CIPS L4M6 Dumps (V10.02) Are Available with 226 Practice Exam Questions and Answers for Success: Study the L4M6 Free Dumps (Part 1, Q1-Q40) First

1. Which of the following are typical drivers for a partnership between the buyer and the supplier? Select the THREE that apply.

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

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

4. Stephen Jones is assessing the relationships he has with his supplier base.

Which of the following would be drivers for Stephen to adopt a partnership relationship with a supplier?

5. 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?

6. A company supplies IT equipment and buys most of its components from first-tier suppliers in the UK. It wants to analyze its supply market to develop the supply chain and is going to review the main factors that have an influence. The company wants to use the STEEPLED external environmental analysis framework to achieve the best result.

Which of the following STEEPLED factors is most likely to have the greatest effect?

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

8. When a large organization partners with a small supplier to develop new technology, it is necessary for regular communication.

Is this statement true?

9. In the STEEPLED framework, which of the following is an economic factor?

10. Price fluctuations can affect profitability.

Is this statement correct?

11. 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?

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

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

14. A competitor develops an alternative type of vacuum cleaner to one produced by your organization.

Is this an example of the threat of substitutes, one of the five forces of competition described by competitive forces theory?

15. A local government procurement team is undertaking a full review of their current internal working processes. The team of buyers currently have a partnership-style relationship with their routine suppliers.

Is this the best relationship style to use?

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

17. 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?

18. 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?

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

20. Which of the following are advantages for the buyer of early supplier involvement with the buyer's product development team?

21. A buyer is intending to purchase a new product for their business; however, the market has a large number of suppliers.

What would be the most beneficial way for them to initially narrow down the supply options?

22. Which one of the following is an advantage of early supplier involvement?

23. A law firm is ending an agreement with a client they have represented for many years.

What is the most important legal consideration to be taken before terminating?

24. When using competitive forces theory, suppliers are powerful in which of the following situations? Select THREE that apply.

25. Which of the following are advantages of partnering?

26. Which of the following are the stages of team development?

27. 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.

28. 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?

29. 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?

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

31. 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?

32. Which of the following are examples of ways in which businesses can add value? Select THREE that apply.

33. 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?

34. In the Purchasing Portfolio Matrix, a leverage product is a product in a market where it is easy to switch suppliers and the quality is standardized.

Is this TRUE or FALSE?

35. A partnership approach to a buyer-supplier relationship, as opposed to a traditional adversarial approach, would have which of the following characteristics?

36. Hungry Sandwich Co. produces over 5,000 freshly made sandwiches on-site every day. The main ingredient that Hungry Sandwich Co. buys is bread. It is the item they spend the most money on, and they have a long-term partnership agreement with a local bakery to manufacture and supply fresh bread every morning.

Using a supplier positioning matrix, which is the appropriate category for bread for Hungry Sandwich Co.?

37. Kyle Grant 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?

38. Rivalry between suppliers is more likely to be intense in which of the following situations?

39. A partnership between a software development company and a software supplier has recently been created. In order for the partnership to be successful, what is a critical action to take in the early stages of their relationship?

40. 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?