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CPIM Module 3 I. Questions and Answers

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Exam of 11 pages for the course CPIM - Certified in Production & Inventory Management at CPIM - Certified in Production & Inventory Management (CPIM Module 3 I.)

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CPIM Module 3 I

To eliminate waste, purchase orders can be replaced with:
pegging reports.
supplier schedules.
supplier capacity requirements.
action lists. - answer supplier schedules.

The replacement of internal capacity and production with that of a supplier's is known
as:
out partnering.
capacity buying.
buying down.
outsourcing. - answer outsourcing.

In an established pull system with some suppliers delivering as often as every four
hours, which of the following performance measures is most important?
Use of kanbans
Parts availability
Delivery reliability
Required quantity - answerDelivery reliability

A supplier that provides services such as warehousing, freight forwarding, and delivery
is known as:
a broker.
an importer/exporter.
a third-party logistics provider (3PL).
a second-tier supplier. - answera third-party logistics provider (3PL).

Long-term agreements with suppliers may include which of the following types of
special arrangements?
Simplified paperwork systems
Specially designed returnable containers
Effective personal contacts at each site
All of the above - answerAll of the above

Which of the following factors is most important when partnering with a supplier?
Available capacity
Cultural diversity
Mutual trust
Geographic proximity - answerMutual trust

, Visibility into suppliers' systems can allow an organization to prepare its own system to
manage production and logistics. Which of the following is an example of this?
Making decisions on a supplier's viability
Adjusting production schedules in response to delayed material delivery
Finding processes a supplier can eliminate to reduce costs
Collecting data for the next sales and operations planning meeting - answerAdjusting
production schedules in response to delayed material delivery

The process of a supplier shipping directly to the purchaser's customer is known as:
intraplant transfer.
drop shipping.
freight consolidation.
freight forwarding. - answerdrop shipping.

Processes for identifying, assessing, and managing the environmental, social, and
ethical risk in the supply chain are elements of:
risk response planning.
green reverse logistics.
responsible procurement.
fitness for use. - answerresponsible procurement.

Responsible procurement is ensuring the use of ethical sources of goods and services
to bring about a positive impact and minimize the negative impact on society and the
environment.

A company has been a preferred supplier for several parts for a number of years. Which
of the following information is of most importance on a purchase order?
Required part number
Required order quantity
Required order due date
Required terms/conditions - answerRequired order due date

The design of a product is improved by which of the following factors?
Identification of process similarities
Evaluation of standard part attributes
Input from the supplier
All of the above - answerAll of the above

Which of the following is useful for businesses in becoming virtual supply chains in
order to reduce costs and improve due-date performance?
Business-to-business commerce (B2B)
Business process reengineering (BPR)
Business-to-consumer commerce (B2C)
Business continuation plan (BCP) - answerBusiness-to-business commerce (B2B)

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