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NEW QUESTION # 196
A prequalification questionnaire can allow a buyer to determine whether or not a potential supplier shares the same ethical values at an early stage of a procurement process. Obtaining confirmation that a supplier has not previously been convicted of breaches of modern slavery legislation belongs to which form of evaluation criteria?
Answer: A
Explanation:
Modern slavery and human rights are social sustainability issues. Under the triple bottom line (environmental, social, economic), the social dimension covers labour rights, working conditions, equality, and compliance with modern slavery laws. Responsible sourcing requires buyers to integrate such social criteria in supplier prequalification to prevent unethical practices from entering supply chains. Environmental criteria cover impacts like carbon and waste; economic focuses on cost and competitiveness; quality addresses technical performance. Including modern slavery checks at the prequalification stage reflects due diligence and ensures alignment with legal and ethical obligations.
Reference: CIPS L4M4 Study Guide (v2), LO: "Concepts" - triple bottom line; ethical sourcing and social responsibility.
NEW QUESTION # 197
The procurement team received an urgent request from the business to source quotations for pestcontrol services. The team decided to use a local newspaper to advertise the requirements. Was this an appropriate approach to use in the circumstances?
Answer: C
Explanation:
Advertising in a local newspaper for a specialized requirement can lead to irrelevant bids, delaying the process. Efficient sourcing practices recommend targeted advertising to reach qualified suppliers, ensuring timely responses and reducing assessment time, especially for urgent needs.
NEW QUESTION # 198
Other than price, what should a buyer consider when evaluating supplier quotations?
* Lead times
* Add-on costs
* Wastage rates
* Past performance
Answer: B
Explanation:
In addition to price, factors like lead times, add-on costs, and past performance are important to ensure the supplier meets the buyer's requirements sustainably and reliably. These criteria align with ethical sourcing by promoting value and accountability beyond just cost considerations.
NEW QUESTION # 199
How can a buyer monitor a supplier's ethical workforce standards throughout a long-term contract?
Answer: D
Explanation:
Conducting periodic audits by third-party specialists is a reliable way to monitor compliance with ethical standards, as these audits provide an objective assessment. This aligns with ethical sourcing practices, as it promotes accountability and ensures continuous adherence to agreed-upon standards.
NEW QUESTION # 200
Faisal, a hospital procurement specialist, includes adherence to certain standards in a medical equipment tender. What is the benefit of incorporating standards in a specification?
Answer: B
Explanation:
Standards, such as ISO or BS norms, establish clear, universally recognised benchmarks for quality, safety, and performance. Including them in specifications reduces ambiguity, ensuring suppliers know exactly what is required and how compliance will be measured. They do not automatically guarantee lowest pricing or cover all unique buyer requirements. Instead, they improve comparability, fairness, and governance in tendering. Responsible sourcing emphasises use of recognised standards to ensure safety, ethical compliance, and consistent quality, particularly in sensitive categories like healthcare, where patient safety and continuity of service are paramount.
Reference: CIPS L4M4 Study Guide (v2), LO: "Implementation" - specifications and standards in sourcing.
NEW QUESTION # 201
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