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CIPS L4M4 Exam Syllabus Topics:

Topic	Details
Topic 1	Understand options for sourcing requirements from suppliers: This section covers the sourcing process, approaches, options, and award criteria for obtaining requirements from suppliers. The sub-topics provide a foundation for strategic sourcing.
Topic 2	Understand the key processes that can be applied to the analysis of potential external suppliers:
Topic 3	This section examines analyzing market data, obtaining quotations tenders, and assessing responses. The sub-topics focus on key processes for evaluating potential suppliers.
Topic 4	Understand compliance issues when sourcing from suppliers: It explores legislative, regulatory, and organizational requirements for sourcing. It compares the use of audit and other mechanism of feedback.

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CIPS Ethical and Responsible Sourcing Sample Questions (Q178-Q183):

NEW QUESTION # 178
In a negotiation, a supplier does not want to upset or offend the buyer, so concedes their own requirement in order to ensure harmony. Which negotiation tactic is the supplier using?

A. competitive
B. collaborative
C. compromising
D. accommodating

Answer: D

Explanation:
This is accommodating: the supplier puts the buyer's interest above his own.
This is from the Thomas Killman model of conflict resolution. There are 5 strategies; competitive, collaborative, avoiding, accommodating and compromising. In the study guide it doesn't mention the name of the model but you do need to know the 5 strategies. The model comes up a lot in other modules so is a good one to learn. Particularly L5M1 which is about management theory.

NEW QUESTION # 179
A 'carnet' provides evidence of the origin of goods shipped in an international trade transaction. Is this statement correct?

A. Yes, it is only used when exporting goods from Europe and confirms the country of origin
B. It is a widely used import document that confirms the origin of goods
C. No, it is a document that allows the temporary free movement of goods
D. No, it is a type of insurance cover to protect against loss of goods in transit

Answer: C

Explanation:
A carnet (specifically an ATA Carnet) is a customs document that allows for the temporary duty-free and tax- free movement of goods across international borders. It is commonly used for exhibitions, fairs, and professional equipment but is not proof of origin. Proof of origin is instead provided by a certificate of origin or other trade documents. It is also not an insurance policy. Responsible sourcing requires buyers to distinguish between documents used for temporary movement (carnet), origin evidence (certificate of origin), and risk transfer (insurance). Correct understanding avoids compliance failures, delays, or unexpected costs in international trade.
Reference: CIPS L4M4 Study Guide (v2), LO: "Application" - international sourcing documentation.

NEW QUESTION # 180
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?

A. No, because they might receive too many irrelevant proposals which may delay the assessing process
B. Yes, they must seek as many bids as possible, even if it takes longer
C. Yes, so that the local pest control sector can decide between them who should bid
D. No, because international vendors must also be notified of the opportunity

Answer: A

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 # 181
Which of the following is a regulatory body which protects the rights of workers?

A. ISO
B. FairTrade
C. ILO
D. WWF

Answer: C

Explanation:
ILO = the International Labour Organisation.
ISO is the International Standardisation Organisation- they also come up in this exam.
Fair Trade is about paying suppliers properly.
WWF is the World Wildlife Foundation, or if you watched wrestling in the 90s, the original WWE. You do not need to know about wildlife or wrestling for this exam.

NEW QUESTION # 182
Added value can be objectively defined. Is this sentence TRUE?

A. no- added value is always intangible
B. Yes- added value should be assessed along with price
C. Yes- added value is the same for all organisations
D. no - added value may change from one company to another

Answer: D

Explanation:
The correct answer is 'no - added value may change from one company to another'.
Added value is very subjective. What one person thinks is excellent added value, another may not rate highly.
For example one buyer may consider a supplier having good brand reputation as added value, but another might not care.
The other no answer is incorrect because added value can be tangible or intangible. Tangible means you can touch and see it and intangible means you can't.

NEW QUESTION # 183
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