Latest L4M6 Exam Dumps (V11.02) with Accurate Questions and Answers: Checking L4M6 Free Dumps (Part 1, Q1-Q40) First

1. Which circumstances make a buyer more attractive to the supplier?

2. How would a buyer measure value for money from a relationship with a new supplier for goods?

3. In which procurement process is a PQQ not issued?

4. Which of the following documents can be used at the selection stage of a tender process to ensure that short listed bidders meet the requirements of the buying organisation? Select TWO.

5. Beyond Say is a manufacturer of diamond rings. It sources a lot of different parts to create its products including diamonds, gold, cardboard boxes for the rings to go in, as well as stationary and copier paper for the offices. Although it doesn't buy many diamonds, these represent a large part of Beyond Say's spend.

Which category of spend would diamonds represent?

6. A company is about to invite tenders for a contract to clean external windows at several premises, all at least three storeys high. It is going to do this in two stages. For the first stage, it will issue a pre-qualification questionnaire (PQQ) and, from the replies, select at least five potential suppliers to invite to tender.

Which of the following is a selection criterion rather than an award criterion?

7. According to Michael Porter, what is procurement?

8. Sandra is a buyer for a large supermarket and has been increasing unhappy with the performance of a long-term supplier of bananas. Over time the deliveries have become unreliable and this has had impacts on the supermarket’s profitability.

What should Sandra do first?

9. A low-cost fashion retailer based in Europe is looking at adding value in their procurement activities. The retailer buys clothing for resale with a very small profit margin applied, relying on volume sales to make a profit.

Which of the following added-value approaches will be the most critical for the procurement team of the retailer to focus on with their supply chain?

10. Which of the following would you use to qualify new suppliers? Select THREE.

11. Which of the following are advantages of partnering?

12. Under which circumstances would a partnership sourcing approach be used?

13. An automotive company has hired Tom as the procurement manager. Tom is to manage a team of two people who have worked in the department for a number of years. Conflict exists between the two members of staff due to an overlap of responsibilities.

Which of the following processes would be most appropriate for Tom to use to reduce this conflict?

14. In the 1990s, a manufacturer of portable music players partnered with a mini-disk producer. The aim of the partnership was to reduce the size and cost of the devices and enhance flexibility. Sales of the product after launch were low due to a competitive launch of small digital players, which offered better flexibility to customers at a comparable price. The partners suffered substantial loss and never recovered the investment.

In order to mitigate the risk described, what should both partners have considered before investing in the product? Select the TWO that apply.

15. A common reason attributed to many partnerships failing is ...

16. Which of the following are advantages for the buyer of entering into a partnership? Select TWO.

17. A partnership was created between a company and one of its local suppliers when the managing directors of each company met and thought partnering could be a good idea. No other departments were included in the discussions. The partnership has been in place for over a year, but neither of the companies has achieved any additional benefits. The company has been unable to offer any increased business to the supplier, and the supplier has been unable to improve on the quality of its products. The partnership is going to be terminated.

What is a possible main reason for the failure of the partnership?

18. The executive board of a manufacturing company is requesting support from the procurement team because the company needs to improve its levels of profitability. After segmenting the overall spend by value and risk of supply, the senior buyer for the company is planning to undertake a cost modeling activity. This will be undertaken with a cross-organizational team of internal stakeholders and key strategic suppliers.

What would be the buyer's initial objective from the cost modeling activity?

19. Construct Builders Ltd works very closely with a supplier called Solid Timber Co on house-building projects. They have a very close working relationship, sharing investment, setting pricing levels, and looking at sharing resources. The two companies also work closely together to set strategic directions and explore new markets for long-term growth. There is no formal contract in place between the two companies.

Using the relationship spectrum, what relationship does this scenario best describe?

20. A company is relocating its manufacturing base to a low-cost country and is considering a partnership with a local supplier for its key components rather than a tender process. Although there are some concerns regarding confidentiality and component competitiveness, the procurement director is recommending a partnership strategy to the board of directors. The recommendation is based on a range of advantages including, but not limited to, gaining local market knowledge.

Is this a valid recommendation?

21. Value for money is often described at the ‘three Es’; economy, efficiency and effectiveness. However some people consider a 4th E which refers to the public sector.

What is the fourth E?

22. A medical consumables buyer has adopted a close relationship approach with their suppliers that are considered to be complicated, technical suppliers.

Is this the right approach?

23. Which of the following tender processes available to a buyer involves a Pre-Qualification Questionnaire (PQQ) to identify, assess, and create a shortlist of suppliers being invited to the Invitation to Tender (ITT) stage? Select TWO that apply.

24. Products or services that are more suitable for partnership sourcing match which of the following criteria?

25. In Public Sector procurement a PIN is sent out to inform suppliers of an upcoming tender opportunity.

What does PIN stand for?

26. Which of the following are possible drivers for partnership sourcing? Select THREE.

27. Joseph works as a category manager for a large electricity supply company. His company is one of six electricity companies in the country. All have a high annual spend on the same specifications of cable. There are only five cable manufacturers capable of supplying the cables. Joseph has established all the suppliers use the same raw materials using the same types of manufacturing lines. Prices tendered by all suppliers are very similar. After paying for the cable, Joseph’s company spends an additional 25% on moving and installing the cable.

In order to enable Joseph to gain advantage over the other electricity companies, which type of supplier relationship should he adopt?

28. Which of the following are features of a partnership sourcing relationship compared with a traditional adversarial relationship? Select TWO that apply.

29. Which of the following are considered part of the '5 Rights of Procurement'? Select THREE.

30. An amicable style approach to ending a buyer-supplier relationship would be most appropriate in which of the following circumstances?

31. Cigarettes and alcohol are often described as having an ‘inelastic price’.

What does this mean?

32. The director of procurement for a global telecommunications firm has segmented their expenditure and has decided to focus on developing relationships with their bottleneck suppliers.

Is this the correct process?

33. When overcoming stakeholder resistance in a procurement-led project, which of the following groups would have the highest level of influence on other stakeholders?

34. Which of the following options are legitimate reasons for terminating a contract? Select TWO that apply.

35. Which of the following are NOT one of the four key principles of procurement in the EU?

36. According to Mendelow, there are four ways stakeholders can be managed, depending on the amount of power they have, and how interested they are in your project.

What are these four categories?

37. The Queen Victoria is a traditional British pub which serves a range of alcoholic beverages. It has a partnership relationship with a local brewery which supplies several types of beer and cider. Logistics is a key concern for the Queen Victoria as deliveries must be made when there is room in the cellar to store the barrels of beer and cider.

In what ways could the logistics risk be reduced?

38. Sugar Doughnut Ltd has a jam supplier that they have used successfully for over ten years. They have made investments in the supplier’s factory to support them with capital equipment upgrades in return for cost reduction on jam. The two companies also collaborate on bids for large supermarkets when looking to supply doughnuts and work together on quality improvements. No contracts exist between the two companies.

Could this relationship be said to be a partnership relationship?

39. Partnership relationships are long-term relationships without a defined end period. Is this statement TRUE?

40. The Pareto Principle is sometimes also known as what?