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| Section | Objectives |
|---|---|
| Topic 1: Supplier Risk and Resilience | - Risk identification and assessment - Risk mitigation strategies - Business continuity planning - Supplier vulnerability analysis |
| Topic 2: Ending and Reconfiguring Supplier Relationships | - Managing relationship dissolution professionally - Exit strategies and transition planning - Supplier base rationalisation - Contract termination processes |
| Topic 3: Managing Supplier Performance | - Continuous improvement processes - Performance measurement tools and techniques - Scorecards and supplier audits - Key Performance Indicators (KPIs) |
| Topic 4: Supplier Segmentation and Categorisation | - Kraljic matrix and portfolio analysis - Strategic, tactical, and transactional suppliers - Supplier classification criteria |
| Topic 5: Supply Chain Context | - Supplier market analysis - Stakeholder relationships in procurement - Understanding the supply chain environment |
| Topic 6: Developing Supplier Relationships | - Supplier relationship management (SRM) frameworks - Partnership models and collaboration approaches - Relationship lifecycle stages - Trust and commitment in supplier partnerships |
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NEW QUESTION # 182
Kirsty is designing a specification for a new contract and wants to include some qualitive KPIs for the new supplier, as well as quantitative. Which of the following could she include? Select TWO.
Answer: B,C
Explanation:
The correct answers are information sharing and trust. Further qualitative KPIs are listed on p.102. Deliveries in full and on time would be a quantitative KPI and early supplier involvement is not a KPI at all.
NEW QUESTION # 183
A restricted market is a market where there are only a small number of capable and competent suppliers. Which of the following is not a reason for a marketplace to be restricted?
Answer: A
Explanation:
The correct answer is 'The product is easy to source elsewhere'. The other three are given as reasons a marketplace might be restricted on p.138. Other reasons also include; brand loyalty, difficult access to distribution channels, and companies colluding.
NEW QUESTION # 184
A company is about to invite tenders for a contract to clean external windows at several premises, all at least three storeys high. It is going to do this in two stages. For the first stage, it will issue a pre-qualification questionnaire (PQQ) and, from the replies, select at least five potential suppliers to invite to tender. Which of the following is a selection criterion rather than an award criterion?
Answer: A
Explanation:
Selection criteria focus on the supplier's capability and experience (e.g., method statements). Award criteria are used to evaluate and compare proposals during the tender process, such as price or environmental considerations.
NEW QUESTION # 185
You work at XYZ manufacturers and a competitor has just released a rival washing machine to the product that you make. This model is proving popular with customers. What competitive force is at play?
Answer: D
Explanation:
This is a threat of a new entrant. The competitor has now entered the washing machine market and is competing directly with you. This is not a threat of substitution as it is the same product. A substitution would be if they invented a new product that washed clothes and people started buying this instead of washing machines. There are many questions in the exam on Porter's 5 Forces - see p. 39
NEW QUESTION # 186
A buyer is seeking to set up an agreement for one year for the purchase of paper. They complete a tender exercise and supplier X wins the contract, and all other suppliers are told that they will not be needed for the next 12 months. Where would the buyer place supplier X on the relationship spectrum?
Answer: B
Explanation:
Comprehensive and Detailed Explanation:
When a buyer selects a single supplier for a specific period, such as a one-year contract, and excludes other suppliers during this time, this is referred to as asingle sourcedrelationship. This approach is often used to consolidate purchases, achieve economies of scale, and build a more streamlined procurement process for specific goods or services.
Reference:
"Single sourcing involves selecting one supplier for a particular item or service, often for a defined period, to streamline procurement and potentially achieve better terms."- CIPS L4M6 Study Guide
NEW QUESTION # 187
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