CPIM Prep questions and answers with
solutions
Scheduling - ANSWER The act of creating a schedule, such as a shipping
schedule, master production schedule, maintenance schedule, or
supplier schudule
Master Schedule - ANSWER Format that includes time periods (dates),
forecast, customer orders, projected available balance, available -2-
promise, and MPS; takes into account forecast, production plan, & other
important considerations like backlog, material availability, available
capacity, & mgmt goals
Master Scheduling - ANSWER The process where the master schedule is
generated and reviewed and adjustments are made to the master
production schedule to ensure consistency with the production plan.
Master Production Schedule (MPS) - ANSWER Line on the master
schedule grid that reflects the anticipated build schedule for those items
assigned to the master scheduler; master scheduler maintains schedule,
and it becomes a set of planning numbers that drives MRP; represents
what the company plans to produce expressed in specific configurations,
quantities, and dates
,Master Scheduler - ANSWER Often the job title of the person charged
with the responsibility of managing, establishing, reviewing, and
maintaining a master schedule for select items. Ideally, the person
should have substantial product, plant, process, and market knowledge
because the consequences of this individual's actions often have a great
impact on customer service, material, and capacity planning. See:
master production schedule.
Backlog - ANSWER all customer orders received, but not yet shipped.
Includes backorders
Backorder - ANSWER Past due customer orders or commitments. Must be
replanned
Sales Plan - ANSWER Time phased statement of expected customer
orders anticipated to be received for each major product family or item;
represents ales & mktg's commitment to take all reasonable steps
necessary to achieve level of actual customer orders
Production Planning - ANSWER A process to develop tactical plans based
on setting the overall level of manufacturing output (production plan)
and other activities to best satisfy the current planned levels of sales
(sales plan or forecasts), while meeting general business objectives of
profitability, productivity, competitive customer lead times, and so on,
as expressed in the overall business plan. The sales and production
capabilities are compared, and a business strategy that includes a sales
plan, a production plan, budgets, pro forma financial statements, and
supporting plans for materials and workforce requirements, and so on, is
developed. One of its primary purposes is to establish production rates
,that will achieve management's objective of satisfying customer demand
by maintaining, raising, or lowering inventories or backlogs, while
usually attempting to keep the workforce relatively stable. Because this
plan affects many company functions, it is normally prepared with
information from marketing and coordinated with the functions of
manufacturing, sales, engineering, finance, materials, and so on.
See: aggregate planning, production plan, sales and operations planning,
sales plan.
Production Plan - ANSWER Agreed-upon plan that comes from
production planning (S&OP) process, specifically the overall level of
manufacturing output planned to be produced, usually stated as a
monthly rate for each product family; various UOM can be used t o
express plan: units, tonnage, standard hours, # of workers, etc.;
managements authorization for the master scheduler to convert it into a
more detailed plan
From less planning detail (longer term) to more planning detail (shorter
term) What is the planning hierarchy? - ANSWER Strategic planning,
business planning, demand management, sales and operations plan,
master scheduling
What does MAD stand for? - ANSWER Mean Absolute Deviation
What are the 4 marketing mix P's? - ANSWER Product, price, promotion,
place
, What are the 6 "Rights" of logistics? - ANSWER Right goods and services
Right quality
Right quantity
Right time
Right place
Right cost
Participative Design/Engineering - ANSWER A concept that refers to the
simultaneous participation of all the functional areas of the firm in the
product design activity. Suppliers and customers are often also included.
The intent is to enhance the design with the inputs of all the key
stakeholders. Such a process should ensure that the final design meets
all the needs of the stakeholders and should ensure a product that can
be quickly brought to the marketplace while maximizing quality and
minimizing costs.
Synonym: co-design, concurrent design, concurrent engineering, new
product development team, parallel engineering, simultaneous
design/engineering, simultaneous engineering, team design/
engineering.
