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APICS CPIM-Part-2 Exam Questions
- Topic 1: Align the Supply Chain to Support the Business Strategy: This topic covers the essential understanding of the business landscape and the development and implementation of strategies to ensure the supply chain is aligned with corporate goals. It includes sub-topics such as defining KPIs, managing risks, and designing processes to support strategic objectives.
- Topic 2: Conduct Sales and Operations Planning (S&OP) to Support Strategy: The section focuses on the role of S&OP in strategic support, with sub-topics covering the review of demand, supply, and financial plans, and their reconciliation to ensure a cohesive strategy.
- Topic 3: Plan and Manage Demand: Here, the topic centers on understanding customer needs and specifications, with sub-topics covering marketing considerations, demand sources, and forecast generation to effectively plan and manage demand.
- Topic 4: Plan and Manage Supply: This section details the creation of master schedules and the management of material requirements, including rough-cut capacity planning and final assembly scheduling, to ensure a seamless supply process.
- Topic 5: Plan and Manage Inventory: The topic covers inventory planning, management, and cost control, including returns and product disposition, with sub-topics detailing the monitoring and management of inventory-related costs.
Free APICS CPIM-Part-2 Exam Actual Questions
Note: Premium Questions for CPIM-Part-2 were last updated On Oct. 13, 2026 (see below)
A factory work center has the following work orders. What is the load on this work center?
The load on a work center is the total time required to complete all the work orders assigned to that work center. The load can be calculated by multiplying the quantity and the run time of each work order, and then adding them up. The formula is:
Load = (Q1 x R1) + (Q2 x R2) + ... + (Qn x Rn)
Where Q is the quantity and R is the run time of each work order.
Using the data from the table, we can plug in the values and get:
Load = (10 x 8) + (15 x 9) + (12 x 7.5) + (20 x 10) + (8 x 6.5) = 80 + 135 + 90 + 200 + 52 = 557
Therefore, the load on this work center is 557 hours.
Components of an organization's immediate industry and competitive environment include:
An organization's immediate industry and competitive environment includes the factors that directly affect its ability to compete and achieve its goals.These factors are often analyzed using Porter's Five Forces model, which identifies five competitive forces that shape the industry: threat of new entrants, power of suppliers, power of buyers, threat of substitute products, and rivalry among existing competitors1. Among these forces, substitute products are the most relevant component of the immediate industry and competitive environment, as they represent the alternative solutions that customers can choose instead of the organization's products.Substitute products can reduce the demand and profitability of the organization's products, as well as increase the price sensitivity and bargaining power of customers1.
The other options are not components of the immediate industry and competitive environment, but rather components of the general or macro environment.The general or macro environment includes the broader factors that affect all organizations in a society or a market, such as political, economic, social, technological, environmental, and legal factors2.These factors are often analyzed using PESTEL analysis, which helps organizations identify the opportunities and threats arising from the external environment2.Among these factors, political factors include the government policies, regulations, and stability that affect the organization's operations and decisions2.Interest rates are part of the economic factors that include the market conditions, growth, inflation, unemployment, and exchange rates that affect the organization's performance and profitability2.Sociocultural forces are part of the social factors that include the demographics, values, beliefs, lifestyles, and preferences of the customers and society that affect the organization's demand and customer satisfaction2.
An outlier has been identified in the demand data for an item. The most appropriate next step would be to:
An outlier is a data point that falls outside of the expected range of the data, i.e., it is an unusually large or small data point1.Outliers can have a significant adverse impact on the forecasts, as they can skew the data distribution and distort the statistical analysis2. Therefore, it is important to detect and remove outliers from the demand data before generating forecasts.
One of the techniques that can be used to detect outliers is to use the standard deviation of the data, or the equivalent z-score, to determine the outlier limit3. For example, one approach is to set the lower limit to three standard deviations below the mean, and the upper limit to three standard deviations above the mean. Any data point that falls outside this range is detected as an outlier.
However, detecting outliers is not enough. The most appropriate next step would be to screen the outlier for manual review.This means that the detected outlier should be examined by a human expert to determine whether it is a true outlier or not, and whether it should be corrected or not4. This is because not all outliers are erroneous or irrelevant. Some outliers may be valid observations that reflect real changes in demand, such as seasonal peaks, promotional effects, or market trends. In such cases, correcting or removing the outliers may lead to inaccurate or biased forecasts.
Therefore, screening the outlier for manual review can help verify the cause and validity of the outlier, and decide on the best course of action. Some of the possible actions are:
Correcting the outlier: replacing the outlier with a more typical value based on historical data or expert judgment. This can smooth out the data and reduce the noise.
Separating the demand streams: splitting the data into two or more series based on different factors that influence demand, such as product type, customer segment, or distribution channel. This can isolate the outliers and allow different forecasting methods to be applied to each series.
Adjusting the forecasting model: modifying the parameters or assumptions of the forecasting model to account for the outliers, such as using a different smoothing factor, trend component, or error term. This can improve the fit and accuracy of the model.
If all other factors remain the same, when finished goods inventory investment is increased, service levels typically will:
Finished goods inventory is a type of inventory that consists of the final products that are ready for sale to the customers. Finished goods inventory investment is the value of the finished goods inventory held by the company. Service level is a measure of customer satisfaction that indicates the percentage of customer orders that can be fulfilled from the available inventory. Service level typically will increase when finished goods inventory investment is increased, because more inventory means more ability to meet the customer demand. However, the relationship between service level and finished goods inventory investment is not linear, but rather asymptotic. This means that service level will increase at a decreasing rate as finished goods inventory investment increases. In other words, the marginal benefit of increasing finished goods inventory investment will diminish as the service level approaches 100%. This is because there is a limit to how much inventory can improve the service level, and beyond a certain point, the additional inventory will not have a significant impact on customer satisfaction.
An increase in the scrap allowance in an assembled item will result in which of the following consequences?
Scrap allowance is a percentage or quantity of material that is expected to be lost or wasted during the production process. Scrap allowance is usually applied to the component items in a bill of materials (BOM), which is a document that lists the materials, quantities, and relationships required to produce an end item. An increase in the scrap allowance in an assembled item will result in replanning of the component items in material requirements planning (MRP), which is a system that calculates the timing and quantity of materials and resources needed to meet the production plan. Replanning of the component items in MRP means that the system will adjust the planned order releases, order quantities, and due dates of the component items to account for the increased scrap allowance. Replanning of the component items in MRP will ensure that enough material is available to meet the demand for the assembled item, and to avoid shortages or excess inventory.
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