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Data Analysis & System Implementation Flashcards

7 cards from real MRP practice questions. Tap to flip, then mark Knew It or Still Learning โ€” missed cards come back until you master them.

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  1. When analyzing MRP output, a planner notices that planned orders are being generated for items already in stock above safety stock levels. What is the most likely cause?

    Answer: The safety stock level is set higher than the on-hand quantity

    When safety stock exceeds on-hand inventory, MRP interprets the gap as a net requirement and generates planned orders to replenish up to the safety stock level.

  2. A company wants to evaluate the accuracy of its MRP system after implementation. Which metric directly measures how well the system predicted actual demand?

    Answer: Mean absolute percentage error (MAPE) of demand forecasts

    MAPE measures the average percentage deviation between forecasted and actual demand, directly assessing MRP forecast accuracy.

  3. During MRP system implementation, which data element must be verified for every purchased item to ensure accurate planned order release dates?

    Answer: Vendor lead time

    Vendor lead time offsets planned order releases backward from the need date so materials arrive in time; inaccurate lead times directly cause late or premature orders.

  4. An MRP analyst is reviewing pegging data. What does pegging allow the analyst to determine?

    Answer: The source demand driving a specific planned order

    Pegging traces a planned order upward through the BOM to identify which parent demand or sales order created the requirement.

  5. Which type of data cleansing activity is most critical before going live with an MRP system?

    Answer: Reconciling on-hand inventory balances to physical counts

    Inaccurate on-hand balances directly corrupt MRP net requirement calculations, so physical inventory reconciliation is essential before go-live.

  6. A company uses period order quantity (POQ) as its lot sizing rule. If the POQ interval is 4 weeks and net requirements are 50, 0, 30, and 20 units over those weeks, what is the planned order quantity?

    Answer: 100 units

    POQ aggregates all net requirements within the specified interval (50+0+30+20=100), placing one order to cover the entire period.

  7. When implementing MRP, a project team discovers that 30% of BOMs have not been updated in over two years. What is the recommended corrective action before system go-live?

    Answer: Conduct a BOM audit and update all structures to reflect current production processes

    Outdated BOMs cause MRP to plan for wrong components or quantities, so a pre-go-live audit and correction is essential for system integrity.

Data Analysis & System Implementation Flashcards โ€” MRP Study Cards with Answers