CIPS Supplier Relationships (L4M6) paper *2 Leave a Comment / By Admin / May 7, 2024 Before you begin ✍️ You are about to practice the questions set for CIPS Supplier Relationships (L4M6) paper *2. Please put away any distractions and focus all your efforts on passing. ⏱️Time limit: 1 hour 30 minutes At the end of your examination practice, you will 📝 View your grade ✅ View the correct answers NOTE: The answers provided haven't been verified by an official CIPS-affiliated entity, therefore consider discussing your concerns with the instructor or fellow students for clarification. To begin your exam practice, wait a few seconds for the start button to appear, then tap the START button. "We're rooting for you all the way!" All the best. 😃 1. nigue rewrite this:XYZ Ltd produces various equipment for the civil engineering industry as a medium-sized engineering company. However, its sales have dropped in the past five years due to competition from companies in developing countries that can offer lower prices with cheaper labour and materials. To deal with this strategic challenge, XYZ has suggested the following action plan:What recongised approach is the souce of its competitive advantage? 1.Keep its market share by innovating and offering excellent technical service to its UK and international customers2.Eliminate waste from its supply chain3.Foster innovation from its suppliers4.Achieve cost parity or proximity with its competitors Cost focus Differentiation Cost leadership Niche market None 2. Which factors typically drive the formation of partnership relationships? Choose TWO that are relevant. Access to the new market Compatible corporate cultures Similar management philosophy Ensuring security of supply Geographically close proximity 3. In what ways does procurement directly enhance an organization's value creation? Choose TWO options that are relevant. Adopting tactical ploys when negotiating with strategic supplier Maintaining relationships with distribution channels and consumers Sourcing from low-cost suppliers who exploit child labour Managing quality of input Selecting appropriate suppliers and managing their costs 4. Which of the following are the benefits of using the Kraljic supply positioning model? Select TWO that apply. Including all external risks Anticipating the future changes It helps to identify the optimum relationship for each supplier Better understanding of products' importance It helps to understand the supplier's perspective 5. To get more benefits from their existing relationship, Company A and Company B plan to use some relationship-based KPIs in addition to the conventional KPIs. What are the characteristics of relationship-based key performance indicators? Select TWO that apply. Applicable to transactional relationships Measuring delivery outcomes More qualitative measures More quantitative measures Affecting the performance outcomes 6. GS Ltd., a prominent tobacco company in the US, faces significant challenges due to recent regulatory changes and shifting societal attitudes toward smoking. With the government imposing stringent regulations to reduce nicotine levels in cigarettes and younger generations increasingly abandoning the habit due to heightened health awareness, GS is primarily influenced by which macro factors? Choose TWO options that are relevant. Social Technological Economic Environmental Legislative 7. What fundamental principle guides ABC analysis? Trivial few, selected many Trivial few, significant many Significant few, trivial many Selected few, trivial many None 8. Is it accurate to assert that only internal suppliers can produce products or services that significantly impact profits? No, since external suppliers who are very skilled may save more money No, since high-value products also face high risk of supply shortage Yes, since high value products or services are essential for any company’s core business Yes, since producing a product or service internally is always less costly None 9. How can procurement procedures and processes aid an organization in attaining value for money by...? Eliminating all financial thresholds Fostering competition among potential suppliers Prioritising branded products or services Mandating user departments to do purchase strategic items None 10. In anticipation of a critical negotiation with its primary supplier, BAH Ltd intends to develop cost models. Recognizing the inherent challenge in crafting precise cost models, how can BAH Ltd improve the accuracy of its cost modeling process? 