1. Entry module—Basics of Supply Chain
Letter to Candidates Management: Terminology and basic
Dear Candidate: concepts related to managing the flow
of materials from suppliers to customers
For more than a generation, the Certified in both internal and external throughout
Production and Inventory Management (CPIM) the supply chain
program has been recognized as the international
standard for individual assessment in the field of 2. Core competency modules—Master
operations managements as it relates to Planning of Resources, Detailed Scheduling
transformation of products and services. Initiated and Planning, Execution and Control of
by APICS in 1973, it provides a standard for Operations: Available methodologies and
individuals and organizations to evaluate their techniques to drive processes and the
knowledge of this evolving field. APICS has application of these techniques
administered more than 1 million tests in over 40
3. Capstone module—Strategic Management
countries, and more than 100,000 professionals
of Resources: Choosing the appropriate
have earned the APICS CPIM designation—3,000
structures and methodologies to achieve
of them at the Fellow level. The mission of the
organizational strategic objectives and an
APICS CPIM program is to be the premier
understanding of the integration of
professional certification for supply chain and
operations within the greater context of
operations management that tests the
the organization
candidate’s knowledge and understanding of the
principles and practices of operations and The following is a summary of each of the APICS
inventory management. The APICS CPIM program CPIM modules.
is designed to educate individuals in the various
concepts, methodologies, terminology, and Basics of Supply Chain Management (BSCM)
integration of topics within the supply chain and As the introductory module, Basics of Supply
operations manage- ment function and to test Chain Management introduces the material
candidates’ in-depth knowledge of these presented in depth in the other four modules.
concepts. APICS has worked to ensure that APICS Experience has shown us that APICS CPIM
CPIM exams are consistently reliable and that the candidates who master the material in Basics
highest professional standards are used to of Supply Chain Management first find the
develop and administer the program. other modules easier to understand;
therefore, we strongly recommend that all
Because organizations operate in a changing APICS CPIM candidates start with this module.
and challenging international environment,
the APICS body of knowledge continues to This module introduces the definitions and
grow to include recognized concepts and tools concepts for planning and controlling the flow of
to improve competiti- veness and products and services into, though, and out of an
effectiveness organizations. The CPIM Exam organization. Many of the key terms in this module
Content Manual (ECM) is updated regularly to are expanded in the other modules. This module
reflect these changes in the body of explains funda- mental relationships among the
knowledge and to assist candidates in their various activities that may occur in the supply
understanding of the scope of material chain network from suppliers to customers. In
covered in the program. addition, the module covers types of
manufacturing and service systems, forecasting,
Using a typical business process orientation, the master planning, material requirements planning,
APICS CPIM program integrates individual capacity management, production activity control,
modules in a progression of increased purchasing, inventory management, and distri-
understanding. bution. Four main management philosophies are
It is highly recommended that candidates covered: enterprise resources planning, lean,
follow this sequence of examinations to quality management, and the theory of constraints.
increase both understanding and success:
ii ©APICS
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Master Planning of Resources (MPR) Strategic Management of Resources (SMR)
In Master Planning of Resources, candidates In Strategic Management of Resources,
explore processes used to develop sales and candidates explore the relationship of existing
operations plans, identify and assess internal and emerging processes and technologies to
and external demand management operations strategy and supply chain-related
requirements, planning and replenishment in functions for both manufacturing and service
a networked distribution environment, and organizations. The module addresses three
gain an understanding of the importance of main topics: understanding the business
producing feasible master schedules that are environment, developing operations strategy,
consistent with business policies, objectives, and implementing operations strategy. For
and resource constraints. The module focuses maximum comprehension, candidates are
on developing and validating a plan of supply; strongly encouraged to be familiar with the
relating management of demand to information and concepts outlined in the other
manufacturing, distribution and service APICS CPIM modules before taking this
environments; and developing and validating course. Historical performance data confirms
the master schedule. that candidates who successfully complete
the other four modules approximately double
Detailed Scheduling and Planning (DSP) their chances of passing the Strategic
In Detailed Scheduling and Planning, Management of Resources capstone module.
