2026 Latest TestPassed L4M2 PDF Dumps and L4M2 Exam Engine Free Share: https://drive.google.com/open?id=1NaxJPfzpJQHWRY6Nu2oZkssfLfg-Iu6N
We have always set great store by superior after sale service, since we all tend to take responsibility for our customers who decide to choose our L4M2 training materials. We pride ourselves on our industry-leading standards of customer care. Our worldwide after sale staffs will provide the most considerate after-sale service for you in twenty four hours a day, seven days a week, that is to say, no matter you are or whenever it is, as long as you have any question about our L4M2 Exam Torrent or about the exam or even about the related certification，you can feel free to contact our after sale service staffs who will always waiting for you on the internet.
| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Devise a business case for requirements sourced externally | 20-25% | - Estimate costs and prices for procurement activities
|
| Topic 2: Legal and regulatory considerations | 10-15% | - Legislation affecting requirements definition
|
| Topic 3: Stakeholder management in defining needs | 15-20% | - Align needs with organisational objectives
|
| Topic 4: Market management in procurement and supply | 20-25% | - Evaluate market information sources
|
| Topic 5: Use specifications in procurement and supply | 20-25% | - Advantages and limitations of specification types
|
Do you like to practice study materials on paper? If you do, you can try our L4M2 exam dumps. L4M2 PDF version is printable, and you can study anywhere and anytime. We offer you free demo for you to have a try before buying, so that you can have a better understanding of L4M2 Exam Dumps what you are going to buy. Free update for 365 days is available, and you can get the latest information about the L4M2 exam dumps timely. The update version will be sent to your email automatically.
NEW QUESTION # 214
James Hunter has received a price increase request from a supplier with its justification. The supplier has requested the price increase because there has been an increase in staff sickness absence. James has reviewed the original contract and found a buyer provision for 'risk for additional resource.' This is the first year the supplier has experienced a resource issue. What should James do?
Answer: A
Explanation:
Detailed Explanation:Given that the provision for 'risk for additional resource' exists and this is the first occurrence, James should reject the price increase as the supplier should account for these risks in their pricing. Reference: CIPS Level 4, Contract Management and Cost Control.
NEW QUESTION # 215
Which of the following are most likely to increase the buyer's bargaining power?
1. Buyers are price sensitive
2. High set-up cost for new entrants
3. Threat of forward integration is high
4. Threat of backward integration is significant
Answer: B
Explanation:
Price sensitivity is the degree to which the price of a product affects consumers' purchasing behaviours. Buyer power will be stronger if buying organisation are price sensitive and vice versa.
Backward integration is a form of vertical integration in which a buying organisation expands its role to fulfil tasks formerly completed by businesses up the supply chain. Buyer power is strong if threat of backward integration is high.
Set-up cost is a determinant of threat of new entry. Some industries require very expensive assets in order to make products. The financial risk of entering the industry and not succeeding can deter many potential new entrants. The fewer new entrants, the fewer available substitutes, then the bar-gaining power of buyer can be negatively affected.
Forward integration is a business strategy that involves a form of vertical integration whereby business activities are expanded to include control of the direct distribution or supply of a compa-ny's products. Threat of forward integration is a determinant of supplier's bargaining power.
Reference:
LO 2, AC 2.2
NEW QUESTION # 216
A buying organisation may not have technical capability to produce a highly complex specification. Which of the following are sources of information that can be used to create the specification? Select TWO that apply
Answer: A,E
Explanation:
If an organisation doesn't have capability to produce a technical specification, they can draft one based on standards or consulting the suppliers.
Reference: CIPS study guide page 125-130
LO 3, AC 3.1
NEW QUESTION # 217
A procurement manager is discussing with other stakeholders about the scope and the implementation of the upcoming construction project. A stakeholder argues that the construction projects are often risky as the overall scope of the work can't be accurately estimated from the beginning. Furthermore, the project spans over a long period, the costs of materials can fluctuate widely. The procurement manager suggests that the pricing structure should be able to cover the supplier's costs plus 10% markup on total costs. This arrangement is known as...?
Answer: A
Explanation:
As you can see from the scenario, the procurement manager is suggesting to use cost plus pricing arrangement.
A cost-plus contract is an agreement to reimburse a company for expenses incurred plus a specific amount of profit, usually stated as a percentage of the contract's full price. These type of contracts are primarily used in construction where the buyer assumes some of the risk but also provides a degree of flexibility to the contractor.
Cost-plus contracts can be separated into four categories. They each allow for the reimbursement of costs as well as an additional amount for profit:
1. Cost-plus award fee contracts allow the contractor to be awarded a fee usually for good per-formance.
2. Cost-plus fixed-fee contracts cover both direct and indirect costs, in addition to a fixed fee.
3. Cost-plus incentive fee contracts happen when the contractor is given a fee if his or her perfor-mance meets or exceeds expectations.
4. Cost-plus percent-of-cost contracts allow the amount of reimbursement to rise if the contrac-tor's costs rise.
In the scenario, the procurement manager suggests a pricing structure that covers supplier's costs and adds 10% markup. This is cost-plus fixed-percentage.
Reference:
- Cost-Plus Contract Definition (investopedia.com)
- CIPS study guide page 30-36
LO 1, AC 1.2
NEW QUESTION # 218
A construction company requires a specification that details the exact composition of the concrete mix and the exact methods of construction required for its use. Which specification should it adopt?
Answer: A
Explanation:
A design specification (also known as a conformance specification) specifies the exact composition, materials, and method required to meet the need.
The CIPS L4M2 Study Guide, Chapter 1: Developing Specifications, describes:
"Design or conformance specifications detail the materials, measurements, and methods the supplier must use to meet the requirement. This ensures standardisation and control, especially in construction and manufacturing sectors." Option analysis:
* A. Functional specification - Focuses on what the item does, not how it's made.
* B. Ergonomic specification - Concerned with user comfort and interface, not composition.
* C. Performance specification - Focuses on outputs, not detailed methods.
* D. Design specification - Correct. Includes materials and construction methods.
Correct answer: D
CIPS Study Guide Reference:
* Module: L4M2 - Defining Business Needs
* Chapter 1: Conformance/Design Specifications
* Section: When to Use Conformance Specifications
NEW QUESTION # 219
......
In recent years, some changes are taking place in this line about the new points are being constantly tested in the Defining Business Needs real exam. So our experts highlight the new type of L4M2 questions and add updates into the practice materials, and look for shifts closely when they take place. As to the rapid changes happened in this L4M2 Exam, experts will fix them and we assure your L4M2 exam simulation you are looking at now are the newest version. And we only sell the latest L4M2 exam questions and answers.
L4M2 Reliable Mock Test: https://www.testpassed.com/L4M2-still-valid-exam.html
BTW, DOWNLOAD part of TestPassed L4M2 dumps from Cloud Storage: https://drive.google.com/open?id=1NaxJPfzpJQHWRY6Nu2oZkssfLfg-Iu6N