MODULE 2 CPPS STUDY GUIDE TEST
QUESTIONS WITH 100% CORRECTLY
SOLVED SOLUTIONS!!!
What are the core elements, which are based on several basic business concepts and
control processes, which need to be in place for an effective utilization management
program? - Answer-- A method of ensuring assets are utilized for the purpose they were
acquired.
- A mechanism to ensure the level of use assigned to each asset is maximized during
the life of the asset.
- A method of effectively communicating the availability of an asset for shared use or
transfer and facilitating its relocation to support the new need.
- An effective process for periodic utilization assessment or review
What must the property manager ensure asset do? - Answer-Contribute to an
organization's profitability, or in the case of a non-profit or not-for-profit organization, its
capability.
What must all of the property manager's utilization work be directed to? - Answer-
Toward maintaining and improving the organization operation and profitability with the
assets and material it has.
What is Property Manager's role and responsibility? - Answer-To establish, monitor,
report the results of, and change the process so that it clearly provided value to the
organization.
Because management is concerned with meeting the organization's business objectives
in a cost-effective manner, what is the Property Managers' focus? - Answer-The
utilization program's monetary benefits
What should property professional be aware that might warrant their attention? -
Answer-Anything going on that relates to material issues and the management of assets
Within the organizations policies and procedures, what two things must be identified? -
Answer-1. Appropriate use of assets
2. Who is authorized to use them
,What can the use of assets for a purpose not identified in the organization's plan
create? - Answer-- Shortages
- Prevent the organization from achieving critical objectives
What should include the authorization request, at a minimum? - Answer-- A list of the
property and critical attributes
- Current title or ownership
- The location of the property
- The accountable department or organization
- The department or organization for which use is requested
- The purpose for which the property is needed
and expected benefits of such use
- The period of requested use, starting and end dates
What cannot be longer than the period-of-performance of the the owning department's
project? - Answer-The period the equipment used on a borrowing agreement
What is period-of-performance? - Answer-It is a contractually specific period for
accomplishing a task or project....typically defined as "start" and "stop" dates
What must a Property Manager do to ensure items are being used for the purpose for
which they were acquired? - Answer-- Conduct periodic reviews
- Report inconsistencies to management along with associated impact and/or risk
What is created when using material or assets provided by another entity for an
authorized purpose? - Answer-- Cost overruns in the program for which they were
provided
- a liability for the organization
What must the Property Manager ensure is in place when relating to the control of
property? - Answer-Policies and procedures which support the business objectives of
the organization
What are the two important concepts which must be conveyed to workforce in the
procedures to make management objectives clear? - Answer-1. Property and material
must be used for the purpose for which they were acquired and must be declared
excess when the original requirement has been met.
,2. Complete, accurate documentation must be maintained to ensure the reporting
process is not compromised
What does the term "excess" when used to describe property? - Answer-- Property that
is no longer needed for the purpose or program for which it was acquired
- Presumed to be in good usable condition available for transfer
What does an effective reutilization program identify? - Answer-It identifies items that
are excess, idle, or no longer needed by one function or department within an
organization and manages the transfer of the assets to a location that has a known
requirement.
Why is reutilization important to an organization? - Answer-If done right, it increases the
ability to maximize the return on assets
To have an effective reutilization program that works, what must the property control
system accurately identify? - Answer-Excess, obsolete items which may be still fully
adequate for certain purposes as well property that is no longer required
What is one way to monitor property for potential candidates for reutilization in a
property record with a future requirement, but not needed at the present time? -
Answer-"Standby"
Reutilization is the first step in what process? - Answer-Disposition Process
How does excess property differ from property classified as "Standby"? - Answer-
Excess property is property no longer needed in the performance of a contract or
function which it was required and can be used in the acquisition to satisfy other
outstanding requirements thus maximizing utilization and saving money for the
organization. A double win!!!
What is screening? - Answer-It is the process of reviewing future work due in and
proposals that may have requirements for items which are candidates for reutilization
What is internal screening? - Answer-It is the process of comparing property on hand
against a known or anticipated requirement
- Internal screening would be screening within the company or organization having
ownership of the property.
What are the key points (objectives) of reutilization? - Answer-- Reduce or eliminate
unnecessary expenditures for duplicate assets
- Reduce costs in the areas of storage, security, and physical inventory
, - Reduce the risk of unauthorized utilization
- Stimulate the identification and prompt reporting of excess personal property
- Transfer excess property to fill authorized program requirements that might otherwise
be limited by inadequate funding
What is the most effective way to promote a reutilization program? - Answer-To provide
incentives so there are benefits to the end user for declaring items excess and the
prospective owner for obtaining/accepting such item
What is the primary objectives of an effective utilization management program? -
Answer-1. To maximize the use of an asset throughout its useful life
2. To make it available for reutilization in a timely manner should it become idel
What must a utilization management program provide a means to? - Answer-- Ensure
assets are used for the purpose for which they were acquired
- Authorize and track utilization for any different purpose
- Maximize the degree of use of each asset
- Identify when an asset is idle and available for shared use or transfer
- Communicate information to potential users
- Facilitate necessary relocation
- Periodically review and assess the utilization of each asset
What does an effective reutilization program provide to an organization? - Answer--
Immediate and significant benefits to the organization
- Enhanced visibility
- Acceptance for the property function
What should all proposals to management include? - Answer-Clear, concise statement
of facts, alternatives, and their impact on the organization
What is consumption? - Answer-1. The process of incorporation material into an end
item or otherwise using it in the performance of a documented business objective
2. The measurement of actual use of consumable items against planned use
QUESTIONS WITH 100% CORRECTLY
SOLVED SOLUTIONS!!!
