CPIM Practice Exam

Which of the following is a primary activity in manufacturing planning and control?

1. Inventory management and cost information

2. Sales support and cost information

3. Production planning and inventory management

4. Sales support, demand management, and purchasing

The correct answer is: Production planning and inventory management

In manufacturing planning and control, production planning and inventory management are critical components that ensure the effective flow of materials and resources through the production process. Production planning involves scheduling production activities, determining the necessary resources and capacity, and aligning production with demand forecasts. This activity ensures that the manufacturing process runs smoothly and efficiently, meeting customer requirements while minimizing costs. Inventory management, on the other hand, focuses on maintaining optimal inventory levels to prevent stockouts or excess inventory, which can both lead to inefficiencies and increased costs. It ensures that the right amount of materials is available at the right time, which directly impacts production scheduling and overall operational performance. Combining these two activities creates a framework where production efficiency is maximized while maintaining cost-effectiveness, ultimately supporting the overall goals of manufacturing planning and control. This is why the choice emphasizing production planning and inventory management accurately reflects a primary activity in this area.