What is the name given to an additional file attached to an inventory file that links a requirement to the specific order or component that triggered it?
Answer : D
Comprehensive and Detailed Explanation From Exact Extract:
A peg record provides ''pegging,'' i.e., a traceable link between demand (e.g., a customer order/MPS line) and the specific supply created to satisfy it. (CIPS L5M10 Study Guide, p. 186)
Question 2
Jerry is a Supply Chain Manager at Barnacles Ltd. He wants a system that enhances integration with suppliers and allows joint visibility of inventory. Which system should he invest in?
Answer : B
Comprehensive and Detailed Explanation From Exact Extract:
CPFR promotes collaborative data sharing and joint visibility between supply chain partners, improving forecasting, replenishment, and inventory management accuracy. Data warehousing and WMS are internal systems; Six Sigma focuses on quality improvement, not collaboration.
(Reference: CIPS L5M10 Study Guide, CPFR systems and supply chain visibility, p. 5)
Question 3
There are several types of incentives to encourage household recycling. Of the below, which is an example of a 'buy back'?
Answer : A
Comprehensive and Detailed Explanation From Exact Extract:
A buy-back scheme involves a company purchasing used materials from consumers for reuse, recovery, or recycling --- e.g., paying for returned copper pipes.
Other incentive types:
Deposit schemes (option B) -- refunds when packaging is returned.
Free collection (option C) -- logistical support incentive.
Trade-in (option D) -- part-exchange schemes.
(Reference: CIPS L5M10 Study Guide, Incentives for household recycling, pp. 194--195)
Question 4
Demand for a product can be classified as either dependent or independent. Which of the following companies produces a dependent demand item?
Answer : C
Comprehensive and Detailed Explanation From Exact Extract:
Dependent demand refers to items whose demand is directly derived from another product's production---e.g., tyres depend on car production volumes. In contrast, demand for end products such as ice cream or clothing is independent, influenced by consumer behaviour rather than other production outputs.
(Reference: CIPS L5M10 Study Guide, Dependent vs. independent demand concepts, p. 114)
Question 5
Strategic planning is long-term planning, usually over 5--10 years in the future. Is this sentence correct?
Answer : A
Comprehensive and Detailed Explanation From Exact Extract:
Strategy deals with long-term direction and typically contains broad objectives with lower detail; tactical (mid-term) and operational (short-term) plans add specificity and detail. Therefore, longer-horizon strategic plans contain less operational detail than short-term plans. (Reference: CIPS L5M10 Study Guide, Planning horizons---strategic/tactical/operational, pp. 99--100)
Question 6
A Master Production Schedule (MPS) will create a production plan for an item over a period. Which sources will the MPS take information from? Select THREE
Answer : C, D, E
Comprehensive and Detailed Explanation From Exact Extract:
The MPS is driven by forecast demand, firm customer orders, and current inventory/availability to decide what, how much, and when to make. Financial statements and prices are not direct inputs to the MPS. (CIPS L5M10 Study Guide, p. 180)
Question 7
Which of the following standards apply to the use of RFID and other digital data structures regarding personal privacy and data collection?
Answer : B
Comprehensive and Detailed Explanation From Exact Extract:
ISO 20248 defines data structures and digital signature meta-structures for AIDC technologies like barcodes and RFID, addressing authentication, privacy, and traceability.
(Reference: CIPS L5M10 Study Guide, RFID standards and compliance, p. 85)
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