CPIM Practice Exam with Complete
Solutions
A work center is receiving enough work, but it is not performing to plan. To detect
problems in this work center, the planner should compare: - ANSWER-actual output to
planned output.
A company is experiencing a change in demand from steady to sporadic. It currently
uses economic order quantity (EOQ) to determine purchase quantities for a key
component. Which of the following models should it use in the future? - ANSWER-
Period order quantity
Which of the following roles of a finished goods warehouse deals with the grouping of
different items into an order? - ANSWER-Product mixing
Which of the following definitions best describes capacity planning? - ANSWER-
Process of determining the amount of capacity required for production in the future
The term genchi genbutsu is synonymous with: - ANSWER-management by walking
around.
The term "demand management" is defined as: - ANSWER-the function of recognizing
all demands for goods and services to support the marketplace.
What is the term for a continual process of reviewing the strategic business plan and
revising and coordinating the plans of various departments? - ANSWER-Sales and
operations planning
What is replenishment lead time? - ANSWER-Total period of time that elapses from the
moment it is determined that a product should be reordered until the product is back on
the shelf available for use
What is earliest job due date an example of? - ANSWER-dispatching
Which of the following manufacturing processes would most likely be characterized by a
narrow range of standard products, low direct labor costs, and a high level of technical
support for manufacturing? - ANSWER-Line
With a holiday season fast approaching, a factory's capacity is deemed insufficient to
meet the orders placed by a highly valued customer. The orders cannot be changed,
, nor can the load be rebalanced. What step(s) can the company take in the current time
frame that would allow them to meet the customer demand as requested? - ANSWER-
Scheduling more overtime
A firm offers products configured from a large number of stocked options and
subassemblies. Which of the following production environments is the firm most likely to
use? - ANSWER-ATO
Which of the following time periods will result in a smoother forecast that is less swayed
by random variability when using the moving average forecast technique? - ANSWER-
12 months
In a planning bill for an updated configuration of a cellphone, the total percentages for
the amounts required for the three possible memory chips used equal 115. What does
this indicate? - ANSWER-The manufacturer is making a hedge against higher demand.
Based on the information below, in what week would a planned order release be
generated to satisfy the net requirement?
Lead time: 3 weeks
Order quantity: 100
Net requirement exists in: week 6
Net requirement quantity: 150 - ANSWER-Week 3
EXPLANATION:
Because the net requirement exists in week 6, the planned order release is offset by the
lead time of three weeks. Thus, the planned order release will be generated in week 6 -
3 weeks = week 3.
What is a benefits of setup reduction is most immediate? - ANSWER-Reduced product
cost
In production and inventory control, it is important to know whether demand is
independent or dependent because the distinction: - ANSWER-determines the selection
of appropriate replenishment methods.
What is the term for an array of inventory broken out into different categories based on
Pareto's law? - ANSWER-ABC Classification
Which managed inventory strategy would best suit a lean manufacturer that is unable to
provide consistent order sizes due to fluctuations in demand for the various products it
produces? - ANSWER-Continuous replenishment
Which technology can assist a company in detecting and identifying potential fraud
across the supply chain? - ANSWER-Artificial intelligence and machine learning
Solutions
A work center is receiving enough work, but it is not performing to plan. To detect
problems in this work center, the planner should compare: - ANSWER-actual output to
planned output.
A company is experiencing a change in demand from steady to sporadic. It currently
uses economic order quantity (EOQ) to determine purchase quantities for a key
component. Which of the following models should it use in the future? - ANSWER-
Period order quantity
Which of the following roles of a finished goods warehouse deals with the grouping of
different items into an order? - ANSWER-Product mixing
Which of the following definitions best describes capacity planning? - ANSWER-
Process of determining the amount of capacity required for production in the future
The term genchi genbutsu is synonymous with: - ANSWER-management by walking
around.
The term "demand management" is defined as: - ANSWER-the function of recognizing
all demands for goods and services to support the marketplace.
What is the term for a continual process of reviewing the strategic business plan and
revising and coordinating the plans of various departments? - ANSWER-Sales and
operations planning
What is replenishment lead time? - ANSWER-Total period of time that elapses from the
moment it is determined that a product should be reordered until the product is back on
the shelf available for use
What is earliest job due date an example of? - ANSWER-dispatching
Which of the following manufacturing processes would most likely be characterized by a
narrow range of standard products, low direct labor costs, and a high level of technical
support for manufacturing? - ANSWER-Line
With a holiday season fast approaching, a factory's capacity is deemed insufficient to
meet the orders placed by a highly valued customer. The orders cannot be changed,
, nor can the load be rebalanced. What step(s) can the company take in the current time
frame that would allow them to meet the customer demand as requested? - ANSWER-
Scheduling more overtime
A firm offers products configured from a large number of stocked options and
subassemblies. Which of the following production environments is the firm most likely to
use? - ANSWER-ATO
Which of the following time periods will result in a smoother forecast that is less swayed
by random variability when using the moving average forecast technique? - ANSWER-
12 months
In a planning bill for an updated configuration of a cellphone, the total percentages for
the amounts required for the three possible memory chips used equal 115. What does
this indicate? - ANSWER-The manufacturer is making a hedge against higher demand.
Based on the information below, in what week would a planned order release be
generated to satisfy the net requirement?
Lead time: 3 weeks
Order quantity: 100
Net requirement exists in: week 6
Net requirement quantity: 150 - ANSWER-Week 3
EXPLANATION:
Because the net requirement exists in week 6, the planned order release is offset by the
lead time of three weeks. Thus, the planned order release will be generated in week 6 -
3 weeks = week 3.
What is a benefits of setup reduction is most immediate? - ANSWER-Reduced product
cost
In production and inventory control, it is important to know whether demand is
independent or dependent because the distinction: - ANSWER-determines the selection
of appropriate replenishment methods.
What is the term for an array of inventory broken out into different categories based on
Pareto's law? - ANSWER-ABC Classification
Which managed inventory strategy would best suit a lean manufacturer that is unable to
provide consistent order sizes due to fluctuations in demand for the various products it
produces? - ANSWER-Continuous replenishment
Which technology can assist a company in detecting and identifying potential fraud
across the supply chain? - ANSWER-Artificial intelligence and machine learning
