at some point over the past two years: we couldn’t buy something we wanted when we wanted to buy it. Based on your understanding of inventory carrying costs and distribution channels, describe a situation you had when you couldn’t buy something you wanted when you wanted it and explain the decisions the manufacturer made that led up to your frustrating experience.
a. A complete answer will include analysis of inventory carrying cost components to explain why pre-COVID inventories were what they were for your item and what you would believe was the pre-COVID and post-COVID distribution channel for your item.
b. This question is for you to apply the content covered in the chapter and use your best critical thinking skills to evaluate what likely happened. I’m not looking for you to research the company or the actual supply chain of your item – use what you know about weight-value decisions, shipping, and inventory management to make an educated hypothesis about the choices your manufacturer likely made.
c. This question is worth 50 points – looking for a well-developed response from you in this one. Again, bullet points with complete thoughts are ok, but your answer should demonstrate your understanding of the class content and show your ability to apply it to a scenario

2. In the second video (Goldman Sachs), Mr. Alliger discusses the outlook for the holidays and provides some positive news about key supply chain metrics. However, we’ve heard concerns about extremely shortages of diesel fuel in the past couple of weeks. For this question, assume the diesel shortage continues to drive up fuel prices and even contribute to further delays in the supply chain.
a. Describe the impact to other distribution channels if trucking becomes increasingly expensive or difficult to obtain.
b. If you were a Supply Chain manager for a manufacturing company who relied heavily on trucking to deliver your products to your customers, what alternatives might you pursue?
c. Pick one of the metrics Mr. Alliger discussed in his video and explain the impact you’d expect to see across the country if others selected the same response as you recommended in part b.
d. This question is worth 30 points.