CPIM Part 1 Terminology

Random-Location Storage CORRECT ANSWER A storage technique in which parts are placed in any space that is empty when they arrive at the storeroom. Although this random method requires the use of a locator file to identify part locations, it often requires less storage space than a fixed-location storage method. Queue Time CORRECT ANSWER The amount of time a job waits at a work center before setup or work is performed on the job. Queue time is one element of total manufacturing lead time. Increases in queue time result in direct increases to manufacturing lead time and work-in-process inventories. Raw Material CORRECT ANSWER Purchased items or extracted materials that are converted via the manufacturing process into components and products. Random Variation CORRECT ANSWER A fluctuation in data that is caused by uncertain or random occurrences. Load CORRECT ANSWER The amount of planned or work scheduled for and actual work released to a facility, work center, or operations for a specific span of time. Usually expressed in terms of standard hours of work or, when items consume similar resources at the same rate, units of production. Load Profile CORRECT ANSWER A display of future capacity requirements based on released and/or planned orders over a given span of time. Lead-time Offset CORRECT ANSWER A technique used in MRP where a planned order receipt in one time period requires the release of that order in an earlier time period based on the lead time for the item.