103th, 104th ,105th & 106th Batches Admission Continues for Logistics & Supply Chain Management.

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1. What Are The Responsibilities Of A Logistician?

Answer: Primary role of a logistician is to

Manage supply chain 

Transportation and storage of material

Transportation management

2. What Is The Different Position A Person Can Work In Logistic Industry?

Answer: A person can work under various position

Logistic supervisor

Logistic Director

Logistic associate

Logistic engineer

Logistic coordinator

Logistic specialist

Logistic analyst

Warehouse Management Interview Questions

3. Explain What Is Asn (advance Shipping Notice)?

Answer: It is a notice that is sent to the customer about the detailed shipment information in advance of delivery. It may also include carrier and shipment related information like time of shipment and expected time of arrival.

4. Explain What Is Anti-dumping Duty?

Answer: Anti-dumping duty is an import duty levied in cases where imported goods are priced at less than the normal price in the exporter’s domestic market and cause material loss to the domestic industry of the importing country.

Supply Chain Management Tutorial

5. Explain What Is Ltl (less Than Truckload)?

Answer: LTL (Less than Truckload) shipment is a contract between the shipper and transport owner. According to the contract, instead of the entire truck, the shipment are priced according to the weight of the freight and mileage within designated lanes. Supply Chain Management Interview Questions

6. Explain The Term Deadweight Tonnage?

Answer: Deadweight tonnage is the difference between the laden and unlade weight of the ship. In other words, it is the weight of everything that ship carries except the ship itself.

7. Explain How To Organize Storage Area For Bulk Items?

Answer: Look storage place which has the facility of single, double or multiple depth locations Bulk storage in vertical or straight direction: It is the most common method of organizing the container, it is organized in a vertical direction piling the container over each other.

Bulk storage at angle: It is one of the solutions that can be applied in a situation when there is a limited place to accommodate containers. But it is applicable in special cases only, depending upon what material it carries

Inventory Management Interview Questions

8. Explain What Is Cross Docking?

Answer: Cross docking is a process of unloading materials from an incoming semi-truck and loading directly into out-bounds trucks or trailers.It reduces handling costs, operating costs and the storage of inventory.

9. Explain What Is Teu?

Answer: TEU stands for Twenty foot Equivalent Unit. It is a method of calculating vessel load or capacity, in units of containers that are twenty feel long. For example, a 40ft long container measure 2TEUs.

10. What Is The Advice Of Shipment And Advising Bank?

Answer: Advice of shipment: It is a notice sent to a foreign buyer or local trader informing them that the shipment has processed forward and carried information about packing, routing, etc. A copy of the invoice is often sent with it and if recommended a copy of landing also attached along with that.

Advising Bank: Advising bank is a bank operating in the seller’s country that handles letters of credit in behalf of a foreign bank

11. Explain What Is Affreightment?

Answer: Affreightment is a contract between ship owner and merchant, where ship owner provides or rented the space in the ship to the merchant for an agreed amount and for a specific period. In this contract, merchant is liable for the payment whether or not the ship is ready for the shipment.

Log Shipping Interview Questions

12. What Does A Bill Of Lading Include?

Answer: It includes these Details

Name the complete address of the shippers and receivers’

Special account numbers or PO used between businesses for order tracking

Instruction for the carrier for secure delivery

Date of the shipment

Number of shipping units

Types of packaging that includes cartons, pallets, skids and drums

Description about the shipped items (common name & material of manufacture)

Declared value of the goods being shipped

Note included if there is any hazardous substance in it

Exact weight of the shipments – for multiple commodities, weight for each commodity is mentioned separately

Freight classification of the items shipped, according to NMFC (National Motor freight classification)

13. Explain What Is Blanket Way Bill?

Answer: A way bill which covers two or more consignment of freight is referred as blanket way bill.

