QUESTION: 129

Each of the following actions would reduce safety stock levels EXCEPT:

Reduce forecast error
Increase lead times
Reduce the customer service target
Adopt a make-to-order strategy

Answer(s): B

Reveal Solution Next Question

QUESTION: 130

Which tactic would successfully reduce cycle stock?

Increase annual usage of an item
Reduce ordering costs
Reduce carrying costs
Increase setup costs

Answer(s): B

Reveal Solution Next Question

What is the demonstrated weekly capacity of a line based upon the following data? Efficiency = 80%, Utilization = 100%, Available weekly hours = 1,000. Last 5 weeks output (in standard hours), 1000, 1,100, 1,200, 900, 1,300

800
1,000
1,100
1,500

Answer(s): C

Reveal Solution Next Question

QUESTION: 132

What will be the impact on inventory turns if average inventory levels are cut in half and all other operating conditions remain the same?

Turns will double
Turns will remain constant
Turns will be cut in half
Turns will increase by the square root of 2

Answer(s): A

Reveal Solution Next Question

Free CPIM Exam Braindumps (page: 33)

QUESTION: 129

QUESTION: 130

QUESTION: 131

QUESTION: 132