2026 Valid L4M4 Exam Test | Efficient L4M4: Ethical and Responsible Sourcing 100% Pass

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CIPS L4M4 Exam Syllabus Topics:

Topic	Details
Topic 1	Understand the key processes that can be applied to the analysis of potential external suppliers:
Topic 2	This section examines analyzing market data, obtaining quotations tenders, and assessing responses. The sub-topics focus on key processes for evaluating potential suppliers.
Topic 3	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 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 (Q175-Q180):

NEW QUESTION # 175
Which of the following can be undertaken by the buyer in relation to the governance of a supplier's ethical and sustainable behaviours?
* Review the insurance clauses in the contract
* Check that the supplier's internal policies are up to date
* Check the supplier's conflict of interest register for their contract
* Review the non-disclosure agreement for their contract

A. 1 and 3 only
B. 2 and 4 only
C. 1 and 4 only
D. 2 and 3 only

Answer: D

Explanation:
Regularly checking supplier policies and conflict of interest registers helps ensure that suppliers are upholding ethical standards, which supports responsible sourcing practices. This governance activity aligns with ethical guidelines to promote transparency and prevent conflicts that could affect the integrity of the supply chain.

NEW QUESTION # 176
Polygon Incorporated is a new company in the mining industry, which often gets bad press due to issues of sustainability. Which of the following should Polygon Incorporated consider when developing sustainable business practices?

A. fraud, bribery and corruption
B. economic, ethical and environmental
C. efficiency, effectiveness, impact
D. people, profit, planet

Answer: D

Explanation:
The three pillars of sustainability are profit, people and planet. This may also be referred to as social, economic and environmental.

NEW QUESTION # 177
Sourcing aims to achieve the best value for money by taking into account several factors. Freddy is sourcing a new component for his company which manufactures tractors. Should Freddy take into consideration ethics and sustainability?

A. no- 'value for money' only concerns price and if the product is fit for purpose
B. no- 'value for money' is concerned with achieving the lowest price
C. yes- ethics and sustainability form part of 'value for money'
D. yes- ethics and sustainability show that the products are fit for purpose

Answer: C

Explanation:
"yes- ethics and sustainability form part of 'value for money' " is the correct answer.
There are several factors that represent value for money and these are listed on p.3. These include; price, delivery, quality, ethics, sustainability and availability.

NEW QUESTION # 178
Mark is an audio visual category buyer in the public sector and is looking to purchase a large quantity of interactive screens for medical lecture rooms across a university campus. Mark expects this to cost in excess of £950,000 and suggests to his user group that a competitive tendering process should take place. Was this the right approach?

A. No, because the competitive tendering process will be time-consuming for the university
B. Yes, because the anticipated value requires a competitive tendering process to take place
C. No, competitive tendering should only be used when the value justifies the resources required
D. Yes, as all public sector procurement should go through a competitive tendering process

Answer: B

Explanation:
In the public sector, procurement activities exceeding certain financial thresholds are required to undergo competitive tendering processes. The anticipated expenditure of £950,000 surpasses the threshold that mandates a formal tendering procedure to ensure compliance with public procurement regulations, promote competition, and achieve value for money.
Exact Extract from Study Guide:
"Public sector procurement activities that exceed specified financial thresholds must follow formal competitive tendering procedures to ensure transparency and compliance with regulations."

NEW QUESTION # 179
Which of the following are considerations when evaluating quality as a criterion for supplier selection? Select TWO that apply.

A. The supplier's environmental impact analysis
B. Certification to the management system ISO 14001
C. The existence of policies and initiatives toward more sustainable packaging and materials
D. The existence of Total Quality Management (TQM) and a continuous improvement culture
E. Certification to the management system ISO 9001

Answer: D,E

Explanation:
Total Quality Management (TQM) practices and ISO 9001 certification are indicators of a supplier's commitment to quality. Responsible sourcing evaluates these factors to ensure suppliers meet high-quality standards and continuous improvement expectations.

NEW QUESTION # 180
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