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CIPS L4M8 Exam Syllabus Topics:

SectionWeightObjectives
Ethics, Responsibility & Compliance25%- Ethical and responsible sourcing application
  • 1. Anti-bribery, corruption and human rights protection
    • 2. Sustainability and ESG integration
      • 3. Regulatory compliance and ethical governance
        • 4. CIPS Code of Conduct and professional standards
          Sourcing Process & Supplier Management25%- Stages of strategic sourcing
          • 1. Stakeholder engagement and communication
            • 2. Supplier performance monitoring and development
              • 3. Creation of contract terms and specifications
                • 4. Supplier evaluation, selection and award
                  Whole Life Asset & Cost Management25%- Total cost of ownership concept
                  • 1. Legal, environmental and waste management obligations
                    • 2. Cross-functional collaboration and data use
                      • 3. Purchase, operation, maintenance and disposal costs
                        • 4. Hidden costs and supply chain risks
                          Application of Procurement Cycle25%- Key stages of procurement cycle in practice
                          • 1. Defining business needs and requirements
                            • 2. Market analysis and supplier research
                              • 3. Tendering and selection processes
                                • 4. Contract formation and management

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                                  Echte und neueste L4M8 Fragen und Antworten der CIPS L4M8 Zertifizierungsprüfung

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                                  CIPS Procurement and Supply in Practice L4M8 Prüfungsfragen mit Lösungen (Q61-Q66):

                                  61. Frage
                                  What happens in the public sector, regarding providing feedback?

                                  Antwort:

                                  Begründung:
                                  See the answer in explanation.
                                  Explanation:
                                  A sector is an area of an industry, e.g., private, public or third sector.
                                  A public sector is a sector of the economy that is owned, finance and run by the government. This sector is financed with tax payer's money. And therefore owe the general public an ethical explanation towards all investment and decision.
                                  Once the supplier that is awarded the contract has accepted, the buyer can tell the unsuccessful bidders. This usually happens through email or letter. The public sector is more likely to give feedback to unsuccessful bidders and also have to respond to any stakeholders that request information on why a supplier is not successful.
                                  * Refer to the question column for response


                                  62. Frage
                                  What potential costs could an organization face if it fails to conduct Due diligence effectively?

                                  Antwort:

                                  Begründung:
                                  See the answer in explanation.
                                  Explanation:
                                  Though strong due diligence procurement professionals can assess which suppliers or potential suppliers appear to meet the criteria associated with ethical practice.
                                  Prior to the contract being awarded, strong due diligence can save the organization from the following cost:
                                  1) Cost of reputation
                                  2) Environmental damage
                                  3) Stakeholders dissatisfaction,
                                  4) poor quality and rework
                                  5) Breach of contract
                                  6) Ethical concerns


                                  63. Frage
                                  What is the retention of title clause also known as?

                                  Antwort:

                                  Begründung:
                                  See the answer in explanation.
                                  Explanation:
                                  Retention of title (ROT) states when ownership transfers from supplier to buyer.
                                  The retention of title terms also referred to as the Romalpa clause, which is related to a legal case from 1976 between Aluminum industries Vaassen BV and Romalpa Aluminum LTD


                                  64. Frage
                                  Why is it important to have adequate procedures in place within an organization in relation to bribery?

                                  Antwort:

                                  Begründung:
                                  Bribery is the act of giving someone something of value to persuade them to do something that benefits you.
                                  Ethical and responsible sourcing requires conducting due diligence on bribery before going into contractual relationship because failure to this might lead to loss in reputation.
                                  In other for an organization to defend itself against a case of suspected bribery, the United Kingdom bribery Act introduced in 2010 suggests that organizations should have adequate procedures' in place.
                                  The following are six procedures an organization should have in place to be able to defend itself against bribery
                                  1) Proportionate procedure
                                  2) Top level commitment
                                  3) risk assessment
                                  4) due diligence
                                  5) communication
                                  6) monitoring and reviewing
                                  * Refer to the question column for response


                                  65. Frage
                                  What are the two types of damage clauses that can be created within a contract?

                                  Antwort:

                                  Begründung:
                                  See the answer in explanation.
                                  Explanation:
                                  Damages are 'sum of money that the supplier pays if it fails to carry out its contractual obligation. Damages are categorized into two types; liquidated and un-liquidated.
                                  Liquidate Damages are fixed amount of money agreed between the parties that is payable if a contract is breached. For example, knowing that supplier not being able to install a device properly in a power transformer may destroy the device and going ahead to include a fee in the contract if the device was destroyed.
                                  Un-liquidated damages are unfixed amount of money. It is used when the amount of money that will compensate the injured party cannot be known in advance. A court decides the amount when the damages occur. For example, knowing that supplier not being able to install a device properly in a power transformer may destroy the device, other appliances and equipment unknown, cause the buyer delay in the process and reputational damage as in customer dissatisfaction. Yet, unquantifiable as both party are unable to fix a fee in advance on the damages and leaving it to the court to decide the damage if it may occur.


                                  66. Frage
                                  ......

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