CPIM-8.0 Exam Questions and Answers

QUESTION: 21

If the total part failure rate of a machine is 0.00055 failures per hour, what would be the mean time between failures (MTBF) in hours?

1,818.2
59.99945
1.98
0.99945

Answer(s): A

Explanation:

The mean time between failures (MTBF) is the inverse of the failure rate. The failure rate is given as 0.00055 failures per hour, so the MTBF is 1/0.00055 = 1,818.2 hours. This means that the average time the machine operates without failing is 1,818.2 hours.

Reference:

MTBF Formula | How to Calculate Mean Time Between Failure? - EDUCBA, Mean time between failures - Wikipedia

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QUESTION: 22

Which of the following statements is true about total productive maintenance (TPM)?

It uses statistical tools.
It is part of the business strategy.
It influences the product design process.
It minimizes unscheduled breakdowns.

Answer(s): D

Explanation:

Total productive maintenance (TPM) is a holistic approach to equipment maintenance that strives to achieve perfect production: no breakdowns, no small stops or slow running, no defects, and no accidents. TPM emphasizes proactive and preventative maintenance to maximize the operational efficiency of equipment. It blurs the distinction between the roles of production and maintenance by placing a strong emphasis on empowering operators to help maintain their equipment. The implementation of a TPM program creates a shared responsibility for equipment that encourages greater involvement by plant floor workers. In the right environment, this can be very effective in improving productivity and quality. One of the eight pillars of TPM is planned maintenance, which aims to reduce the frequency of breakdowns and minimize the impact of failures on production. Planned maintenance involves scheduling maintenance activities based on the actual condition of the equipment, rather than on a fixed time interval. This reduces the risk of over-maintenance or under-maintenance, and optimizes the use of resources. Planned maintenance also involves improving the maintainability and reliability of the equipment, by identifying and eliminating the root causes of failures, and implementing design changes or modifications.

Reference:

Total Productive Maintenance | Lean Production, Total productive maintenance - Wikipedia, Total Productive Maintenance (TPM): 8 Pillars, Benefits and ... - Appvizer

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QUESTION: 23

A planner has chosen to increase the order point for a raw material.
Which of the following costs is most likely to increase?

Carrying
Ordering
Landed
Product

Answer(s): A

Explanation:

The order point is the level of inventory that triggers a replenishment order. By increasing the order point, the planner is increasing the average inventory level, which in turn increases the carrying cost. Carrying cost is the cost of holding inventory, such as storage, insurance, obsolescence, and opportunity cost. Ordering cost, landed cost, and product cost are not directly affected by the order point.

Reference:

What is Inventory Reorder Point in Inventory Management? - Deskera, Reorder Point Defined: Formula & How to Use | NetSuite

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QUESTION: 24

Which of the following environments is most suitable for the use of kanban systems?

Short product life cycles
High levels of customization
Intermittent production
Stable and predictable demand

Answer(s): D

Explanation:

Kanban is a pull system that uses visual signals to trigger the replenishment of materials or parts. It works best in environments where the demand is stable and predictable, and the production process is continuous and standardized. Kanban helps to reduce inventory, waste, and lead time by synchronizing the production and consumption rates. Kanban is not suitable for environments where the demand is volatile, the product life cycle is short, the production process is intermittent, or the product is highly customized. These factors would require frequent changes in the kanban system and reduce its effectiveness.

Reference:

* CPIM Part 1 Study Guide, Chapter 4: Demand Management, Section 4.3: Pull Systems and Kanban
* CPIM Part 2 Study Guide, Chapter 1: Execution of Operations, Section 1.4: Lean Production and JIT
* What Is the Kanban System? - Investopedia
* Kanban - What Is it? | Lean Enterprise Institute

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QUESTION: 25

Risk pooling would work best for items with:

low demand uncertainty and short lead times.
low demand uncertainty and long lead times.
high demand uncertainty and short lead times.
high demand uncertainty and long lead times.

Answer(s): D

Explanation:

Risk pooling is the concept of reducing the variability in demand for raw materials or finished goods by aggregating demand across multiple locations or products. By doing so, the demand fluctuations are more likely to cancel out each other, resulting in a lower safety stock and inventory cost. Risk pooling works best for items with high demand uncertainty and long lead times, because these items have the highest risk of stockouts and the highest inventory holding cost. If the demand uncertainty is low, there is less need for risk pooling, as the demand can be easily forecasted and met. If the lead time is short, the replenishment orders can be placed more frequently and adjusted to the actual demand, reducing the need for safety stock and risk pooling.

Reference:

1 Inventory risk pooling definition -- AccountingTools 3
2 Supply Chain Management: Risk pooling - UNB 4

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APICS CPIM-8.0 Exam (page: 5) APICS Certified in Planning and Inventory Management (CPIM 8.0) Updated on: 09-Feb-2026

QUESTION: 21

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QUESTION: 22

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QUESTION: 23

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QUESTION: 24

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QUESTION: 25

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APICS CPIM-8.0 Exam (page: 5)
APICS Certified in Planning and Inventory Management (CPIM 8.0)
Updated on: 09-Feb-2026