14. What Are The Activities Performed At Operational Level In Logistics’?

Answer: Various activities at operational level includes
Good receipts checking

Bulk storage

Order picking

Stock replenishment

Order marshalling

Load SchedulingReturns

Availability of Personnel

Update of stock

15. Mention What Is Freight Class Based On?


Freight class is based on four factors


Weight per cubic foot

Freight Storability:

Width and length based on carrier mode rules Ease of handling:

Evaluation of the effort required in transporting


It includes liability to damage, breakability and perishability, freight price per pound and susceptibility of theft

16. Explain What Is Declared The Value For Carriage?

Answer: Declared value for carriage is the value of the goods, declared by the shipper on the bill of lading, to determine the limit of the carrier’s liability or a freight rate.

17. Explain What Is Export Declaration?

Answer: Export declaration is a government document that defines the goods to be supplied out of the country. This declaration should be filed by exporter to the U.S government.

18. Explain What Is Documents Against Acceptance?

Answer: A documents against acceptance are an arrangement or provision, where exporter instructs a bank to hand over shipping and title documents to the importer only if the importer agrees the accompanying bill of exchange or draft by signing it. This provision ensures that the buyer is legally bound to pay the full price to the exporter for the shipments, before ownership is transferred.

19.Explain What Is The Difference Between Document Against Acceptance And Document Against Payment?


Document against payment:

The document remains with bank and importers have to pay the exporter before they release the  documents. In this payment is immediate, and document is released quickly

Document against acceptance

 In this importer gives 30-45 days to bank to deduct the amount and then release the documents. In this provision, there is much risk, and if there is no sufficient balance in the account then, the process will get delayed.

20. Explain What Is Carton Clamps?

Answer: It is the versatile attachment used for handling and transporting multiple un palletized products such as furniture, cartoons etc.

21. What Is Sku Number?

Answer: Stock Keeping Unit also referred as SKU number is a unique code used to identify particular line items.

22. What Are Aps, Asn And Asrs?



It stands for Advance Planning and Scheduling


It stands for Advanced Shipment Notifications


Automated Storage and Retrieval Systems

23. What Is Compliance Labels?

Answer: Compliance label are used as shipping labels, carton labels, pallet labels and they usually contain bar codes. It is used for the identification of goods delivered.

24. Explain What Is Consignment Inventory?

Answer: Consignment inventory is in the possession of the customer but still owned by the supplier.  It means you will pay the supplier only when their goods are sold.

25. Explain What Is Chargeback?

Answer: When any shipment that does not meet the customers decided terms and conditions, a financial penalty is charged against the supplier by customer.  This charge is referred as charge back.  For example, lack of proper packaging or labelling.

26.Explain What Is Cycle Time?

Answer: Cycle time is time consumed to get and order entry to the shipping dock.

27. Explain What Is Bonded Warehouse?

Answer: Bonded warehouse is a dedicated portion of a facility where imported goods are stored before the customs duties or taxes are being paid.

28. Explain What Is Blind Shipment And Bread Bulk?

Answer: When the source of the supplier is hidden from the customer, such shipment is referred as a blind shipment.

Bread bulk is referred to overseas shipments, where the cargo being shipped consists of smaller units like crates, bales, cartons and so on.

29. What Are The Major Transportation Issues In Warehousing?

Answer: Major transport issues in warehousing are



Tracking and communications

Warehouse Safety

30. Explain What Is Batch Picking?

Answer: The technique of transporting inventory which are grouped into small batches at one go is known as batch picking.

31. Explain What Is Wave Picking?

Answer: Wave picking is a technique of assigning orders into groups and release them together, so as to allow several activities to run parallel and complete the task.

32. Explain What Is The Difference Between Logistics And Transport?


Logistics: Logistics is referred as the procedure of managing goods, resources and information from the source to the consumers in a manner that it fits the requirements of both parties.

Transportation: Transport the movement to the goods from one point to other. It considered part of logistics.

33. In Inventory Management What Do You Mean By Allocation?

Answer: It is a demand which is created by the Sales Order or Work Orders next to a particular team.

34. Explain What Is A Capacity Requirement Planning?

Answer: It is a process for determining the quantity of machine and manual labor resources necessary to assemble a production.

