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CIPS-Ethical and Responsible Sourcing L4M4 Paper 14.
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1.
What are the risks associated with outsourcing?
- Loss of control over the project
- Loss of assets
- Loss of future business opportunities
- Loss of confidential information
2.
If there is a dispute between two parties from different EU countries and no applicable law is stated in the contract, which law applies?
3.
Why is it essential for an organization to be able to liquidate assets?
4.
An organization intends to import an item from outside the European Union. Which of these documents is valid for shipping?
5.
A company has sourced goods from a major supplier for a year with no quality issues. However, it is revealed that the supplier sources some raw materials from a country recently associated with forced labor. What is the potential risk for the company?
6.
After reviewing prequalification questionnaires, a supplier has stated they were awarded a large contract by a major organization, raising concerns about their ability to handle future contracts. Where can further due diligence be applied to address this concern?
7.
Which two strategies can mitigate risks from exchange rate fluctuations in international sourcing?
8.
Which of the following reflect responsible purchasing practices to support human rights in the supply chain?
- Ensuring basic safety standards
- Specifying product requirements and delivery timelines
- Long-term, stable risk-sharing with the supplier
- Managing work practices in the supply chain
9.
As a procurement officer, you receive a dinner invitation from a supplier who also offers a financial reward for helping them win a contract. Is accepting this invitation appropriate?
10.
What additional factors should a buyer consider when evaluating supplier quotes beyond price?
1. Lead times
2. Add on costs
3. Wastage rates
4. Past performance
11.
You’ve set key performance indicators (KPIs) for a local supplier, including:
i. Deliver all orders within an hour
ii.Collect any returns within an hour
Are these KPIs realistic?
12.
When is competitive bidding an appropriate approach for procurement? Select two situations.
13.
Which four groups of Incoterms indicate increasing levels of responsibility for the seller?
14.
The Incoterm DAT stands for:
15.
For Bright Home Furnishings, which of the following is most suitable for importing fabric from a known supplier without third-party assistance?
16.
Under what circumstances would competitive tendering be effectively used in procurement?
17.
Why do tenders in the public sector often have longer timelines than in the private sector?
18.
A company outsources internal training services and includes KPIs in the contract. What are the key benefits of this?
19.
To enhance relationships between buyers and suppliers, which of the following systems are most effective?
20.
The Single Administrative Document (SAD) is used for
- Combined export, community transit, and import declaration
- Import and export declarations from non-EU countries
- Traders' register for community transit declarations from EU countries
- Import and export declarations from EU countries
21.
Which of the following ethical considerations might influence non-cost assessment criteria? Select two.
22.
Is price the most important factor when awarding a contract to suppliers?
23.
The sourcing process typically covers:
24.
Outsourcing should be applied to:
25.
A letter of credit involves two banks acting as intermediaries, known as:
26.
Which of the following is a conflict of interest?
27.
Sourcing is typically used in conjunction with which activities? Select two.
28.
Which are the benefits of e-tendering?
- Consistent tender procedures
- Low investment costs
- Process efficiencies
- Secure commercial information
29.
Which INCOTERM would provide the lowest unit price per garment?
30.
Ian is tasked with running a reverse auction for the purchase of laboratory gloves. Is this a reasonable approach?
