Question 1

What is the long-term effect of reducing the number of distribution centers between a manufacturer and its customers?

Accepted Answer

A)  Total stock quantity increases. 
B)  Transport costs from factory to distribution centers only decrease. 
C)  Transport costs from distribution centers to customers only decrease. 
D)  Transport costs from factory to distribution centers and from distribution centers to customer's decrease. 
A)  Total stock quantity increases. 
B)  Transport costs from factory to distribution centers only decrease. 
C)  Transport costs from distribution centers to customers only decrease. 
D)  Transport costs from factory to distribution centers and from distribution centers to customer's decrease.

Question 2

Which of the following considerations is an advantage of sourcing from multiple suppliers?

Accepted Answer

A)  Competition 
B)  Opportunity for partnering 
C)  Better quality 
D)  Shorter lead times 
A)  Competition 
B)  Opportunity for partnering 
C)  Better quality 
D)  Shorter lead times

Question 3

Having bolts and tools at the point of use on the automobile assembly line eliminates the waste of:

Accepted Answer

A)  waiting. 
B)  overproduction. 
C)  making defects. 
D)  stocks. 
A)  waiting. 
B)  overproduction. 
C)  making defects. 
D)  stocks.

Question 4

The overall objective of an integrated supply chain can best be described as the achievement of:

Accepted Answer

A)  decreased lead time. 
B)  increased supplier partnerships. 
C)  an efficient flow of materials and information. 
D)  an efficient flow of production. 
A)  decreased lead time. 
B)  increased supplier partnerships. 
C)  an efficient flow of materials and information. 
D)  an efficient flow of production.

Question 5

Which of the following plans is translated into synchronized functional plans through the sales and operations planning process?

Accepted Answer

A)  Strategic 
B)  Marketing 
C)  Business 
D)  Financial 
A)  Strategic 
B)  Marketing 
C)  Business 
D)  Financial

Question 6

Which of the following actions most likely will serve to reduce economic lot size?

Accepted Answer

A)  Decreasing the number of items 
B)  Decreasing the unit cost of items 
C)  Increasing the cost of ordering items 
D)  Increasing the cost of carrying inventory 
A)  Decreasing the number of items 
B)  Decreasing the unit cost of items 
C)  Increasing the cost of ordering items 
D)  Increasing the cost of carrying inventory

Question 7

Material requirements planning requires which of the following files to plan requirements?

Accepted Answer

A)  Standard cost 
B)  Bill of materials 
C)  Routing 
D)  Work center 
A)  Standard cost 
B)  Bill of materials 
C)  Routing 
D)  Work center

Question 8

Which of the following considerations should be included in product design?

Accepted Answer

A)  Manufacturing strategy 
B)  Product pricing 
C)  Environmental sensitivity 
D)  Target markets 
A)  Manufacturing strategy 
B)  Product pricing 
C)  Environmental sensitivity 
D)  Target markets

Question 9

Which of the following techniques typically eliminates common errors?

Accepted Answer

A)  Practical kaizen training 
B)  Kaizen 
C)  Poka-yoke 
D)  Kanban 
A)  Practical kaizen training 
B)  Kaizen 
C)  Poka-yoke 
D)  Kanban

Question 10

In Quality Function Deployment, "competitive evaluation" refers to:

Accepted Answer

A)  analyzing current financial health. 
B)  considering global market potential. 
C)  ranking industry rivals' position. 
D)  comparing perceived product quality. 
A)  analyzing current financial health. 
B)  considering global market potential. 
C)  ranking industry rivals' position. 
D)  comparing perceived product quality.

Question 11

Which of the following processes is concerned with the transfer or delivery of goods or services?

Accepted Answer

A)  Distribution channel 
B)  Supply chain 
C)  Transaction channel 
D)  Value chain 
A)  Distribution channel 
B)  Supply chain 
C)  Transaction channel 
D)  Value chain

Question 12

A company's cost of goods sold would be found on which of the following financial documents?

Accepted Answer

A)  Balance sheet 
B)  Income statement 
C)  Cash flow statement 
D)  Performance statement 
A)  Balance sheet 
B)  Income statement 
C)  Cash flow statement 
D)  Performance statement

Question 13

Backward scheduling begins with which of the following dates?

Accepted Answer

A)  Order receipt 
B)  Order due 
C)  Component availability 
D)  Supplier delivery 
A)  Order receipt 
B)  Order due 
C)  Component availability 
D)  Supplier delivery

Question 14

Material requirements planning provides recommendations for which of the following processes?

Accepted Answer

A)  Shop orders and capacity 
B)  Capacity and purchase orders 
C)  Purchase orders and shop orders 
D)  Routing and lead times 
A)  Shop orders and capacity 
B)  Capacity and purchase orders 
C)  Purchase orders and shop orders 
D)  Routing and lead times

Question 15

A production rate based on customer demand is called:

Accepted Answer

A)  cycle time. 
B)  tact time. 
C)  lead time. 
D)  queue time. 
A)  cycle time. 
B)  tact time. 
C)  lead time. 
D)  queue time.

