Free PDF Quiz 2026 CIPS L4M4: Ethical and Responsible Sourcing Accurate Sample Exam

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| 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.
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| Topic 2 | - Understand the key processes that can be applied to the analysis of potential external suppliers:
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| Topic 3 | - 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.
|
| Topic 4 | - This section examines analyzing market data, obtaining quotations
- tenders, and assessing responses. The sub-topics focus on key processes for evaluating potential suppliers.
|
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CIPS Ethical and Responsible Sourcing Sample Questions (Q190-Q195):
NEW QUESTION # 190
Commodities can be traded on a stock exchange and are generally divided into one of four categories. Which of the following is not one of these four categories?
- A. livestock
- B. plastics
- C. metals
- D. energy
Answer: B
Explanation:
Plastic is not a commodity. A commodity is something that is naturally occurring and plastic is manufactured.
The other category of commodity is agriculture.
NEW QUESTION # 191
Avram is a buyer for a private sector electrical components company and is promoting the advantages of competitive bidding.
When is competitive bidding appropriate?
Select TWO that apply.
- A. When changes to the specification are likely as the contract progresses
- B. When it is impossible to estimate production costs accurately
- C. When price is not the most important award criterion
- D. When there is sufficient time to conduct the procedure
- E. When there are adequate numbers of potential suppliers in the market
Answer: D,E
Explanation:
Competitive bidding is most appropriate when there is asufficient number of capable suppliersto create genuine competition and whenadequate timeis available to conduct the process fairly and transparently.
These conditions allow suppliers to prepare robust bids and enable buyers to evaluate proposals properly.
Competitive bidding is less suitable where specifications are unstable or urgent decisions are required. Ethical and responsible sourcing emphasises proportionality and fairness, ensuring competition is used where it adds value and does not compromise delivery, governance, or stakeholder needs.
Reference:CIPS L4M4 Ethical & Responsible Sourcing Study Guide (v2) - competitive tendering; appropriateness of sourcing routes.
NEW QUESTION # 192
Which of the following are primary sources of data? Select TWO.
- A. phone calls with current suppliers
- B. economic indices such as PPI or CPI
- C. published price lists
- D. trade fairs and exibits
- E. market reasearch commissioned by a rival company
Answer: A,D
Explanation:
Primary data includes trade fairs and exhibits, and phone calls to current suppliers. The others are examples of secondary data.
Remember primary= you do it yourself, Secondary = someone else did it.
NEW QUESTION # 193
What is a risk of pre-warning a supplier that you will conduct an audit of their facilities?
- A. they will not be able to make that time and date
- B. they may coach staff in what to say
- C. they will not perform regular duties that day
- D. they will not achieve KPIs
Answer: B
Explanation:
A risk of pre-planning an audit is the supplier has time to prepare for it. It's a good thing in that they can get their paperwork in order but the downside is they can overprepare so you don't get a realis-tic representation of what they're doing. One way they can do this is coaching staff in what to say to the auditors.
NEW QUESTION # 194
Henry is importing cheese from South East Asia into the UK. He is doing some research on the costs and risks of this and has discovered that the product may be considered of 'non-preferential origin'. What implications would this mean for Henry?
- A. he will require insurance
- B. there are no duty charges or limitations
- C. the goods are subject to tariff quotas
- D. the goods are banned in the UK
Answer: C
Explanation:
Items of 'Non-Preferential Origin' are subject to tariff quotas and other customs commercial regulations.
'Preferential Origin' goods have no duties or tariffs.
The good news is CIPS have significantly simplified section 3.2 of the syllabus. The new study-guide is much lighter on names of documents and protocols for importing and quotas etc. The focus of this Learning Outcome has shifted more to Inco Terms so I would focus on that for revision, but do make sure you have a basic understanding of documents, law and jurisdiction.
NEW QUESTION # 195
......
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