Global Supply Chain Logistics Flashcards
7 cards from real CLA practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Global Supply Chain Logistics flashcards as text
What is the purpose of the C-TPAT (Customs-Trade Partnership Against Terrorism) program?
Answer: To strengthen international supply chain security by partnering with trade community members
C-TPAT is a voluntary US Customs program where businesses implement supply chain security measures in exchange for reduced border inspections and other trade benefits.
Which metric best measures the end-to-end efficiency of a global supply chain?
Answer: Cash-to-cash cycle time
Cash-to-cash cycle time measures the time between paying for raw materials and receiving payment from customers, reflecting overall supply chain efficiency.
What is 'port congestion' and how does it affect global supply chains?
Answer: A backup of vessels and cargo at ports causing shipment delays and increased costs
Port congestion occurs when vessel and cargo volumes exceed port handling capacity, causing vessels to wait at anchor, increasing transit times and supply chain costs.
In global supply chain management, what is the significance of 'lead time variability'?
Answer: Unpredictable lead times force companies to carry more safety stock, increasing inventory costs
Lead time variability makes demand planning difficult, requiring companies to maintain higher safety stock buffers to prevent stockouts, which increases carrying costs.
What is the purpose of an Importer of Record (IOR) in international trade?
Answer: To assume legal responsibility for ensuring goods comply with all import regulations and duties are paid
The Importer of Record is legally responsible for ensuring imported goods comply with local laws and regulations and that all applicable duties and taxes are paid.
Which sustainability metric is increasingly tracked in global supply chains?
Answer: Scope 3 carbon emissions from upstream suppliers and downstream distribution
Scope 3 emissions encompass all indirect emissions across a company's value chain including supplier manufacturing and product transportation, representing the largest carbon footprint category.
What is 'trade finance' and why is it critical for global supply chains?
Answer: Financial instruments and products that facilitate international trade by bridging the gap between payment and delivery
Trade finance products (like letters of credit, factoring, and supply chain finance) provide working capital and payment security to bridge the timing gap between shipment and payment.