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An employee who has been competent and reliable in the past suddenly exhibits erratic behavior and makes mistakes which could have a serious impact on the department as well as the company. The department supervisor learns that the employee is trying to cope with extraordinary family challenges. Given this situation, which of the following is the BEST course of action for the supervisor to take?

• A. Refer the employee to the company's employee assistance program
• B. Retrain the employee in any areas of weak performance
• C. Document performance problems and begin the termination process
• D. Remind the employee of the firm's expectations and consequences of failure

A supply management department's resources have been stretched thin, and there are few opportunities for staff growth. To improve this situation, the supply manager plans to implement an e-sourcing system, which will streamline routine procurements and allow more time for supply professionals to concentrate on value-added tasks. The supply manager wants to introduce the system in a way that will help motivate the department staff. Which of the following will MOST likely bring about this result?

• A. A reduction in procurement process costs
• B. A greater flexibility in department staffing
• C. A shift from a transactional to a strategic approach
• D. A lower total cost of ownership

A supply manager issues a purchase order to buy battery packs over the next three years. The battery packs will be used for multiple applications within the company. The first shipment is delivered in accordance with the quality standards and the delivery schedule outlined in the purchase order. Shortly thereafter, the supply manager is informed by an end user that the batteries from a second shipment are missing a component and are of no value. The supply manager immediately notifies the supplier it is in material breach and terminates the purchase order. The supply manager then informs the user departments of this decision.
Which of the following BEST describes what the supply manager did wrong (if anything) in this scenario?

• A. The supply manager acted properly.
• B. The supply manager failed to research which user departments would be impacted by the decision to terminate the purchase order with the supplier.
• C. The supply manager failed to validate that the batteries were defective.
• D. The supply manager failed to communicate with the user departments to assess the impact of the problem before terminating the purchase order.

A supply management department is focused on reducing short- and long-term costs. However, the reporting of these cost reductions has been inconsistent. Some are reported as cost savings but not cost avoidance, while others are not documented at all. In preparing performance evaluation measures for the coming year, how can the department BEST address these concerns?

• A. Discuss balanced scorecards with the supply management team
• B. Set specific targets as part of each team member's goals
• C. Assign more weight to cost avoidance
• D. Institute a reward-sharing program for cost savings

After analyzing its relationships with other departments, supply management decides to revise its stocking levels and order forecasting in order to streamline processes and reduce costs. Which of the following is the BEST way for the supply management organization to introduce these changes to the departments involved?

• A. Demonstrate the long-term savings to be realized
• B. Meet with internal customers to address any changes that might impact their operations
• C. Obtain endorsements from other departments
• D. Use best-in-class comparisons to show how the new policies will advance the organization