candidates focus on the various techniques
for inventory, procurement, and material and The APICS CPIM program continues to evolve,
capacity scheduling. This module includes incorporating relevant and current concepts
detailed descriptions of material requirements and techniques into the body of knowledge,
planning, capacity requirements planning, such as supply chain management, lean,
inventory management practices, and service industries, globalization, theory of
procurement and supplier planning. constraints, sales and operations planning,
Techniques, such as material and capacity- outsourcing, critical chain, and sustainability.
constrained scheduling, are included and APICS CPIM is an outstanding educational
applicable to a variety of manufacturing and program, and APICS relies on your comments
service organizations. Candidates will also and suggestions to maintain and improve the
become familiar with sustainable practices, program for future candidates. We wish you
supplier partnerships, lean principles, and success in your pursuit of your operations
outsourcing strategies and techniques. management knowledge.
Execution and Control of Operations (ECO)
Execution and Control of Operations focuses
on four main areas: execution of operational
plans and schedules, control of the work
completed and the analysis of results, the
management of and communication in the
workplace, and the importance of utilizing
appropriate design principles. The module
explains techniques for scheduling and
controlling operations within available
capacity and deals with the execution of
quality initiatives, cost management, and
problem solving. Finally, this module presents
techniques for making the most of resources,
the environment, and continuous
improvement activities. William R. Leedale, CFPIM, CIRM, and CSCP
Chair, CPIM Subcommittee
CPIM Exam Content Manual iii
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Sufficient references are given for each
Introduction topical area to provide different approaches to
material covered in each module and different
This ECM provides assistance for those
styles of presenting it. Reading the available
studying in the production and inventory
APICS periodical material, including APICS
management field, developing and conducting
magazine, the Production and Inventory
educational courses and workshops, and
Management Journal, and the APICS
preparing for the certification examinations.
Operations Management Now e-newsletter
The objective of this manual is to outline the
will help you maintain an awareness of
APICS CPIM body of knowledge, which the
changes in the state of this discipline.
APICS Certification Committee has organized
into five modules:
About the APICS CPIM
Basics of Supply Chain Management Examinations
Master Planning of Resources
Detailed Scheduling and Planning Candidates answer a predetermined number
Execution and Control of Operations of questions to assess their knowledge in key
Strategic Management of Resources areas. Each of the APICS CPIM exams (except
Basics of Supply Chain Management) consists
In this manual, each exam module begins with of 75 multiple-choice questions. The Basics
a statement of the scope of the subject exam consists of 105 multiple-choice
matter, followed by a descriptive outline of the questions. There is a three-hour time limit for
content as well as a bibliography of the each APICS CPIM exam. For more information
references. Key terminology for the particular about testing and registration policies and
exam modules is provided on pages x-xxx. procedures you can download the bulletins
Each exam module concludes with sample from the APICS website at apics.org/cpim, or
questions typical of those that appear on the call APICS Customer Service at 1-800-444-
examinations. The correct answers for the 2742 (United States and Canada) or +1-773-
sample questions, with brief explanations of 867-1777.
why they are correct, appear at the end the
manual. Students who successfully complete CPIM
examinations may be eligible to receive hours
The recommended procedure for mastering of college credit recommendations from the
the subject matter is to review the content New York State Regents Research Fund,
outline, which defines the material, and then National College Credit Recommendation
to study each topic, using the references. At Service, based on an academic evaluation of
the end of each major section is a list of the student learning outcomes. The semester
references that apply to the topics in that hours of undergraduate credit per exam are
section. The first number indicates the as follows:
sequence number for the reference in the BSCM: 3 semester hours
Bibliography section, and the numbers in MPR: 2 semester hours
parentheses indicate the chapter(s) within
that reference. These outlines form the DSP: 2 semester hours
content and structure for the certification ECO: 2 semester hours
examinations. Candidates should understand SMR: 3 semester hours
the definitions of the key terms in the content
outline, as well as the outlined techniques— Detailed information about the outcomes and
why and how to apply them and which ones to
select for different situations. credit recommendations is available at
www.nationalccrs.org. Transcripts are
New developments in the state of the industry available through APICS.
may be described in current literature.
iv ©APICS