Free CIPS L4M6 Exam Dumps Questions & Answers

Kyle Crant is a procurement director at ATSS Ltd and has introduced a new policy within the procurement function. The policy requires the procurement function to obtain quotations from multiple suppliers if a contract is worth over £10,000. What is the primary aim of this policy?

• A.  To deliver an agile process
• B.  To allow procurement to select the lowest price
• C.  To enable a reduction in competition
• D.  To ensure value for money is achieved

A large construction group has a critical contract with a brick supplier. This represents high-value spend and the contract has a five-year duration. What type of commercial relationship would be the most appropriate?

• A.  Closer Tactical
• B.  Outsourcing
• C.  Transactional
• D.  Partnership

Which of the following factors are considered when using the Kraljic Model to determine the kind of supply relationships and sourcing approaches for a category of items? Select TWO that apply.

• A.  The type of tendering
• B.  The market structure
• C.  Key performance indicators
• D.  The level of spend
• E.  Supplier pre-qualification

In the 1990s a company spent a lot of time and money developing a device that you could carry around that could play CDs. The product spent a long time in development but when it was released the sales figures were very disappointing. This was in part due to the fact another product was released at a similar time which had much more developed technology and could play music without the cumbersome size of a portable CD player. Which of the following did the company not consider when developing the product?

• A.  threat of substitution
• B.  threat of new entrant
• C.  rivalry among existing competitors
• D.  power of buyers

Is it correct to suggest that the sole objective of partnership sourcing is to achieve the lowest acquisition cost?

• A.  Yes, the concept of 'lowest acquisition cost' focuses on collaboration just like partnership sourcing does
• B.  No, because partnership sourcing considers 'lowest acquisition cost' together with aspects of supplier partnerships
• C.  Yes, because the concept of 'lowest acquisition cost' ignores the quoted price and focuses on long-term cost factors
• D.  No, partnership sourcing is not applicable in one-off capital purchases where the concept of 'lowest acquisition cost' applies