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CIPS Whole Life Asset Management Sample Questions (Q177-Q182):

NEW QUESTION # 177
Lean principle focuses on eliminating eight types of waste. Waste in Lean manufacturing is defined as...?

A. Rejection of material because of quality related problems
B. Part of activity when operator is idle
C. Part of any activity which is inevitable
D. Non value-adding steps in a process

Answer: D

Explanation:
Lean thinking aims to remove wastes from work processes. Before diving into the 8 wastes, it is important to understand what waste is. Waste is any action or step in a process that does not add value to the customer. In other words, waste is any process that the customer does not want to pay for.
The original seven wastes (Muda) was developed by Taiichi Ohno, the Chief Engineer at Toyota, as part of the Toyota Production System (TPS). The seven wastes are Transportation, Inventory, Motion, Waiting, Overproduction, Overprocessing and Defects. They are often referred to by the acronym 'TIMWOOD'. The
8th waste of non-utilized talent or 'Skills' of workers was later introduced in the 1990swhen the Toyota Production System was adopted in the Western world. As a result, the 8 wastes are commonly referred to as
'TIMWOODS'.
A picture containing application Description automatically generated

Source: The lean way

NEW QUESTION # 178
A central distribution warehouse receives deliveries from several suppliers of bread and cakes on pallets in large quantities. These deliveries need to be separated into smaller individual consignments for delivery to retail stores operated by the bakery company. The division of the large quantities into smaller consignments is called:

A. Breaking bulk
B. Small orders
C. Retail stocking
D. Cross-docking

Answer: A

Explanation:
Breaking bulk is the process of dividing large shipments of goods into smaller lots for easier distribution.
This is a standard practice in warehousing and logistics to facilitate delivery to various locations or end users.
Unlike cross-docking, which involves minimal storage time, breaking bulk focuses on redistributing large shipments into smaller, manageable batches. In whole-life asset management, breaking bulk helps maintain streamlined operations and reduces holding costs by ensuring goods are moved efficiently and without prolonged storage.

NEW QUESTION # 179
Which of the following factors should be considered in the choice of a warehouse location?
* The type of bar coding that is used
* The impact of local authority by-laws and regulations
* The number of forklifts to be used
* The nature of the items to be stored

A. 2 and 5 only
B. 2 and 4 only
C. 1 and 3 only
D. 1 and 2 only

Answer: B

NEW QUESTION # 180
One of the important outputs of an MRP system is the material requirement plan. This plan shows the net requirements for materials or components to make the final product. Which of the following best describes the net material requirements?

A. On order + Inventory on-hand
B. Gross requirements - Inventory level - Scheduled receipt
C. Total requirements - order releases + amount on-hand
D. Gross requirements + on-order - Inventory on-hand

Answer: B

Explanation:
The net requirements are worked out using the following equation:
Net requirements = Total requirements - Available inventory
Where:
Total requirements = Gross requirements
Available inventory = Inventory on-hand + Units on-order
In the other words: Net requirements = Gross requirements - Inventory on-hand - Units on-order Inventory on-hand is also known as Inventory level, whereas Units on-order can be called Scheduled receipt.
Reference:
LO 2, AC 2.3

NEW QUESTION # 181
Removal or disposal of assets should depend on an assessment of which of the following? SelectTWOthat apply.

A. The current rate of interest for new equipment
B. The total cost of the equipment
C. Location of the equipment and accessibility
D. Consumer demand for the product
E. Type of equipment and incorporated components

Answer: C,E

NEW QUESTION # 182
......

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CIPS Whole Life Asset Management Sample Questions (Q177-Q182):

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