Which concept uses planned inputs and outputs for each work center developed by CRP and approved by management, with actual inputs compared to planned to identify variances?

Study for the APICS CPIM Exam 1. Prepare with expertly crafted flashcards, multiple-choice questions, and detailed explanations. Gear up for success!

Multiple Choice

Which concept uses planned inputs and outputs for each work center developed by CRP and approved by management, with actual inputs compared to planned to identify variances?

Explanation:
Input/output control focuses on aligning shop-floor execution with the approved plan by using planned inputs and outputs for each work center. The plan, developed through capacity requirements planning (CRP) and approved by management, sets the expected amount of work a center should take in and produce in a given period. On the floor, actual inputs entering the work center and actual outputs produced are measured and compared to the plan. The differences, or variances, reveal whether capacity is being under- or over-utilized, whether the work pace is off, or if yield differs from expectations. This variance information drives adjustments to schedules, resource allocation, or release of work to keep performance in line with the plan. In other concepts, one option involves loading work without capacity constraints, another focuses on calculating capacity needs rather than monitoring ongoing performance, and another centers on stopping the line to fix quality issues.

Input/output control focuses on aligning shop-floor execution with the approved plan by using planned inputs and outputs for each work center. The plan, developed through capacity requirements planning (CRP) and approved by management, sets the expected amount of work a center should take in and produce in a given period. On the floor, actual inputs entering the work center and actual outputs produced are measured and compared to the plan. The differences, or variances, reveal whether capacity is being under- or over-utilized, whether the work pace is off, or if yield differs from expectations. This variance information drives adjustments to schedules, resource allocation, or release of work to keep performance in line with the plan. In other concepts, one option involves loading work without capacity constraints, another focuses on calculating capacity needs rather than monitoring ongoing performance, and another centers on stopping the line to fix quality issues.

Subscribe

Get the latest from Passetra

You can unsubscribe at any time. Read our privacy policy