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CIPS L5M10 Exam Syllabus Topics:
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CIPS Logistics Management Sample Questions (Q76-Q81):
NEW QUESTION # 76
Which of the following areadvantagesof introducing a Materials Requirements Planning (MRP) system to a business? Select TWO.
- A. Better customer service
- B. Reduced inventory costs
- C. More agile supply chain
- D. Less time spent repairing machines
Answer: A,B
Explanation:
Comprehensive and Detailed Explanation From Exact Extract:
MRP systems synchronise material requirements with production schedules, reducing unnecessary inventory and ensuring timely delivery-thus improving customer service and reducing carrying costs. MRP does not directly enhance machine repair or agility (which are Lean/ERP benefits).
(Reference: CIPS L5M10 Study Guide, Advantages of MRP systems, p. 188)
NEW QUESTION # 77
Red Lettuce Ltd is a manufacturer of screwdrivers. It uses afinite loadingapproach in its work centres. What does this mean?
- A. Each work centre is given a target number of items to produce
- B. The amount of work given to each work centre is limited to a specific amount
- C. Each work centre produces items to a specific budget
- D. Demand for work may vary from work centre to work centre
Answer: B
Explanation:
Comprehensive and Detailed Explanation From Exact Extract:
Finite loadingassigns work to production centres only up to their available capacity and processing time. It ensures that the workload remains realistic and prevents overloading any resource. By contrast,infinite loadingignores capacity limits and assigns all work regardless of availability, leading to backlogs or bottlenecks.
(Reference:CIPS L5M10 Study Guide, Production planning - finite vs. infinite loading, p. 120)
NEW QUESTION # 78
Omar is forecasting future demand. Normally he uses three years of sales data, but this year he's been asked to include data back to 2004. Which forecasting technique is he using?
- A. Time series method
- B. Simple linear regression
- C. Moving average technique
- D. Exponential smoothing technique
Answer: D
Explanation:
Comprehensive and Detailed Explanation From Exact Extract:
Exponential smoothing gives progressively less weight to older data but uses the entire historical dataset to forecast future demand. Moving averages, by contrast, use a fixed number of recent periods. (Reference: CIPS L5M10 Study Guide, Demand forecasting methods, p. 157)
NEW QUESTION # 79
Harry is a Project Manager at a logistics organisation and is planning long-term for the development of his department. Harry should focus his strategic long-term plan on control measures that should be put in place. Is this true?
- A. Yes - control is the process adopted by an organisation to cope with changes in plans
- B. No - Harry should focus on contingencies at the strategic planning stage
- C. Yes - control measures should be considered as part of all plans
- D. No - strategic plans have little emphasis on control measures and focus on resource requirements
Answer: D
Explanation:
Comprehensive and Detailed Explanation From Exact Extract:
Inlong-term (strategic) planning, the emphasis is on direction andresource requirements, withlittle emphasis on detailed control measures; contingency details are typically considered attactical/mid-term levels. (CIPS L5M10 Study Guide, p. 104)
NEW QUESTION # 80
Which pieces of information would you require to calculate aBOM explosure? Select TWO
- A. Price of the materials
- B. Lead-time of the materials
- C. Current inventory levels
- D. Materials required to complete an order
Answer: C,D
Explanation:
Comprehensive and Detailed Explanation From Exact Extract:
ABOM explosuredetermines net requirements by expanding theBill of Materialsfor an order and offsetting it againstcurrent inventory/receiptsto find what must be procured or made. Prices and lead times are relevant for scheduling/costing, not for the netting calculation itself. (CIPS L5M10 Study Guide, p. 182)
NEW QUESTION # 81
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