35. Explain What Is Activity Based Costing?

Answer: It is a method which helps in the breakdown of the costs into specific activities in order to maintenance of accuracy in the distribution of costs in product costing.

36.Explain What Is The Meaning Of Triage?

Answer: The sorting of products or goods based on their condition or quality is referred as Triage.  Some of the goods needs to be repaired and sent back, others have to be sold off as used or defective goods.

37.Explain What Is The Meaning Of Triage?

Answer: Reverse Logistics is the collection of all processes that come into play for goods that move in the reverse directions which means transportation of goods customer to the business.

38.What Are The Main Supply Chain Challenges Companies Face Today?


 Challenges that companies face today is

Ignoring the continued growth of e-commerce as a channel in the industrial sector

No attention to the potential risk like volatile transportation costs

Over expectation that supply chain management technologies will fix everything

Over-reliance on past performance to predict future sales

Increase complexity added to supply chain operations with implementation of unnecessary technologies

39.What Are The Areas Should Be Focused More In Order To Improve Warehouse Transportation?


 Delivery frequency

Turnaround Times

Journey Times

Fixed Routing

Unification of product

Performance standard

Vehicle fill


Vehicle and operational records


40.Explain What Is Wts (warehouse Tracking System)? How Does It Work?

Answer: WTS or Warehouse Tracking System is a software application which is specifically designed for the warehouse industry. It uses the system of barcode labels which allows you to track product movement, audits and shipments easily.  It enables you to identify each piece of stock by a unique serial number.

Inventory Notes

1. What is inventory control?

Answer: Inventory control is the process of reducing inventory costs while remaining responsive to customer demands. By this definition a store would want to lower its acquisition, carrying ordering and stock-out costs to their lowest possible levels. However a store would need to have enough inventories to meet any needs of its customers.

2. What does inventory affect in a store?

Answer:  Inventory levels and their values can affect the income of the store, the amount of taxes paid, and the total stocking cost.

3. How can the value of inventory be determined?

Answer: The value can be found using four methods in inventory control. The first is the specific cost in which each item’s cost is added together for the inventory’s value. A second method is to use the weighted average of the costs for a period to determine value. A third method is first in, first out. In this method value is measured using the latest costs of goods while working towards the beginning of the period until all goods in inventory are valued. The final method is last in, first out. In this method the costs of gods at the beginning of the period are used to determine the inventory’s value much like FIFO

4. What are the important considerations in inventory control?

Answer: For inventory control to work at its best a store must consider the costs of acquisition, carrying, ordering, and stock-out. the store must also look at its reordering system, its budgeting for inventory, insurance and forecasted demand.

5. What are the types of reordering systems that can be used in inventory control?

Answer: There are several types of reordering systems, in this module we discussed three. The fixed order quantity uses fixed quantities of goods ordered at various order points to replenish inventory. The fixed order period use fixed times of reorder with various order quantities to replenish inventory to preset levels. The final system, just in time uses a constant flow of goods to match the level of demand.

6. What is the importance of EOQ?

Answer: The EOQ level is the point at which stocking costs are at their lowest point for a given item.

7. Does the model always work?

Answer:  No, the model only works for those cases that meet its assumptions.

8. What makes EOQ work for inventory control?

Answer: The EOQ works if its four assumptions match the case it is used on. The assumptions are: A. Annual demand, carrying costs and ordering costs can be estimated. B. Inventory level is divided by 2, no safety stock, goods used uniformly and are gone by next order. C. Stock-out, customer responsiveness and other costs not considered. D. No quantity discounts.

9. What is the EOQ formula?

Answer:The EOQ formula is the square root of 2 times demand times order completion cost divided by carrying cost. The mathematical formula is square root of 2DS/C.

10. How do you determine the numbers to use in the EOQ formula?

Answer: To determine which numbers to use you must look for the following items. The number of items per order is the quantity(Q). The number of items that can be sold is D. D may be the forecast demand for that particular good. The cost of placing the order is used for S. The final number to find is the carrying cost(C) which is the cost of the item to be held in inventory.

