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CIPS L4M7 Exam Syllabus Topics:

SectionObjectives
Topic 1: Risk and Value Management- Managing asset-related risk
  • 1. Cost-benefit and value analysis
    • 2. Risk assessment across lifecycle stages
      Topic 2: Operation and Maintenance- Asset performance and reliability
      • 1. Maintenance strategies
        • 2. Performance monitoring and KPIs
          Topic 3: Asset Acquisition and Procurement- Sourcing and procurement of assets
          • 1. Supplier selection and evaluation
            • 2. Make or buy decisions
              Topic 4: Understanding Asset Management- Principles of whole life asset management
              • 1. Asset lifecycle concepts
                • 2. Value creation and total cost of ownership
                  Topic 5: Disposal and End-of-Life Management- Asset disposal strategies
                  • 1. Resale, recycling, and decommissioning
                    • 2. Environmental and sustainability considerations

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                      CIPS Whole Life Asset Management exam prep material & L4M7 useful exam pdf & CIPS Whole Life Asset Management exam practice questions

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                      CIPS Whole Life Asset Management Sample Questions (Q167-Q172):

                      NEW QUESTION # 167
                      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

                      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 # 168
                      Long-term forecasting of demand using a subjective method is based on a...

                      Answer: C


                      NEW QUESTION # 169
                      The size of the order that minimizes the total cost of acquiring and holding stock is known as ...

                      Answer: D

                      Explanation:
                      The Economic Order Quantity (EOQ) is the ideal order size that minimizes total inventory costs, balancing the ordering cost (costs related to placing and receiving orders) and the holding cost (costs related to storing inventory). The EOQ model is a fundamental concept in inventory management and is derived from the following formula:
                      EOQ=2DSHEOQ = \sqrt{\frac{2DS}{H}}EOQ=H2DS
                      where:
                      * DDD = demand rate (units per period),
                      * SSS = cost per order,
                      * HHH = holding cost per unit per period.
                      The EOQ model assumes constant demand and lead time, and it does not consider discounts for bulk purchases. By minimizing both ordering and holding costs, EOQ contributes to overall cost efficiency in inventory management, which is essential for whole-life asset management in balancing long-term expenses.


                      NEW QUESTION # 170
                      MRP software is applied to schedule which of the following?

                      Answer: B

                      Explanation:
                      Material Requirements Planning (MRP) software manages material requirements for manufacturing processes.
                      LO 2, AC 2.3


                      NEW QUESTION # 171
                      Earl & Duke Corp has several organisational business goals. One of these goals sets out the need to have a sustainable financial position and promote economic prosperity. This follows the triple bottom line framework. Which one of the framework's elements does this business goal highlight?

                      Answer: B


                      NEW QUESTION # 172
                      ......

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