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| Section | Weight | Objectives |
|---|
| Topic 1: Dynamics of Relationships in Supply Chains | 30% | - Competitive forces and external factors
- 1. Porter's five forces
- 2. STEEPLED influences
- Types of commercial relationships
- 1. Internal and external relationships
- 2. Relationship spectrum and life cycle
- Sources of added value through relationships - Portfolio analysis techniques
- 1. Matrices for positioning and assessment
- 2. Developing improvement action plans
|
| Topic 2: Conflict and Dispute Resolution | 20% | - Sources of conflict in relationships - Approaches to negotiation and resolution
- 1. Formal and informal dispute resolution
- 2. Negotiation styles and techniques
|
| Topic 3: Improving Supplier Relationships | 15% | - Sustainability and ethical considerations - Risk management and resilience - Process improvement and value creation
|
| Topic 4: Approaches to Managing Supplier Relationships | 35% | - Relationship management strategies
- 1. Contractual and relational governance
- 2. Partnership and collaborative approaches
- Communication and stakeholder engagement
- 1. Effective communication protocols
- 2. Managing internal and external stakeholders
- Supplier selection and evaluation
- 1. Performance measurement and monitoring
- 2. Criteria and methods for selection
|
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CIPS Supplier Relationships Sample Questions (Q19-Q24):
NEW QUESTION # 19
Which of the following are examples of internal stakeholders of a manufacturing repair organisation? Select TWO that apply.
- A. Finance director
- B. Shareholders
- C. Maintenance engineers
- D. Trade union managers
- E. Bank manager
Answer: A,C
Explanation:
Internal stakeholders are individuals or groups within an organization who are directly involved in its operations and decision-making processes. The finance director plays a crucial role in budgeting and financial planning, while maintenance engineers are essential for ensuring equipment functionality and efficiency. Both are integral to the organization's internal operations, as outlined in the CIPS L4M6 study materials.
NEW QUESTION # 20
Philip is working with a supplier where the annual spend is low but the market risk is high. What portfolio analysis category would be appropriate?
- A. Leverage
- B. Non-critical
- C. Strategic
- D. Bottleneck
Answer: D
Explanation:
Comprehensive and Detailed Explanation:
In the Kraljic Matrix, a 'Bottleneck' item is characterized by low financial impact but high supply risk. These items may be sourced from a limited number of suppliers or involve complex logistics, making them susceptible to supply disruptions. Managing bottleneck items requires strategies focused on risk mitigation, such as developing alternative suppliers or holding strategic stock reserves.
Reference:
CIPS L4M6 Study Guide
NEW QUESTION # 21
Which of the following are relationship types on the relationship spectrum?
* Adversarial, transactional and outsourcing
* Single sourced, strategic alliance and co-destiny
* Arm's length, strategic alliance and dual sourced
* Closer tactical, leverage and joint ventures
- A. 1 and 3 only
- B. 2 and 4 only
- C. 1 and 2 only
- D. 2 and 3 only
Answer: D
Explanation:
The relationship spectrum runs from adversarial/transactional to collaborative partnerships such as strategic alliances and co-destiny. Also included are mid-spectrum arrangements like single sourcing and arm's length.
Options 2 and 3 list valid relationship types, making 2 and 3 correct.
NEW QUESTION # 22
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.?
- A. Abundant
- B. Strategic
- C. Bottleneck
- D. Non-critical
Answer: B
Explanation:
Bread is a strategic item due to its high spend and critical role in daily operations. A partnership approach ensures consistent quality and reliability, aligning with strategic supplier management principles.
NEW QUESTION # 23
Which of the following is a valid reason for ending a relationship with a supplier?
- A. the supplier delivered one delivery late
- B. force majeur
- C. the contract has ended
- D. the supplier has a new CEO who you don't like
Answer: C
Explanation:
CIPS state the following reasons for the end of supplier relationships; the contract comes to a natural end, the contract is re-tendered, a material breach or the supplier becomes insolvent (p.15) In this case the only valid option is 'the contract has ended'.
NEW QUESTION # 24
......
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