What is known as a legal agreement between two or more companies to perform or not perform specific acts or services?
Contract
What document represents the terms of performance for organic support between the organization and the supplier?
Service Level Agreement (SLA)
What type of contract is agreed for one year?
Annualized contract
What is known as an agreement where each party makes a promise to each other?
Bilateral contract
What type of contract governs the sale of goods in the international environment?
Contracts for the international sale of goods (CISG)
What type of contract describes all facets of business between two trading partners?
Trading partner agreement
What is a type of purchasing contract in which the price of goods or services is tied to the cost of key inputs?
Cost-based contract
Which pricing method involves the buyer agreeing to pay the seller all the acceptable costs of the product or service up to a maximum cost, plus a fixed fee?
Cost-plus contract
A contract in which the seller is paid for costs specified as allowable in the contract plus a stipulated fixed fee it’s known as?
Cost-plus-fixed-fee contract
A contract in which the seller is paid for cost specified as allowable in the contract plus a profit, provided certain provisions are met is known as?
Cost-plus-incentive-fee contract
Which contract involves the seller being paid a set price without regard to costs?
Firm fixed-price contract
Which type of contract minimizes the risk for the customer because the supplier absorbs all cost overruns?
Firm fixed-price contracts
Which kind of contract involves the buyer and seller agreeing to a target cost and maximum price?
Incentive contract
What is known as the provisions and agreements of a contract?
Terms and conditions
What is known as the conditions surrounding payment for a sale, providing a time frame in which a customer can pay without late penalties or additional fees?
Payment Terms
In established mutual relationships, what payment terms are commonly found?
A trade credit or open account
What is trade credit?
It is the sale of goods or services in which payment is not due right away.
What is the standard method of financing international trade?
L/C (Letters of Credit)
What is known as the risk introduced by flexible exchange rates when operating in the global environment?
Operating exposure
What is known as the purchasers authorization used to formalize a purchase transaction with a supplier?
Purchase order
What is known as a long term commitment to a supplier for material?
Blanket purchase order
What is a temporary record of an intended payment?
Accrual
What is known as the rush or chase of production in less than the normal lead time?
Expedite
In many cases, expediting is caused by what?
Inventory shortages
-
Module 2.1 - Supply Chain Design and Optimization53
-
Module 2.2 - End-to-End Connectivity and Visibility143
-
Module 2.3 - Supply Chain Metrics and Reports69
-
Module 3.1 - Aligning Sourcing to Demand22
-
Module 3.2 - Category Strategy for Sourcing8
-
Module 3.3 - Product Design17
-
Module 3.4 - Supplier Selection, Contracting, and Use31
-
Module 4.1 - Planning Operations33
-
Module 4.2 - Capacity and Production Activity Control26
-
Module 4.3 - Inventory66
-
Module 4.4 - Performance and Continuous Improvement53
-
Module 5.1 - Logistics and Distribution9
-
Module 5.2 - Distribution Services and Transportation Choices12
-
Module 5.3 - Trade Considerations28
-
Module 5.4 - Reverse Flow11
-
Module 6.1 - Customer Relationships1