Question 16

The primary purpose of sales and operations planning is to:

Accepted Answer

A)  track and improve forecast accuracy within sales and marketing. 
B)  provide enough lead time for operations to acquire needed resources. 
C)  provide periodic updates on overall performance to top management. 
D)  link strategic and tactical plans across the organization. 
A)  track and improve forecast accuracy within sales and marketing. 
B)  provide enough lead time for operations to acquire needed resources. 
C)  provide periodic updates on overall performance to top management. 
D)  link strategic and tactical plans across the organization.

Question 17

Typically, the highest cost for warehousing is the cost related to:

Accepted Answer

A)  space. 
B)  labor. 
C)  equipment for materials handling. 
D)  the information system. 
A)  space. 
B)  labor. 
C)  equipment for materials handling. 
D)  the information system.

Question 18

The contribution made by an operation to the final usefulness of a product is known as:

Accepted Answer

A)  the customer service level. 
B)  value-added. 
C)  the cost of quality. 
D)  an order winner. 
A)  the customer service level. 
B)  value-added. 
C)  the cost of quality. 
D)  an order winner.

Question 19

Which of the following factors would reduce inventory carrying costs?

Accepted Answer

A)  Ordering less inventory 
B)  Higher costs of working capital 
C)  Reducing ordering costs 
D)  Reducing transportation costs 
A)  Ordering less inventory 
B)  Higher costs of working capital 
C)  Reducing ordering costs 
D)  Reducing transportation costs

Question 20

To provide the required level of customer service, to minimize the costs of transportation and handling, and to interact with a factory to minimize scheduling problems are all objectives of:

Accepted Answer

A)  enterprise resources planning. 
B)  distribution inventory management. 
C)  sales and operations planning. 
D)  customer relations management. 
A)  enterprise resources planning. 
B)  distribution inventory management. 
C)  sales and operations planning. 
D)  customer relations management.

What is the long-term effect of reducing the number of distribution centers between a manufacturer and its customers?

Which of the following considerations is an advantage of sourcing from multiple suppliers?

Having bolts and tools at the point of use on the automobile assembly line eliminates the waste of:

The overall objective of an integrated supply chain can best be described as the achievement of:

Which of the following plans is translated into synchronized functional plans through the sales and operations planning process?

Which of the following actions most likely will serve to reduce economic lot size?

Material requirements planning requires which of the following files to plan requirements?

Which of the following considerations should be included in product design?

Which of the following techniques typically eliminates common errors?

In Quality Function Deployment, "competitive evaluation" refers to:

Which of the following processes is concerned with the transfer or delivery of goods or services?

A company's cost of goods sold would be found on which of the following financial documents?

Backward scheduling begins with which of the following dates?

Material requirements planning provides recommendations for which of the following processes?

A production rate based on customer demand is called:

The primary purpose of sales and operations planning is to:

Typically, the highest cost for warehousing is the cost related to:

The contribution made by an operation to the final usefulness of a product is known as:

Which of the following factors would reduce inventory carrying costs?

To provide the required level of customer service, to minimize the costs of transportation and handling, and to interact with a factory to minimize scheduling problems are all objectives of:

Certification in Logistics, Transportation and Distribution

APICS Certified Supply Chain Professional

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Exam 2: CPIM - Basics of Supply Chain Management

What is the long-term effect of reducing the number of distribution centers between a manufacturer and its customers?

Which of the following considerations is an advantage of sourcing from multiple suppliers?

Having bolts and tools at the point of use on the automobile assembly line eliminates the waste of:

The overall objective of an integrated supply chain can best be described as the achievement of:

Which of the following plans is translated into synchronized functional plans through the sales and operations planning process?

Which of the following actions most likely will serve to reduce economic lot size?

Material requirements planning requires which of the following files to plan requirements?

Which of the following considerations should be included in product design?

Which of the following techniques typically eliminates common errors?

In Quality Function Deployment, "competitive evaluation" refers to:

Which of the following processes is concerned with the transfer or delivery of goods or services?

A company's cost of goods sold would be found on which of the following financial documents?

Backward scheduling begins with which of the following dates?

Material requirements planning provides recommendations for which of the following processes?

A production rate based on customer demand is called:

The primary purpose of sales and operations planning is to:

Typically, the highest cost for warehousing is the cost related to:

The contribution made by an operation to the final usefulness of a product is known as:

Which of the following factors would reduce inventory carrying costs?

To provide the required level of customer service, to minimize the costs of transportation and handling, and to interact with a factory to minimize scheduling problems are all objectives of:

Certification in Logistics, Transportation and Distribution

APICS Certified Supply Chain Professional

Filters