Best CIPS L4M7 Exam Practice Material Updated on Feb 09, 2025 [Q34-Q49]

Q34. A retailer wants to improve its service level in inventory management from 95% to 97%. Which of the following is the best course of action?

Q35. Using consignment stocking with suppliers can assist with flexible warehousing when space is at a premium in the warehouse. Another advantage of using the consignment stocking approach is that …

Q36. Which of the following are main objectives of warehouse operations? Select TWO that apply.

Q37. Jones Warehouse Services Limited has been using a manual handling system to move items throughout its warehouse. This setup is slow, uses more labor resources than automated systems, and recently, several errors and inaccuracies were uncovered in an audit. The company wants to introduce a system that minimizes human errors, lowers workplace risks, and reduces labor costs. Which of the following is a fast and efficient mechanical handling system for transporting a variety of different materials within a warehouse?

Q38. Which of the following statements about radio frequency identification (RFID) is NOT true?

Q39. Which of the following best describes what happens when order volumes from customers increase and multiply through the supply chain?

Q40. Toll Group has thousands of end-of-life IT assets that need to be disposed of. The senior manage-ment of Toll Group is largely concerned about sustainability in waste management, especially electronicwaste. Before selecting a supplier to manage the process, the procurement team is required to assess the environmental risks regarding disposal of the assets. Risk assessment is basically based on the measurement of which factors?
1. Impact
2. Reward
3. Surveillance
4. Likelihood

Q41. Which of the following is the definition of work in progress inventory?

Q42. MRP software is a powerful tool for managing material requirements of manufacturing processes. To keep the software function well, an organisation must have appropriate input data. Which of the following are the inputs of MRP software? Select THREE that apply.

Q43. XYZ Ltd is a major distributor of electrical equipment protection products in the United States. XYZ found that there was a lack of communication between the company and its key supplier, leading to the supplier trying to predict distributor needs and distributor attempting to estimate lead times. Essentially, both the supplier and the distributor have different sets of information, spending time and money trying to predict what the other will do. To deal with this problem, XYZ Ltd decides to implement new inventory management method in which the supplier manage the replenishment of items for sale.Both parties are obliged to share information on variations in demand and stock levels for goods used for or sale. Which inventory management method is XYZ Ltd implementing?

Q44. Which of the following are recognised as disadvantages of ERP systems? Select TWO that apply.

Q45. What is meant by the term ‘obsolete stock’?

Q46. Which of the following is a forecasting technique?

Q47. A meaning of ‘decommissioning a piece of equipment’ is to…

Q48. Which of the following allow an organisation to have more flexible space for storage by leveraging the facilities of other parties? Select TWO that apply.

Q49. One of the classifications of inventory is referred to as ‘indirect supplies.’ Which of the following items are examples of indirect supplies in a water bottling plant?
* Lubricants for maintenance of production machines
* Computer cartridges for the procurement office
* Reams of printed labels to stick on water bottles
* Blue-colored plastic caps to seal the water bottles