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CIPS L4M6 Exam is a three-hour written exam, which consists of six questions. L4M6 exam is computer-based and is available in multiple languages. The questions are designed to test the candidate's understanding of the key concepts covered in the syllabus and their ability to apply this knowledge to real-world scenarios. Candidates must achieve a minimum of 50% to pass the exam.
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CIPS Supplier Relationships Sample Questions (Q195-Q200):
NEW QUESTION # 195
In the STEEPLED framework, which of the following is an economic factor?
Answer: C
Explanation:
Economic factors such as unemployment rates affect labor availability, wages, and consumer purchasing power, directly impacting business operations and supply chains.
NEW QUESTION # 196
Kinky Boots Ltd provides high heeled shoes in large sizes. Their target market are Drag Queens. There are a couple of rival shoe manufacturers in this market and Kinky Boots Ltd offer the cheapest high heels. What strategy is Kinky Boots Ltd employing in terms of competitive advantage?
Answer: D
Explanation:
This is 'cost focus' - Kinky Boots is both focusing on being a cost leaser (by providing the cheapest products) and focusing on a niche market (drag queens). When these two strategies are combined it is called 'cost focus'.
There's a couple of questions on Porter's Generic Strategies in the exam- there's a useful diagram of this on P.
13
NEW QUESTION # 197
A buyer should concentrate their efforts on managing the start and onboarding stage of a supplier relationship by ...
* Keeping all information and plans confidential from the supplier
* Pre-qualifying and assessing the supplier's capability
* Focusing solely on the buying organisation's goals
* Building a positive and trusting relationship
Answer: C
Explanation:
Comprehensive and Detailed Explanation:
During the onboarding stage:
* Pre-qualifying and Assessing Capability:Ensures the supplier can meet the organization's requirements.
* Building Trusting Relationships:Establishing open communication and trust sets the foundation for a successful partnership.
Keeping information confidential (Option 1) and focusing solely on the buyer's goals (Option 3) can hinder collaboration.
Reference:
"Supplier Selection Process"- CIPS: Supplier Selection
NEW QUESTION # 198
Which of the following is a stage in the relationship lifecycle?
Answer: C
Explanation:
Comprehensive and Detailed Explanation:
The supplier relationship lifecycle comprises several stages that outline the progression of the buyer-supplier relationship. One of these stages isMeasuring, which involves assessing the supplier's performance against agreed-upon metrics and key performance indicators (KPIs). This stage is crucial for ensuring that the supplier meets the organization's expectations and for identifying areas for improvement.
Reference:
"The stages of the relationship life cycle include: Onboarding, Qualification, Segmentation and risk management, Performance management (Measuring), Development and innovation, and Phase-out."- CIPS L4M6 Study Guide
NEW QUESTION # 199
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?
Answer: C
Explanation:
Technological factors play a pivotal role in IT equipment supply chains. Advancements, obsolescence, and innovation significantly affect production, cost, and competitiveness, making it a primary focus in supply chain development.
NEW QUESTION # 200
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