CPIM Practice Exam

Which term describes the item produced from components?

1. Subassembly

2. Parent item

3. Intermediate item

4. Production item

The correct answer is: Parent item

The term that accurately describes the item produced from components is the parent item. In the context of production and inventory management, a parent item is the final product that is made up of various components or subassemblies. Understanding this relationship is essential because it highlights the hierarchical nature of Bill of Materials (BOM), where the parent item represents the complete product that is sold to customers. In contrast to this, subassemblies are essentially parts that may themselves comprise multiple components, but they are not the final product. Intermediate items are usually parts that are used during the production process but may not necessarily be sold directly or fully assembled. A production item could refer to any item involved in the manufacturing process, but it does not specifically denote the final product derived from components. Thus, the notion of a parent item provides clear insight into the product-chains in manufacturing processes.