Most Recent APICS CPIM-Part-2 Exam Dumps

Multiple sourcing is an outsourcing approach in which products or services are contracted to various suppliers needed to conduct the business instead of using traditional single sourcing1.One of the potential advantages of multiple sourcing is that it can lower the price of the products or services, as it creates competition among the suppliers and gives the buyer more bargaining power2.Another potential advantage of multiple sourcing is that it can reduce the risk of supply disruptions, as it diversifies the supply chain and makes the buyer less dependent on any single supplier3.If one supplier fails to deliver due to unforeseen circumstances, such as natural disasters, political instability, or quality issues, the buyer can switch to another supplier or use a combination of suppliers to meet the demand4. Therefore, multiple sourcing can provide lower price and reduced risk as potential advantages in the supplier selection process.

A production cell is a group of machines or workstations that are arranged in a layout that facilitates the flow of materials and work-in-progress in a manufacturing system. A production cell is usually designed to produce a family of products or services that have similar characteristics or requirements. A production cell is often based on the principles of lean manufacturing and group technology, which aim to eliminate waste and improve quality. When designing a production cell, the most important consideration is the flow of materials into the cell and sequencing of operations to minimize total cycle time. The flow of materials into the cell refers to the movement and direction of the raw materials, components, or modules that enter the cell for processing. The sequencing of operations refers to the order and arrangement of the machines or workstations that perform the processing steps within the cell. Minimizing total cycle time refers to reducing the time it takes to complete a product or service from start to finish. By considering these factors, a production cell can achieve high efficiency, flexibility, and productivity.

The other options are not the most important considerations when designing a production cell. The unit per hour requirement for the production cell to meet the sales forecast is not the most important consideration, as it is a result of the demand planning and capacity planning functions, which are separate from the production cell design. The unit per hour requirement indicates how many units of a product or service the production cell needs to produce in an hour to meet the expected customer demand. The output rate for the first operation and move time after the last workstation are not the most important considerations, as they are only parts of the total cycle time calculation, which also includes the processing time and waiting time for each operation. The output rate for the first operation is the number of units that the first machine or workstation in the cell can produce in an hour. The move time after the last workstation is the time it takes to transport the finished product or service from the last machine or workstation in the cell to the next stage or destination. The take time requirement for each operator to meet the monthly production goals of the plant is not the most important consideration, as it is a measure of labor productivity, which is affected by factors such as skill, training, motivation, and supervision. The take time requirement for each operator is the amount of time that an operator needs to complete one unit of a product or service.Reference: CPIM Exam Content Manual Version 7.0, Domain 6: Plan, Manage, and Execute Detailed Schedules, Section 6.2: Detailed Scheduling Methods, p. 38; Cellular manufacturing; Production Cell.

Maintenance, repair, and operating (MRO) supply systems are systems that manage the inventory and procurement of the items that are used to support the production process, but are not part of the final product. MRO items include spare parts, tools, lubricants, cleaning supplies, safety equipment, and office supplies. The primary consideration in MRO supply systems typically is stockout costs. Stockout costs are the costs associated with the inability to meet the demand for an item due to insufficient inventory. Stockout costs can include lost sales, customer dissatisfaction, production downtime, emergency orders, and reputation damage. Stockout costs can be very high for MRO items, especially if they are critical for the operation and maintenance of the production equipment. Therefore, MRO supply systems should aim to minimize the risk of stockouts by ensuring adequate availability and accessibility of MRO items.

Activity-based costing (ABC) is a method of allocating costs to products or services based on the activities that consume resources in the production or delivery process. ABC identifies the cost drivers, which are the factors that cause or influence the amount of resources used for each activity. ABC then assigns costs to products or services based on the amount of cost drivers they use. An advantage of ABC is that it uses cost drivers to allocate costs to products, which provides a more accurate and realistic picture of the cost structure and profitability of each product or service. ABC helps to identify the value-added and non-value-added activities, and to eliminate or reduce the waste and inefficiency in the process. ABC does not allow raw material costs to be allocated on a per unit basis, as raw material costs are usually considered as direct costs that can be traced to each product or service. ABC does not make it easier to establish standard costs, which are the predetermined or expected costs of producing or delivering a product or service. ABC does not enable overhead costs to be allocated evenly across all products, as overhead costs are the indirect costs that cannot be traced to each product or service. ABC allocates overhead costs based on the cost drivers, which may vary for different products or services.Reference: CPIM Exam Content Manual Version 7.0, Domain 8: Manage Quality, Continuous Improvement, and Technology, Section 8.2: Continuous Improvement Concepts, p. 46; Activity-Based Costing (ABC) Definition; Activity-based costing.

The sales and operations planning (S&OP) process is a cross-functional process that aligns the demand and supply plans of an organization. The S&OP process consists of several steps, such as data gathering, demand planning, supply planning, pre-S&OP meeting, executive S&OP meeting, and S&OP implementation. The output of the S&OP process is the production plan, which is a statement of the resources needed to meet the aggregate demand plan over a medium-term horizon. The production plan can be stated in different units of measure depending on the type of manufacturing environment. In a repetitive manufacturing environment, where the same or similar products are produced continuously or at regular intervals, the production plan can be stated in terms of the number of products planned for shipment. This unit of measure reflects the volume and mix of products that are expected to be sold and delivered to the customers. The number of products planned for shipment can also be used to calculate the capacity requirements, material requirements, and inventory levels for each product family.