CIPS – Supplier Relationships (L4M6) paper *6 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 *6. 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. What is one key distinction between single sourcing and sole sourcing? In single sourcing, the buyer intentionally selects one supplier who is not a monopoly Only sole sourcing puts the purchaser at high risk due to potential supply disruptions Single sourcing involves only temporary arrangements with suppliers Sole sourcing results in greater buyer dependence on the supplier None 2. According to Porter’s value chain model, which THREE of the following represent support activities in a copier manufacturing business? Spare parts supply to buyers Development of personnels Inventory control Managing supplier's performance Formulating policies for total quality management Equipment maintenance and testing 3. When does forward integration take place in a business strategy? When a company moves into a completely different industry When a company acquires or merges with a business closer to the end customer When a company shifts toward acquiring its raw material suppliers When a business joins with another operating at the same supply chain level None 4. SKE Ltd uses OEM doors in the construction of timber homes, villas, and apartments. These doors account for just 3% of total spend, but due to their specific requirements, few suppliers are qualified. Switching suppliers is relatively easy. Based on this, which procurement strategies would be most appropriate? 1.Secure short-term value through competitive bidding2.Explore alternative products or sources3.Use electronic auctions to drive prices down4.Establish a contract to guarantee supply 2 and 3 only 1 and 4 only 2 and 4 only 1 and 3 only None 5. Which of the following best highlights a key difference between Lean and Agile supply chains? Lean supply chains typically store most inventory as ‘work in progress’ Agile supply chains aim for perfection by eliminating all waste in a continuous cycle Agile supply chains focus on quickly responding to profitable market opportunities Lean supply chains rely on a broader base of suppliers None 6. AlliedSignal is proposing a partnership with SeaLand and highlights the need to choose the right collaboration model. To do this successfully, understanding which of the following elements is most crucial? 1. Core components of a partnership2.Enablers that support the development of partnerships3.Motivating forces behind the desire to partner4.The use of Pareto analysis to evaluate supplier value 2 and 3 only 1 and 4 only 2 and 4 only 4 and 3 only None 7. As the procurement team gets ready to negotiate with a major supplier, they want to determine a fair price range by examining the supplier’s cost structure, cost drivers, and profit expectations. Which approach should they apply to carry out this analysis? Cost modeling Cost leadership ABC analysis Profitability ratios None 8. As a European public housing agency plans a new housing development, the team is worried about low supplier turnout during tendering, which may affect value for money. Which TWO tools can help the agency assess and understand the supplier market better? Prior information notice (PIN) Pre-qualification questionnaire Common procurement vocabulary (CPV) codes Framework agreements Standard terms and conditions 9. What is it called when multiple companies come together to combine their resources in order to accomplish a shared goal? Joint venture Competitive tendering Negotiated tendering Spot buying None 10. FreezeIT, a leading firm in installing refrigeration systems for skating arenas, depends on a patented part made by a sole supplier. To potentially attract alternative sources, what approach could the procurement manager consider? Use performance-based specifications instead of technical ones Consolidate the buying volume Issue a competitive tender Continue sourcing solely from the existing supplier None 11. In which THREE situations might a buying organisation consider forming a partnership with a supplier to be the right strategic approach? Where the buyer needs to outsource some non-core activities When there are few qualified suppliers available When sourcing routine items as defined by the Kraljic matrix When innovation is needed to reduce time to market When the procurement requirements are technically complex When the need is one-off or occasional 12. 12. XYZ Ltd, a well-known manufacturer of Product A, is debating whether to replace its outdated machinery, which now requires frequent maintenance. During discussions, disagreements arise over the costs, advantages, and risks of the investment. Which TWO key factors are most likely to resist or hinder change within the company? High training costs Staff fear of adopting new technology High throughput from existing production Improved efficiency from updated equipment 13. When a buyer enhances the value chains of its suppliers, both parties benefit from mutual collaboration, along with other associated organizations. What is this interconnected group of cooperating entities commonly called? Internal networking Value network Partnership relationships Linkages within the value chain None 14. In which stage of team development are members most likely to voice frustration about obstacles affecting their personal or group progress? Norming Forming Storming Performing None 15. Based on the Kübler-Ross change curve, which emotional responses are commonly seen at the very beginning when someone is resisting change? Shock and denial Acceptance and integration Anger and depression Anger and denial None 16. DOA Ltd, the primary contractor for building several Olympic venues, ended its agreement with a cement subcontractor due to poor performance. Despite a contract, the subcontractor ignored supply requests or delivered low-quality cement. What was the likely reason the relationship broke down? Lack of commitment Abundant information A careful vendor qualification The use of performance specification None 17. "Among the options provided, which one demonstrates the greatest degree of early supplier engagement?" Buyer fully develops the conformance specification by fin itself Both parties make joint decisions regarding designs and specifications Buyer decides the specification based on discussions with supplier Supplier takes full responsibility from concept to manufacture based on buyer's performance specification None 18. What do the Transfer of Undertakings (Protection of Employment) Regulations—commonly referred to as TUPE—primarily address? Employee movement between departments within a company Safeguarding employee rights when ownership or control of their employer changes Nationwide minimum wage requirements Employer protection against employee claims during a transfer None 19. Which of the following best defines the concept of negotiated tendering? Frequently used for routine or repetitive purchasing Requirement can be met by many suppliers in the market Ask one supplier to completeEngaging a single supplier to carry out the work through direct negotiation the task Best suited for contracts with simple specifications None 20. Which statement best reflects good practice when conducting reviews and audits in a partnership arrangement? Project audits are the sole responsibility of those executing the project Reviews should be managed only by the buyer’s organisation Assessing performance and auditing the project should support learning from experience Audit findings should not be shared with the implementation team None 21. JSC granted AESUK a 20-year lease to operate a hydroelectric facility. However, when JSC sought clarity on the asset’s valuation, AESUK failed to respond. As a result, both parties agreed to use an Alternative Dispute Resolution (ADR) process involving an impartial third party. Which of the following options represent ADR methods? 1. Negotiation2. Arbitration3. Mediation4. Litigation 3 and 4 only 2 and 4 only 2 and 3 only 1 and 2 only None Your comment matters to us😊. Please share your experience. Please proceed to view your grade. Fingers crossed🤗 Time's upTime is Up!
