APICS CPIM-Part-2 Certified in Planning and Inventory Management(Part 2) Online Training

Question #11

Up-to-date information about production order status is required to do which of the following tasks?

A . Calculate current take time.
B . Determine planned orders.
C . Replenish kanban quantities.
D . Calculate the cost of work in process (WIP).

Question #12

A machine is suddenly having excessive downtime.

Which of the following tools would be used in a root cause corrective action process to determine the problem?

A . Failure mode effects analysis (FMEA)
B . Standardized work analysis chart
C . Balance chart
D . A3 method

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Correct Answer: D
D

Explanation:

A3 method is a tool that can be used in a root cause corrective action process to determine the problem of a machine that is suddenly having excessive downtime. A3 method is a structured problem-solving approach that follows the Plan-Do-Check-Act (PDCA) cycle and uses a single sheet of paper (A3 size) to document the problem, analysis, countermeasures, and results1. A3 method can help identify the root cause of a problem by using tools such as the 5 Whys or the fishbone diagram, and then develop and implement effective corrective actions to prevent recurrence2. A3 method can also help communicate the problem and the solution to stakeholders, as well as monitor and evaluate the outcomes3.

The steps of the A3 method are4:

Step 1: Define the problem and its impact. Describe the current situation, the gap between the actual and the desired state, and the scope and magnitude of the problem.

Step 2: Identify the root cause of the problem. Use tools such as the 5 Whys or the fishbone diagram to analyze the factors that contribute to the problem and drill down to its root cause.

Step 3: Propose countermeasures to address the root cause. Generate possible solutions that can eliminate or reduce the root cause, and evaluate their feasibility, effectiveness, and costs.

Step 4: Implement countermeasures. Select the best solution and plan how to execute it. Define the roles, responsibilities, resources, timeline, and expected outcomes of the implementation.

Step 5: Check results and process. Measure and compare the results before and after the implementation, and verify if the problem has been solved or improved. Also check if the process has been followed correctly and document any deviations or issues.

Step 6: Standardize successful processes or identify unresolved issues. If the results are satisfactory, standardize the new process and ensure that it is sustained. If not, identify the remaining or new issues and repeat the A3 method.

Therefore, A3 method is a tool that can be used in a root cause corrective action process to determine the problem of a machine that is suddenly having excessive downtime.

Reference: 1: What is an A31 2: How to Use an A3 Report for Problem Solving 2 3: The A3 Problem Solving Method 4 4: The A3 Report C A Simple Tool for Complex Problems 5

Question #13

Which of the following techniques would a group use to prioritize problems?

A . Critical path analysis
B . Pareto analysis
C . Scatter charts
D . Cause-and-effect diagrams

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Question #14

In the design and development of a manufacturing process, process engineers would most likely be responsible for decisions relating to:

A . lead times.
B . production capacity.
C . product reliability.
D . routing sequences.

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Question #15

Which of the following trade-offs should be evaluated when determining where to place inventory in a multi-echelon supply chain network?

A . Production cost and lot size quantity
B . Purchase cost and shrinkage rates
C . Transportation cost and delivery time
D . Customer price and order quantity

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Question #16

Which of the following trade-offs should be evaluated when determining where to place inventory in a multi-echelon supply chain network?

A . Production cost and lot size quantity
B . Purchase cost and shrinkage rates
C . Transportation cost and delivery time
D . Customer price and order quantity

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Correct Answer: C
C

Explanation:

One of the trade-offs that should be evaluated when determining where to place inventory in a multi-echelon supply chain network is the transportation cost and delivery time. A multi-echelon supply chain network is a system of interconnected stages or echelons that perform different functions, such as production, distribution, and retailing, to deliver products or services to the end customers1. Inventory placement is the decision of how much and where to hold inventory in the supply chain network to balance the costs and service levels2.

Transportation cost is the expense of moving products or materials from one echelon to another in the supply chain network. Transportation cost depends on factors such as distance, mode, volume, weight, fuel, and tariffs3. Delivery time is the duration of moving products or materials from one echelon to another in the supply chain network. Delivery time depends on factors such as speed, reliability, frequency, and congestion3.

