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CPIM Module 2 C. Questions and Answers

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Exam of 6 pages for the course CPIM - Certified in Production & Inventory Management at CPIM - Certified in Production & Inventory Management (CPIM Module 2 C.)

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CPIM Module 2 C

Which of the following processes employs a finite scheduling model of a company's
manufacturing system to determine when an item can be delivered?
Make-to-order
Engineer-to-order
Available-to-promise
Capable-to-promise - answer Capable-to-promise

Capable-to-promise uses a finite-scheduling model of the manufacturing system to
determine when a new or unscheduled customer order can be delivered. It includes any
constraints that might restrict the production, such as availability of resources, lead
times for raw materials or purchased parts, and requirements for lower-level
components or subassemblies.

If the backlog is higher than the planned amount, which of the following elements is
likely to be increasing?
Work in process
Quoted lead times
Cycle times
Employment concerns - answerQuoted lead times

A company produces some of its 20 top sellers every day. It has a customer service
policy of 99.5%, with next-day air shipments for each order. What is the most likely
reason for not carrying safety stock on its highest-volume products?
Producing some of each item every day guarantees no stockouts.
It is acceptable to have stockouts because the service level policy is not 100%.
Stockout duration will be short and few orders will be affected.
Not carrying safety stock improves inventory turns. - answerStockout duration will be
short and few orders will be affected.

What must management do in order to ensure that the operational performance of the
business is measured by the production plan?
Use the management-by-walking-around philosophy.
Change the plan only annually.
Publish the plan to all employees.
Communicate expectations of the plan. - answerCommunicate expectations of the plan.

Which of the following departments is most likely unaffected by frequently overloaded
work centers that lead to unrealistic master schedules?
Sales
Production
Finance

, Purchasing - answerFinance

Records state that finished goods inventory has 100 items in stock when there are
actually 110. The first 100 customer orders are accepted and scheduled for immediate
shipment. The next 50 customer orders are scheduled and promised for shipment the
following week based on the next scheduled receipt. What is the customer service level
for the orders scheduled for shipment?
91%
100%
111%
Not enough information to determine answer - answer100%

The 100 that were promised this week will all be shipped, so this is a 100% customer
service level for the time period.

Which of the following interfaces deals primarily with translating monetary units into
product families for planning purposes?
Business planning to sales and operations planning
Master scheduling to detailed scheduling and planning
Strategic planning to business planning
Sales and operations planning to master scheduling - answerBusiness planning to sales
and operations planning

At the master production schedule level, safety stock is:
used to account for possible scrap.
not required by the master scheduler.
used to provide a hedge against uncertain demand.
used in make-to-order companies. - answerused to provide a hedge against uncertain
demand.

Customer relationship management supports total quality management because:
they are both part of the manufacturing/customer supply chain.
each philosophy focuses on the strategic supply/demand relationship.
both philosophies are focused on customer satisfaction.
between the two, all external and internal customers are included. - answerboth
philosophies are focused on customer satisfaction.

Distribution and materials management should work together to determine which of the
following?
Safety stock policies
Engineering changes
Utilization of personnel
Transportation budgets - answerSafety stock policies

In determining a forecast for a distribution center, which of the following dates should be
used?

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