What are the core elements, which are based on several basic business concepts and
control processes, which need to be in place for an effective utilization management
program? - Answer-- A method of ensuring assets are utilized for the purpose they were
acquired.
- A mechanism to ensure the level of use assigned to each asset is maximized during
the life of the asset.
- A method of effectively communicating the availability of an asset for shared use or
transfer and facilitating its relocation to support the new need.
- An effective process for periodic utilization assessment or review
What must the property manager ensure asset do? - Answer-Contribute to an
organization's profitability, or in the case of a non-profit or not-for-profit organization, its
capability.
What must all of the property manager's utilization work be directed to? - Answer-
Toward maintaining and improving the organization operation and profitability with the
assets and material it has.
What is Property Manager's role and responsibility? - Answer-To establish, monitor,
report the results of, and change the process so that it clearly provided value to the
organization.
Because management is concerned with meeting the organization's business objectives
in a cost-effective manner, what is the Property Managers' focus? - Answer-The
utilization program's monetary benefits
What should property professional be aware that might warrant their attention? -
Answer-Anything going on that relates to material issues and the management of assets
Within the organizations policies and procedures, what two things must be identified? -
Answer-1. Appropriate use of assets
2. Who is authorized to use them
,What can the use of assets for a purpose not identified in the organization's plan
create? - Answer-- Shortages
- Prevent the organization from achieving critical objectives
What should include the authorization request, at a minimum? - Answer-- A list of the
property and critical attributes
- Current title or ownership
- The location of the property
- The accountable department or organization
- The department or organization for which use is requested
- The purpose for which the property is needed
and expected benefits of such use
- The period of requested use, starting and end dates
What cannot be longer than the period-of-performance of the the owning department's
project? - Answer-The period the equipment used on a borrowing agreement
What is period-of-performance? - Answer-It is a contractually specific period for
accomplishing a task or project....typically defined as "start" and "stop" dates
What must a Property Manager do to ensure items are being used for the purpose for
which they were acquired? - Answer-- Conduct periodic reviews
- Report inconsistencies to management along with associated impact and/or risk
What is created when using material or assets provided by another entity for an
authorized purpose? - Answer-- Cost overruns in the program for which they were
provided
- a liability for the organization
What must the Property Manager ensure is in place when relating to the control of
property? - Answer-Policies and procedures which support the business objectives of
the organization
What are the two important concepts which must be conveyed to workforce in the
procedures to make management objectives clear? - Answer-1. Property and material
must be used for the purpose for which they were acquired and must be declared
excess when the original requirement has been met.
,2. Complete, accurate documentation must be maintained to ensure the reporting
process is not compromised
What does the term "excess" when used to describe property? - Answer-- Property that
is no longer needed for the purpose or program for which it was acquired
- Presumed to be in good usable condition available for transfer
What does an effective reutilization program identify? - Answer-It identifies items that
are excess, idle, or no longer needed by one function or department within an
organization and manages the transfer of the assets to a location that has a known
requirement.
Why is reutilization important to an organization? - Answer-If done right, it increases the
ability to maximize the return on assets
To have an effective reutilization program that works, what must the property control
system accurately identify? - Answer-Excess, obsolete items which may be still fully
adequate for certain purposes as well property that is no longer required
What is one way to monitor property for potential candidates for reutilization in a
property record with a future requirement, but not needed at the present time? -
Answer-"Standby"
Reutilization is the first step in what process? - Answer-Disposition Process
How does excess property differ from property classified as "Standby"? - Answer-
Excess property is property no longer needed in the performance of a contract or
function which it was required and can be used in the acquisition to satisfy other
outstanding requirements thus maximizing utilization and saving money for the
organization. A double win!!!
What is screening? - Answer-It is the process of reviewing future work due in and
proposals that may have requirements for items which are candidates for reutilization
What is internal screening? - Answer-It is the process of comparing property on hand
against a known or anticipated requirement
- Internal screening would be screening within the company or organization having
ownership of the property.
What are the key points (objectives) of reutilization? - Answer-- Reduce or eliminate
unnecessary expenditures for duplicate assets
- Reduce costs in the areas of storage, security, and physical inventory
, - Reduce the risk of unauthorized utilization
- Stimulate the identification and prompt reporting of excess personal property
- Transfer excess property to fill authorized program requirements that might otherwise
be limited by inadequate funding
What is the most effective way to promote a reutilization program? - Answer-To provide
incentives so there are benefits to the end user for declaring items excess and the
prospective owner for obtaining/accepting such item
What is the primary objectives of an effective utilization management program? -
Answer-1. To maximize the use of an asset throughout its useful life
2. To make it available for reutilization in a timely manner should it become idel
What must a utilization management program provide a means to? - Answer-- Ensure
assets are used for the purpose for which they were acquired
- Authorize and track utilization for any different purpose
- Maximize the degree of use of each asset
- Identify when an asset is idle and available for shared use or transfer
- Communicate information to potential users
- Facilitate necessary relocation
- Periodically review and assess the utilization of each asset
What does an effective reutilization program provide to an organization? - Answer--
Immediate and significant benefits to the organization
- Enhanced visibility
- Acceptance for the property function
What should all proposals to management include? - Answer-Clear, concise statement
of facts, alternatives, and their impact on the organization
What is consumption? - Answer-1. The process of incorporation material into an end
item or otherwise using it in the performance of a documented business objective
2. The measurement of actual use of consumable items against planned use