1. Make a business continuity plan2. Form a cross-organisational team3. Create the best alternative to negotiated agreement4. Use multiple data points on supplier's costs 2 and 4 only 2 and 3 only 1 and 3 only 3 and 4 only None 11. How can we identify the strongest signal of a high-trust bond between two parties? Each party compromises on their demands Both parties perform joint innovation activities One party yields to the demand of the other One party wins at the expense of the other None 12. Given RC Inc's situation, the procurement function should prioritize assessing the escalating material costs for the branded electrical, gas, and water equipment. This involves conducting a comprehensive analysis to understand the factors driving the cost increases. By pinpointing the root causes, RC Inc can explore strategies such as renegotiating contracts, seeking alternative suppliers, or implementing cost-saving measures to mitigate the impact on margins. Addressing this concern promptly will enable RC Inc to maintain its profitability amidst rising production demands. Review whether any current inputs could be substituted by non-branded alternatives Target at more affluent customers and reward customers' loyalty Switch to conformance specification to encourage supplier's innovation Terminate the contracts with current suppliers immediately None 13. What strategies can a buyer employ to refine the selection of suppliers that align with their requirements? 1. Use Pareto analysis2. Use pre-qualification questionnaire3. Use request for information4. Use Mendelow's matrix 3 and 4 only 2 and 3 only 1 and 4 only 2 and 4 only None 14. What key elements contribute to the formation of high-performance teams? Intensifying the competition among team members Criticising every minor errors of other team members Flattering the team leader Creating a shared sense of purpose None 15. In accordance with Mendelow's framework, what specific insights should procurement practitioners gather about their stakeholders? Choose TWO options below. Creativity The level of interest Supply risk The ability to influence The level of assertiveness 16. What attributes enhance a buyer's attractiveness to a supplier? 1. The buyer has a leading brand2. The buyer insists on longer credit terms3. The buyer exercises a stringent code of conduct4. The buyer is very bureaucratic in working with the supplier 1 and 3 only 1 and 2 only 4 and 3 only 2 and 4 only None 17. What is the legislative name safeguarding workers' employment rights, which procurement should take into account when proposing to internalize a service? SLA GDPR NDA TUPE None 18. Toyota operates a supplier development initiative designed to nurture its most promising vendors, with Gemba Ltd standing out as a key supplier, producing subsystems for Toyota. With a strong interest in fostering a robust partnership, Toyota's procurement team aims to engage in comprehensive collaboration with Gemba. To facilitate this collaboration effectively, the agreement between Toyota and Gemba should include clauses that promote mutual cooperation and alignment. These provisions may include clear communication channels, joint problem-solving mechanisms, shared goals and objectives, performance metrics and benchmarks, continuous improvement initiatives, confidentiality agreements to protect proprietary information, and dispute resolution mechanisms to resolve any conflicts amicably. By incorporating these clauses into the agreement, Toyota and Gemba can establish a solid foundation for their collaborative efforts, ensuring mutual success and long-term growth in their partnership. Continous improvement Ultra vires A business case Just in time None 19. Typically, when in the relationship cycle is the request for information commonly employed? Performance management Segmentation and risk management Phase out Qualification None 20. According to the Thomas-Kilmann model, the competing style is the best conflict management style in every situation. Is this statement true? Yes, because it benefits both parties in a conflict No, because compromising style is always the best approach Yes, because it requires a party to refrain from their demands No, because it won't fully satisfy the concerns of both parties in long-term relationship None 21. What strategies can procurement professionals employ to garner backing from senior leadership and other departments for partnership sourcing? Choose THREE approaches from the following options. Finding out the level interest and influence of the concerned stakeholders Handling the changes in the organisation Embedding force majeure into contracts Presenting the business case to senior management Creating corporate social responsibility policies Conducting a competitive tendering 22. In his role as a senior buyer at a mobile manufacturing company, Eric encounters a challenge with a supplier crucial to the company's operations. Despite the importance of the supplier's delivery of a key component, the supply market offers limited alternatives. What course of action should Eric pursue in this scenario? Ask the supplier to provide a hospitality package Schedule a review session with the supplier Request the supplier for a reduction of price Tell the procurement team to amend KPI targets to become more achievable None Your comment matters to us😊. Please share your experience. Please proceed to view your grade. Fingers crossed🤗 Time's upTime is Up! "✨Spread success—share these past papers and empower others to excel!✨" Whatsapp Telegram Facebook 0 Twitter Wechat Linkedin 0 Post navigation Previous PLE Math 2023 Next CIPS Supplier Relationships (L4M6) Paper *4 Leave a Reply Cancel replyYour email address will not be published. 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