CIPS L4M2 Exam Syllabus Topics:
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Reference: https://www.cips.org/qualifications/diploma-in-procurement-supply/def%C4%B1ning-business-need
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CIPS Defining Business Needs Sample Questions:
Which of the following standards specifies requirements for a quality management system?
- A. ISO 22000:2018
- B. ISO 9001:2015
- C. ISO 14001:2015
- D. ISO 27001
Correct Answer: B 🗳️
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A company uses eight different floor cleaning products at different premises and has decided to standardise on just one. This product is available from a large number of suppliers. What benefits should the company expect to achieve?
- A. Increased stock levels
- B. Increased costs
- C. Fewer staff
- D. Lower costs
Correct Answer: D 🗳️
Explanation: Only visible for Prep4pass members. You can sign-up / login (it's free).
Which of the following is a potential driver of change in the manufacturing industry to help reduce costs and increase efficiency?
- A. Robotics
- B. Omnichannel
- C. Visualisation
- D. E-commerce
Correct Answer: A 🗳️
A procurement team is categorising their purchased items into four quadrants of Kraljic ' s supply chain portfolio matrix. They realise that there are some low-value items which come from very few suppliers in the market. The organisation is critically dependent on these suppliers. The team plans to reduce the dependence by finding alternative sources. Is this a right course of action?
- A. Yes, this action will dramatically increase the supplier ' s bargaining power
- B. Yes, the organisation needs to reduce the supply risks
- C. No, there is no way to escape this dependency
- D. No, the organisation should run competitive biddings to exploit the competition
Correct Answer: B 🗳️
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Which of these are advantages of using a conformance specification? Select TWO that apply.
- A. It provides evidence of requirements if there is a dispute
- B. It forces consideration of actual product needs
- C. It enables value-for-money solutions
- D. There is a smaller supplier base to select from
- E. It enables supplier flexibility and product innovation
Correct Answer: A,D 🗳️
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