CPIM CERTIFICATION TEST PAPER
QUESTIONS AND SOLUTIONS VERIFIED
ANSWERS
●● big data
Answer: massive, complex, and rapidly growing datasets—characterized
by high volume, velocity, and variety—that traditional software cannot
manage. I
●● blockchain
Answer: A continuously growing list of records, called blocks, which are
linked and secured using cryptography. Each block typically contains a
cryptographic hash of the previous block, a timestamp, and transaction
data. The data in any given block cannot be altered retroactively without
the alteration of all subsequent blocks, inherently making it resistant to
modification.
●● block scheduling
Answer: An operation scheduling technique where each operation is
allowed a "block" of time, such as a day or a week.
●● break-even analysis
Answer: A study of the number of units or amount of time required to
recoup an investment.
,●● carbon footprint
Answer: the total amount of greenhouse gases (including carbon dioxide
and methane) generated by our actions, measured in units of carbon
dioxide equivalent
●● carbon handprint
Answer: a measure of how much carbon emissions have been avoided
by a person, organization, building, or operation by replacing baseline
solutions with more enviromentally responsible ones
●● configure to order
Answer: a manufacturing strategy where products are assembled based
on specific customer requirements, using pre-stocked components
●● cost volume profit analysis
Answer: The study of how profits change with various levels of output
and selling price.
●● count point
Answer: A point in a flow of material or sequence of operations at which
parts, subassemblies, or assemblies are counted as being complete.
[These] may be designated at the ends of lines or upon removal from a
work center, but most often they are designated as the points at which
material transfers from one department to another. Syn.: pay point.
,●● critical ratio
Answer: A dispatching rule that calculates a priority index number by
dividing the time to due date remaining by the expected elapsed time to
finish the job. [This is calculated by dividing time remaining by work
remaining. For example, a ratio less than 1.0 indicates the job is behind
schedule, a ratio greater than 1.0 indicates the job is ahead of schedule,
and a ratio of 1.0 indicates the job is on schedule.]
●● critical to quality characteristics
Answer: The important and measurable traits of a product or process
whose performance targets must be met to satisfy the customer. They
adjust improvement efforts to meet consumer requirements. [They also]
represent customer expectations for a product.
●● decision support system
Answer: A computer system designed to assist managers in selecting and
evaluating courses of action by providing a logical (usually quantitative)
analysis of the relevant factors.
●● define measure analyze improve control
Answer: A six sigma improvement process composed of five stages: (1)
Determine the nature of the problem. (2) Measure existing performance
and commence recording data and facts that offer information about the
underlying causes of the problem. (3) Study the information to
determine the root causes of the problem. (4) Improve the process by
, effecting solutions to the problem. (5) Monitor the process until the
solutions become ingrained.
●● demand shaping
Answer: a supply chain strategy that uses marketing, pricing,
promotions, and product management to actively influence customer
demand to match available supply, rather than merely reacting to it.
●● echelon
Answer: A level of supply chain nodes. For example, a supply chain
with two independent factory warehouses and nine wholesale
warehouses delivering product to 350 retail stores is a supply chain with
three [of these] between the factory and the end customer. One [of these]
consists of the two independent factory warehouses, one consists of the
nine wholesale warehouses, and one consists of the 350 retail stores.
Each [of these] adds operating expense, holds inventory, adds to the
cycle time, and expects to make a profit. See: disintermediation.
●● ERP
Answer: Framework for organizing, defining, and standardizing the
business processes necessary to effectively plan and control an
organization so the organization can use its internal knowledge to seek
external advantages. An ERP system provides extensive databanks of
information including master file records, repositories of cost and sales,
financial details, analysis of product and customer hierarchies, and
historic and current transactional data.
QUESTIONS AND SOLUTIONS VERIFIED
ANSWERS
●● big data
Answer: massive, complex, and rapidly growing datasets—characterized
by high volume, velocity, and variety—that traditional software cannot
manage. I
●● blockchain
Answer: A continuously growing list of records, called blocks, which are
linked and secured using cryptography. Each block typically contains a
cryptographic hash of the previous block, a timestamp, and transaction
data. The data in any given block cannot be altered retroactively without
the alteration of all subsequent blocks, inherently making it resistant to
modification.
●● block scheduling
Answer: An operation scheduling technique where each operation is
allowed a "block" of time, such as a day or a week.
●● break-even analysis
Answer: A study of the number of units or amount of time required to
recoup an investment.
,●● carbon footprint
Answer: the total amount of greenhouse gases (including carbon dioxide
and methane) generated by our actions, measured in units of carbon
dioxide equivalent
●● carbon handprint
Answer: a measure of how much carbon emissions have been avoided
by a person, organization, building, or operation by replacing baseline
solutions with more enviromentally responsible ones
●● configure to order
Answer: a manufacturing strategy where products are assembled based
on specific customer requirements, using pre-stocked components
●● cost volume profit analysis
Answer: The study of how profits change with various levels of output
and selling price.
●● count point
Answer: A point in a flow of material or sequence of operations at which
parts, subassemblies, or assemblies are counted as being complete.
[These] may be designated at the ends of lines or upon removal from a
work center, but most often they are designated as the points at which
material transfers from one department to another. Syn.: pay point.
,●● critical ratio
Answer: A dispatching rule that calculates a priority index number by
dividing the time to due date remaining by the expected elapsed time to
finish the job. [This is calculated by dividing time remaining by work
remaining. For example, a ratio less than 1.0 indicates the job is behind
schedule, a ratio greater than 1.0 indicates the job is ahead of schedule,
and a ratio of 1.0 indicates the job is on schedule.]
●● critical to quality characteristics
Answer: The important and measurable traits of a product or process
whose performance targets must be met to satisfy the customer. They
adjust improvement efforts to meet consumer requirements. [They also]
represent customer expectations for a product.
●● decision support system
Answer: A computer system designed to assist managers in selecting and
evaluating courses of action by providing a logical (usually quantitative)
analysis of the relevant factors.
●● define measure analyze improve control
Answer: A six sigma improvement process composed of five stages: (1)
Determine the nature of the problem. (2) Measure existing performance
and commence recording data and facts that offer information about the
underlying causes of the problem. (3) Study the information to
determine the root causes of the problem. (4) Improve the process by
, effecting solutions to the problem. (5) Monitor the process until the
solutions become ingrained.
●● demand shaping
Answer: a supply chain strategy that uses marketing, pricing,
promotions, and product management to actively influence customer
demand to match available supply, rather than merely reacting to it.
●● echelon
Answer: A level of supply chain nodes. For example, a supply chain
with two independent factory warehouses and nine wholesale
warehouses delivering product to 350 retail stores is a supply chain with
three [of these] between the factory and the end customer. One [of these]
consists of the two independent factory warehouses, one consists of the
nine wholesale warehouses, and one consists of the 350 retail stores.
Each [of these] adds operating expense, holds inventory, adds to the
cycle time, and expects to make a profit. See: disintermediation.
●● ERP
Answer: Framework for organizing, defining, and standardizing the
business processes necessary to effectively plan and control an
organization so the organization can use its internal knowledge to seek
external advantages. An ERP system provides extensive databanks of
information including master file records, repositories of cost and sales,
financial details, analysis of product and customer hierarchies, and
historic and current transactional data.