See: early manufacturing involvement.
takt time - ANSWER cycle time needed to match the rate of production
to the rate of sales or consumption
solutions
Scheduling - ANSWER The act of creating a schedule, such as a shipping
schedule, master production schedule, maintenance schedule, or
supplier schudule
Master Schedule - ANSWER Format that includes time periods (dates),
forecast, customer orders, projected available balance, available -2-
promise, and MPS; takes into account forecast, production plan, & other
important considerations like backlog, material availability, available
capacity, & mgmt goals
Master Scheduling - ANSWER The process where the master schedule is
generated and reviewed and adjustments are made to the master
production schedule to ensure consistency with the production plan.
Master Production Schedule (MPS) - ANSWER Line on the master
schedule grid that reflects the anticipated build schedule for those items
assigned to the master scheduler; master scheduler maintains schedule,
and it becomes a set of planning numbers that drives MRP; represents
what the company plans to produce expressed in specific configurations,
quantities, and dates
,Master Scheduler - ANSWER Often the job title of the person charged
with the responsibility of managing, establishing, reviewing, and
maintaining a master schedule for select items. Ideally, the person
should have substantial product, plant, process, and market knowledge
because the consequences of this individual's actions often have a great
impact on customer service, material, and capacity planning. See:
master production schedule.
Backlog - ANSWER all customer orders received, but not yet shipped.
Includes backorders
Backorder - ANSWER Past due customer orders or commitments. Must be
replanned
Sales Plan - ANSWER Time phased statement of expected customer
orders anticipated to be received for each major product family or item;
represents ales & mktg's commitment to take all reasonable steps
necessary to achieve level of actual customer orders
Production Planning - ANSWER A process to develop tactical plans based
on setting the overall level of manufacturing output (production plan)
and other activities to best satisfy the current planned levels of sales
(sales plan or forecasts), while meeting general business objectives of
profitability, productivity, competitive customer lead times, and so on,
as expressed in the overall business plan. The sales and production
capabilities are compared, and a business strategy that includes a sales
plan, a production plan, budgets, pro forma financial statements, and
supporting plans for materials and workforce requirements, and so on, is
developed. One of its primary purposes is to establish production rates
,that will achieve management's objective of satisfying customer demand
by maintaining, raising, or lowering inventories or backlogs, while
usually attempting to keep the workforce relatively stable. Because this
plan affects many company functions, it is normally prepared with
information from marketing and coordinated with the functions of
manufacturing, sales, engineering, finance, materials, and so on.
See: aggregate planning, production plan, sales and operations planning,
sales plan.
Production Plan - ANSWER Agreed-upon plan that comes from
production planning (S&OP) process, specifically the overall level of
manufacturing output planned to be produced, usually stated as a
monthly rate for each product family; various UOM can be used t o
express plan: units, tonnage, standard hours, # of workers, etc.;
managements authorization for the master scheduler to convert it into a
more detailed plan
From less planning detail (longer term) to more planning detail (shorter
term) What is the planning hierarchy? - ANSWER Strategic planning,
business planning, demand management, sales and operations plan,
master scheduling
What does MAD stand for? - ANSWER Mean Absolute Deviation
What are the 4 marketing mix P's? - ANSWER Product, price, promotion,
place
, What are the 6 "Rights" of logistics? - ANSWER Right goods and services
Right quality
Right quantity
Right time
Right place
Right cost
Participative Design/Engineering - ANSWER A concept that refers to the
simultaneous participation of all the functional areas of the firm in the
product design activity. Suppliers and customers are often also included.
The intent is to enhance the design with the inputs of all the key
stakeholders. Such a process should ensure that the final design meets
all the needs of the stakeholders and should ensure a product that can
be quickly brought to the marketplace while maximizing quality and
minimizing costs.
Synonym: co-design, concurrent design, concurrent engineering, new
product development team, parallel engineering, simultaneous
design/engineering, simultaneous engineering, team design/
engineering.
See: early manufacturing involvement.
takt time - ANSWER cycle time needed to match the rate of production
to the rate of sales or consumption