There is a trade-off between transportation cost and delivery time when determining where to place inventory in a multi-echelon supply chain network. Generally, holding more inventory closer to the customers can reduce the delivery time and increase the service level, but it can also increase the transportation cost and the inventory holding cost4. On the other hand, holding less inventory farther from the customers can reduce the transportation cost and the inventory holding cost, but it can also increase the delivery time and decrease the service level4. Therefore, finding the optimal inventory placement requires balancing the transportation cost and delivery time trade-off.

Some of the methods or tools that can help evaluate the transportation cost and delivery time trade-off are:

Network optimization: a technique that uses mathematical models to optimize the design and configuration of a supply chain network by minimizing the total costs (including transportation and inventory costs) while satisfying the service level requirements.

Multi-echelon inventory optimization: a technique that uses mathematical models to optimize the allocation and sizing of safety stocks across multiple echelons of a supply chain network by minimizing the total costs (including transportation and inventory costs) while satisfying the service level requirements.

Simulation: a technique that uses computer software to mimic the behavior and performance of a supply chain network under different scenarios and assumptions. Simulation can help evaluate the impact of different inventory placement strategies on the transportation cost and delivery time.

Therefore, transportation cost and delivery time is one of the trade-offs that should be evaluated when determining where to place inventory in a multi-echelon supply chain network.

Reference: 1: Multi-Echelon Inventory Optimization 2 2: Inventory Placement Definition 3 3:

Transportation Cost Definition 4 4: The Tradeoff Between Inventory Costs And Transportation Costs:

Supply Chain Network Design: Applying Optimization and Analytics to … 1

Question #17

Which of the following tools is used to evaluate the impact that a production plan has on capacity?

A . Demand time fence (DTF)
B . Bill of resources
C . Product routing
D . Safety capacity

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Question #18

Establishment of goals and baselines prior to entering the plan-do-check-act (FDCA) cycle allows improvement teams to:

A . determine whether an effective change was made in the process.
B . determine if improvement potential is complete.
C . assure successful completion of the improvement effort.
D . complete the project with fewer iterations.

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Question #19

Manufacturing flexibility can be measured by using:

A . cycle time,
B . scrap level.
C . changeover time.
D . labor productivity.

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Correct Answer: C
C

Explanation:

Manufacturing flexibility can be measured by using changeover time. Changeover time is the time it takes to go from the last good part of one product run to the first good part of the next product run1. Manufacturing flexibility is the ability of a system to handle a range of products or variants with fast setups2. By using changeover time as a measure of manufacturing flexibility, we can assess how quickly and efficiently a system can switch from one product to another, and how well it can respond to changes in customer demand, product mix, quality standards, and delivery schedules3.

Some of the benefits of reducing changeover time and increasing manufacturing flexibility are4: Lower manufacturing costs: More value-added capacity can be unlocked because the equipment is idle for less time.

Higher customer satisfaction: Customers can get their products faster and with more variety. Greater competitive advantage: The system can adapt to market changes and offer more customized products or services.

Improved quality and productivity: The system can avoid defects, waste, and errors that may occur during long or complex changeovers.

Some of the methods or tools that can help reduce changeover time and increase manufacturing flexibility are5:

Single-minute exchange of die (SMED): A technique that aims to reduce changeover time to less than 10 minutes by converting internal setup activities (those that can only be done when the machine is stopped) to external setup activities (those that can be done while the machine is running), and streamlining both types of activities.

Total productive maintenance (TPM): A technique that involves maintaining and improving the equipment performance and reliability by involving all employees in preventive maintenance, autonomous maintenance, focused improvement, and quality management.

Quick response manufacturing (QRM): A technique that focuses on reducing lead times throughout the entire organization by applying the principles of time-based competition, cellular manufacturing, system dynamics, and enterprise-wide application.

Therefore, changeover time is a measure that can be used to evaluate the manufacturing flexibility of a system.

Reference: 1: What is Changeover? (Lean terminology) – Velaction 5 2: FLEXIBILITY IN MANUFACTURING | SpringerLink 3 3: How to Reduce Changeover Time – MachineMetrics 6 4: The Tradeoff Between Inventory Costs And Transportation Costs 5: Changeover [Manufacturing Definition] | Creative Safety Supply

Question #20

Which of the following techniques would be most appropriate to use to develop a forecast?

A . Delphi method
B . Moving average
C . Exponential smoothing
D . Time series decomposition

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