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CIPS Whole Life Asset Management Sample Questions (Q192-Q197):

NEW QUESTION # 192
A light bulb supplier's catalogue shows a list of different products and product codes. Here is an example:
5WBC201, 5WBC202, 5WBC203. This supplier is using which of the following product coding structures?

A. Significant coding with sequential numbering
B. Standard barcode format
C. Symbolic coding with numeric grouping
D. Serial numbering of individual items

Answer: A

Explanation:
Significant coding with sequential numbering assigns codes that reflect specific product attributes (e.g., wattage, type) with an added sequential number for unique identification. This approach facilitates easy identification and tracking, an essential feature in whole-life asset management for maintaining organized inventory records.

NEW QUESTION # 193
Which of the following is the most suitable container of fasteners (screws, nails, nuts and bolts,...)?

A. Pallet
B. Bar rack
C. Stock cage
D. Tote box

Answer: D

Explanation:
Tote box is the reusable storage box. These can be open or have lids or flaps to close them and come in a large variety of sizes and weight loadings.

A tote is ideal for holding and hauling items such as: tools, fasteners, bark dust, dry cement, cords, wires, smaller boxes,...
Pallets are the platform structures designed to support a load and be lifted using the forks (typically seen on forklift trucks and other equipment). These are in a variety of standard sizes and can be made of many materials including plastics, resin, board or timber. Pallets are not containers, but support platforms.

Bar racks are designed to store bars and pipes

Stock cages are available in many sizes and can hold single items or groups of items

Reference:
LO 1, AC 1.1

NEW QUESTION # 194
In inventory management, the cost of insurance and taxes are included in which group?

A. Set up costs
B. Costs of shortage
C. Acquisition costs
D. Inventory carrying cost

Answer: D

Explanation:
Direct and indirect costs of holding inventory include the following:
1. Acquisition costs
2. Holding costs (carrying costs) are the costs associated with the storage and handling of physical stock.
There are two different types of holding costs:
a. Costs related to the value of the goods: financial costs (i.e. the interest on the working capital tied up in inventory, which may be the bank borrowing rate or the company's target for return on capital); cost of insurance; losses due to product deterioration; losses due to obsolescence and redundancy of inventory; losses due to theft, accidental damage etc.
b. Costs related to the physical characteristics of the inventory include the following: storage space; power, heat and lighting of the store; movement equipment; labour costs; administration costs.
3. Costs of stockouts

NEW QUESTION # 195
A group of items which are stacked together for more convenient movement is called...?

A. Load cell
B. Unit load
C. Stacker
D. Unit price

Answer: B

Explanation:
Unit load is a term used to describe grouping of different items into a convenient stack or stacks which make them easy to handle and store. Typically this involves pallets and/or the plastic wrap-ping of a load.
Stacker is designed to lift and stack pallets. This one is fully mobile so can move easily around the warehouse.
An operator would typically sit or stand while driving like a counterbalanced, reach or straddle lift truck.
A load cell is a type of transducer, specifically a force transducer. It converts a force such as ten-sion, compression, pressure, or torque into an electrical signal that can be measured and standard-ized.
Unit price is the price of a single product or service, used for example when buying several things together to refer to the price of each one.

NEW QUESTION # 196
Which of the following are warehouse layouts that allow the cross aisle to meet picking aisle at angles different from 90 degrees?
1. 'Fan' shaped layout
2. Herringbone-shaped layout
3. U-shape layout
4. L-shape layout

A. 3 and 4 only
B. 2 and 3 only
C. 1 and 2 only
D. 1 and 3 only

Answer: C

Explanation:
In a traditional warehouse, storage racks are arranged to create parallel picking aisles, perhaps with one or more cross aisles to allow workers to move quickly between picking aisles. This structure forces workers to travel rectilinear distances (north-south and east-west) to picking locations.

Kevin R. Gue and Russell D. Meller proposed alternative aisle designs:
- The 'Fan' shaped layout (or "Flying V"). This layout maintains parallel picking aisles, but al-lows the cross aisle to take on a different shape. If travel begins and ends at the bottom of the V, Gue and Meller expected distance to retrieve a single pallet is 10% less in this warehouse than in an equivalent traditional design.
- The Herringbone-shaped layout (or commonly referred as Fishbone layout) combines the verti-cal picking rows of a traditional warehouse with a second set of horizontal picking rows, divided by a V-shaped diagonal alley crossing the entire warehouse. This simple modification to the typical warehouse design allows employees (e.g. a forklift driver) to increase travel speed between picking locations. Efficiency gains achieved through a layout reconfiguration would reduce picking cost up to 23% compared to an equivalent warehouse using a traditional configuration.

Reference
Aisle Design - Kevin Gue
LO 1, AC 1.1

NEW QUESTION # 197
......

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