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CIPS L4M6 Exam Syllabus Topics:

SectionObjectives
Partnering and Collaboration- Strategic partnerships
  • 1. Joint value creation and innovation
    • 2. Collaboration models and alliance structures
      - Supply chain integration
      • 1. Risk and benefit sharing in partnerships
        • 2. Long-term relationship development
          Dynamics of Supplier Relationships- Nature of buyer-supplier relationships
          • 1. Power, dependence, and interdependence in supply chains
            • 2. Types of supplier relationships (transactional, collaborative, strategic)
              - Relationship development factors
              • 1. Trust and communication
                • 2. Cultural and organisational alignment
                  Managing Supplier Relationships- Supplier performance management
                  • 1. KPIs and performance measurement
                    • 2. Supplier evaluation and appraisal
                      - Contract and relationship control
                      • 1. Communication mechanisms and governance structures
                        • 2. Managing conflict and dispute resolution

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                          CIPS Supplier Relationships Sample Questions (Q177-Q182):

                          NEW QUESTION # 177
                          Stephen Jones is assessing the relationships he has with his supplier base. Which of the following would be drivers for Stephen to adopt a partnership relationship with a supplier?

                          Answer: C

                          Explanation:
                          High expenditure levels and the complexity of requirements justify partnership sourcing, as it allows for collaborative problem-solving, innovation, and cost-efficiency. CIPS emphasizes that partnerships are ideal when requirements are complex and require expertise from the supplier.


                          NEW QUESTION # 178
                          According to Michael Porter, what is procurement?

                          Answer: B

                          Explanation:
                          This question refers to Porter's Value Chain (p.35). There's a couple of questions on this in the exam so try to learn it. Procurement is a 'support activity' on this matrix along with firm infrastructure, HR and technology development


                          NEW QUESTION # 179
                          George is running a competition to find a supplier to install solar panels on the roof of his factory. The energy this produces will power some of the machines. Cost is an important factor, but there are also other considerations that are important such as how long the solar panels will last, and the maintenance costs if they ever break. What should George do?

                          Answer: D

                          Explanation:
                          George should use a weighted award criteria - this will allow him to judge suppliers not only on cost, but also on the quality of their products and whether or not they can provide maintenance. For example George could weight the bids in this way; 40% cost, 30% durability of the panels and 30% maintenance costs. For more information on how weighted award criteria works see p.78


                          NEW QUESTION # 180
                          Which stage of team development is usual at the outset of working with stakeholders?

                          Answer: C

                          Explanation:
                          In Tuckman's model of team development, the Forming stage occurs at the outset. Team members meet, roles are unclear, and there is little conflict. Stakeholder teams will be in this stage initially before moving into storming (conflict), norming (agreement), and performing (high productivity).


                          NEW QUESTION # 181
                          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: A

                          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 # 182
                          ......

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