APICS PRODUCTION AND

INVENTORY MANAGEMENT
(CPIM PART 1) CERTIFICATION
CPIM Part 1 Practice Test and Preparation Guide

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MANAGEMENT. YOU CAN COLLECT ALL INFORMATION ON CPIM PART 1 TUTORIAL, PRACTICE
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 CPIM Part 1 Practice Test
CPIM Part 1 is APICS Certified in Production and Inventory Management - Part 1–
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APICS Production and Inventory Management Certification Practice Exam 1

CPIM Part 1 Exam Details

APICS Certified in Production and Inventory

Exam Name
Management - Part 1
Exam Code CPIM Part 1

PLUS member Exam Fee USD $495

CORE
member/nonmember USD $690
Exam Fee
Retake Exam Fee USD $250

Exam Duration 210 Minutes

Number of Questions 150

Passing Score 300 / 350

Format Multiple Choice Questions

Schedule Exam Pearson VUE

APICS CPIM Part 1 Exam Sample Questions and
Sample Questions
Answers

APICS Certified in Production and Inventory

Practice Exam
Management (CPIM) Practice Test

APICS Production and Inventory Management Certification Practice Exam 2

 CPIM Part 1 Exam Syllabus

Topic Details Weights

Business- A. Supply Chain Fundamentals: 25%
wide
Concepts - The concept of a global network used to deliver products and
services from raw materials to end consumers through a structured
flow of information, physical distribution, and cash. It includes
managing conflicts that occur within the supply chain. Businesses
are also called upon to demonstrate social responsibility in operating
their supply chains.

B. Operating Environments:

- Global, domestic, environmental, and stakeholder influences affect

the key competitive factors, customer needs, culture, and
philosophy of a company. This environment becomes the framework
in which business strategy is developed and implemented.

C. Financial Fundamentals:

- Basic financial statements define the financial reporting common to

most businesses. Underlying costs and analysis terms provide
further understanding of statement information and often serve as
the basis for management decisions.

Demand A. Market Driven: 25%

Manageme
nt - Consumer needs, competitive sources, economic conditions and
government regulations determine the demand experienced by
suppliers.

B. Voice of the Customer:

- Actual customer word descriptions of the functions and features

that customers desire for goods and services.

C. Demand Management:

- Demand management is the function of recognizing all demands

for goods and services to support the marketplace. Demand
management serves as a key input into the sales and operations
plan and master production schedule (MPS).

APICS Production and Inventory Management Certification Practice Exam 3

Transform A. Product and Process Design: 25%
ation of
Demand - Design affects product and process, the resulting framework of
into planning system parameters, and the requirement for data
appropriate in source, content, and accuracy. Collaboration with
Supply
customers and suppliers will improve product and process design.

B. Capacity Management:

- This section includes the function of establishing, measuring,

monitoring, and adjusting limits or levels of capacity to execute all
schedules. Capacity management encompasses resource
requirements planning, rough-cut capacity planning, capacity
requirements planning, input/output controls, and constraints
management.

C. Planning:

- Includes the process of setting goals for the organization and

choosing how to use the organization’s resources to achieve them.
These different planning techniques vary depending on traditional,
lean, or Theory of Constraints operating environments.

Supply A. Inventory:

- The stocks or items used to support production (raw materials and

work-in-process items), supporting activities (maintenance, repair,
and operating supplies), and customer service (finished goods and
service parts).

B. Purchasing Cycle:

- The function and responsibility for understanding demand,

sourcing, procuring materials, supplies, or services, receiving goods,
and approving invoices for payment.

C. Distribution:

- The activities associated with the movement of material between

the supplier, manufacturer, and customer. These activities
encompass the functions of transportation, warehousing, inventory
control, material handling, order administration, site and location
analysis, industrial packaging, data processing, and the
communications network necessary for effective management. It
includes all activities related to physical distribution, as well as the
return of goods to the manufacturer.

APICS Production and Inventory Management Certification Practice Exam 4

CPIM Part 1 Questions and Answers Set

01. What is the major disadvantage of a fixed location warehouse?

a) Put away time is increased.

b) Cube utilization is poor.

c) Dock time is increased.

d) Material handling costs rise.

Answer: b

02. Which of the following is used to manage queues and lead times?

a) Forward scheduling.

b) Rough-cut capacity planning.

c) Material requirements planning.

d) Input/output control.

Answer: d

03. Which of the following identifies the demand for capacity at a work
center in a specific time period?

a) Bill of labor.

b) Dispatch list.

c) Scheduled receipts.

d) Work center load.

Answer: d

APICS Production and Inventory Management Certification Practice Exam 5

04. How many of what products are needed and when products are needed
are questions of which of the following?

a) Priority

b) Capacity

c) Revenue

d) Margins

Answer: a

05. Which of the following BEST describes the concept VMI?

a) Visual management of the inventory levels.

b) Allowing the supplier to manage the day-to-day inventory levels.

c) Consignment of the inventory.

d) Vertical grouping of the inventory.

Answer: b

06. An important measure of an effective quality measure should be which

of the following?

a) Easy for the user to understand.

b) Based on accounting information.

c) Developed by the Quality Department.

d) Used to evaluate individual performance.

Answer: a

APICS Production and Inventory Management Certification Practice Exam 6

07. Providing customers with what they want at low cost describes the
relationship between which of the following?

a) TQM and production planning.

b) TQM and CRP.

c) JIT and TQM.

d) MRP II and JIT.

Answer: c

08. Work-in-process inventory serves to decouple which of the following?

a) Production from suppliers.

b) Finished good inventory from customer demand.

c) An operation from succeeding operations.

d) Production from distribution channels.

Answer: c

09. In projecting demand for a standard design commodity, which of the

following factors is typically MOST important?

a) Post-sales service.

b) Product features.

c) Quality controls.

d) Competitive pricing.

Answer: d

APICS Production and Inventory Management Certification Practice Exam 7

10. The end items and quantities to be produced by period are defined by
which of the following?

a) Strategic business plan.

b) Production plan.

c) Master production schedule.

d) Dispatch list.

Answer: c

APICS Production and Inventory Management Certification Practice Exam 8

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APICS Production and Inventory Management Certification Practice Exam 9