11. If I get a discount will it effect the EOQ model?

Answer: Yes, a discount will cause the basic EOQ model to fail. To use a discount in determine a EOQ you must use the EOQ model with quantity discounts.

12. What if there is no savings or the models produce even results?

Answer: If there is no savings a error in the calculations may have occurred or the model does not fit your case. For instances were the total stocking costs are even you may use either order quantity.

12. What if there is no savings or the models produce even results?

Answer: If there is no savings a error in the calculations may have occurred or the model does not fit your case. For instances were the total stocking costs are even you may use either order quantity.

13. If inventory controls are followed, what can I expect?

Answer: By following your inventory policy you should be able to realize important advantages in inventory control. The first is reduced costs for inventories, along with reduced amounts of inventory. Theft and shrinkage should also be reduced if inventory policy is followed. The final benefit will be increased profits for the store.

14. When should a physical inventory be taken?

Answer: A inventory should be taken at least once a year. If items are perishable, seasonal or highly demanded a inventory should be taken more often.

15. Can forecasting help in controlling inventory?

Answer: Yes, through the use of forecasts inventory levels can be set to meet the demands while keeping levels as low as possible.

16. What types of forecasting can I do?

Answer: There are two types of forecasting qualitative and quantitative. Qualitative uses personal opinions to determine forecasts. Quantitative uses numerical data and statistical modeling to determine forecasts.

17. What makes a good forecasting model?

Answer:  A good forecast model will have reasonable costs. the accuracy of its forecasts will allow good decision making. The model will have ample data available for its use and a relevant time span. The model finally will have a low interference level.

18. What is interference?

Answer:  Interference is a factor in forecasting demand. Interference is made up of all the factors that a forecaster has no control over. Factors that may be considered interference include natural disasters, unusual customer demands, or rare events in the business period.

19. What is a order point?

Answer:  A order point is a point in time at which a order is placed to replenish goods in inventory.

20. What is an order quantity?

Answer:  An order quantity is the amount of goods that an order requests be shipped to the store.

21. What is lead time? 

Answer:  Lead time is the period of time from which a order for goods is placed until it is received by the store. Lead time is an important consideration for determining when orders should be placed.

22. Can a computer help in forecasting future demand?

Answer: Yes, In the market today there are many computer software packages that can compute forecasted demand for goods held in inventory.

23. What is demand?

Answer: Demand is the quantity that customers are willing to buy. Demand can be found through forecasting and is needed to find the EOQ level.

24. What is forecasting?

Answer: Forecasting is the process of estimating the future demand of a product.

25. What should be recorded in a physical count of inventory?

Answer: When conducting a physical inventory the classification, location and number in stock of a good should be recorded.

26. When should reorders be placed?

Answer: Times for reordering goods vary dependent on the control system you use and its lead time. In fixed order quantities reorders should be placed when the safety stock is reached. In fixed period systems the reordering is done at set time periods. In just in time systems reordering is based on matching the demand with supply. For just in time a close watch on inventory levels is needed so that reorders are placed before goods are out of stock.

27. What is total stocking cost?

Answer: Total stocking cost is the cost to the store of holding a good in its inventory. The stocking cost consists of the carrying cost times half the quantity in inventory and the order completion cost times demand divided by the quantity. In its mathematical form the cost is represented by TSC=(Q/2)C + (D/Q)S.

28. What do the letters in the EOQ and stocking cost formula stand for?

Answer: The letters in the formulas represent the quantity ordered(Q), the carrying cost of a unit(C), the demand for the units(D) and the cost of completing a order(S).

29. Do I need to recompute stocking costs for the EOQ level?

Answer: Yes, in order to compare stock costs when using the EOQ model you must compute the costs for both the original level and the EOQ level of order quantities

30. What does EOQ stand for?

Answer:  EOQ stands for Economic Order Quantity.