Practice Test Geeks(APICS) American Production and Inventory Control Society Certified Practice Test
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Supply Planning Flashcards

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  1. Which supply planning technique adjusts planned orders by offsetting lead time to ensure materials arrive exactly when needed?

    Answer: Lead time offsetting

    Lead time offsetting shifts planned order releases backward in time by the item's lead time so materials arrive when needed for production.

  2. In a distribution requirements planning (DRP) system, what drives the replenishment orders from a central warehouse to branch locations?

    Answer: Net requirements generated by branch-level demand forecasts

    DRP generates replenishment orders for the central warehouse based on net requirements calculated at each branch distribution point.

  3. A planner notices that planned orders frequently change between planning cycles, causing supplier disruptions. Which metric best quantifies this instability?

    Answer: Planning nervousness index

    Planning nervousness is the measure of how much the MRP-generated schedule changes between successive planning runs, often caused by small forecast changes.

  4. When using the fixed-period quantity (FPQ) lot-sizing rule, orders are placed:

    Answer: At fixed intervals covering a predetermined number of periods of demand

    FPQ aggregates demand across a fixed number of future periods into a single order placed at regular time intervals.

  5. Which of the following is the primary input that drives Material Requirements Planning (MRP) calculations?

    Answer: The Master Production Schedule (MPS)

    The MPS defines what end items need to be produced and when, serving as the top-level demand input that drives all MRP explosion calculations.

  6. A company wants to reduce supply plan volatility without using time fences. Which approach would most directly accomplish this?

    Answer: Applying a demand filter or smoothing technique to the forecast

    Demand filtering or forecast smoothing reduces erratic signal changes that cause MRP to generate unstable, frequently revised planned orders.

  7. In supply planning, 'available-to-promise' (ATP) inventory is calculated as:

    Answer: On-hand plus scheduled receipts minus customer orders booked before the next replenishment

    ATP represents uncommitted inventory that can be promised to new customer orders, calculated as supply minus already-committed demand in each time bucket.