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CIPS L4M4 Exam Syllabus Topics:
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Reference: https://www.cips.org/qualifications/diploma-in-procurement-supply/ethical-and-responsible-sourcing
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CIPS Ethical and Responsible Sourcing Sample Questions:
Which of the following are secondary research sources that can be used when investigating markets and suppliers? Select THREE that apply.
- A. Direct conversations
- B. Professional magazines
- C. Supplier interviews
- D. Supplier websites
- E. Economic indices
- F. Focus groups
Correct Answer: B,D,E 🗳️
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A buyer for a large manufacturing organisation is assessing a sole-supplier tender opportunity. The buyer is finding it challenging to differentiate the proposals on unit purchase price. Are there any added values that the procurement manager can use to leverage the sole-supplier proposal?
- A. Yes. The buyer can negotiate on aspects such as after-sales service
- B. Yes, but only if the buyer decides to re-start the tender opportunity
- C. No. The buyer must make the decision based on the existing information
- D. No, because a buyer has no leverage over a sole supplier
Correct Answer: A 🗳️
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One of the typical selection criteria applied in determining the right supplier is 'technical capabilities', which might include ...
- A. The supplier's ability to keep its plant and machinery in a high state of repair and maintenance
- B. The supplier's ability to produce all required quantities and maintain contingency stocks
- C. The supplier's financial ratios, revealing that they are very highly geared
- D. The supplier's brand name is highly reputed for being associated with the Ethical Trading Initiative
Correct Answer: B 🗳️
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Roberto is running a tender in which his main concern is price. However he is keen to hear also about the companies' Corporate Social Responsibility Policies and how this will impact their delivery. Roberto is considering awarding the CSR question 4 points in a weighted point system. If he does this, what weight should be given to the price?
- A. 5
- B. 96
- C. 4
- D. 8
Correct Answer: B 🗳️
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What are the two main financial accounting statements of an organisation that show the values of assets and liabilities, and the profit earned in the period?
- A. Cash flow statement (statement of cash flow) and profit and loss statement (statement of financial performance)
- B. Balance sheet (statement of financial position) and profit and loss account (statement of financial performance)
- C. Profit and loss account (statement of financial performance) and chairman's statement (in the annual report)
- D. Cash flow statement (statement of cash flow) and balance sheet (statement of financial position)
Correct Answer: B 🗳️
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