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CIPS L4M6 Exam Syllabus Topics:

Topic	Details
Topic 1	Matrices to identify supply, supplier and purchaser positioning Supplier identification, assessment and selection
Topic 2	Appraise portfolio analysis techniques to assess relationships in supply chains Analyse the concept of partnering and where it is a suitable approach
Topic 3	Analyse the purpose of organisational procedures and processes in sourcing goods and or services The link between organisations in supply networks
Topic 4	Define the standards that potential partners will be expected to meet Identify the competitive forces that impact on relationships in supply chains
Topic 5	The link between relationships as a process and the achievement of added value outcomes Understand the dynamics of relationships in supply chains
Topic 6	Understand processes and procedures for successful working with stakeholders Identify items potentially suitable for partnership sourcing
Topic 7	Positive relationships through positive contributions Differentiate between different types of commercial relationships in supply chains
Topic 8	Compare team management techniques to ensure positive stakeholder relationships Identify the processes for terminating stakeholder relationships
Topic 9	Compare the practical considerations of stakeholder management Compare the sources of added value that can be achieved through supply chain relationships

CIPS Supplier Relationships Sample Questions (Q107-Q112):

NEW QUESTION # 107
Which of the following factors would you use to analyse the macro-environment? Select THREE.

• A. legislative
• B. philosophical
• C. social
• D. cultural
• E. political

Answer: A,C,E Explanation:
STEEPLE is what is used to analyse the macro-environment; the factors are; social, technological, economic, environmental, political, legislative and ethical. Details of this can be found on p.43-44
NEW QUESTION # 108
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?

• A. The product is easy to source elsewhere
• B. Low levels of profitability
• C. Strong governmental regulation
• D. High barriers to entry

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 # 109
A partnership relationship can be described as any relationship between a buyer and supplier where there is a good level of communication and both parties are happy with each other's performance. Is this statement TRUE?

• A. Yes- partnerships are characterised by strong relationships
• B. No- only strategic relationships involve good levels of communication.
• C. Yes- partnerships are the only relationship type where both parties are happy with each other's performance
• D. No- good levels of communication can exist in other types of relationships

Answer: D Explanation:
The correct answer is 'No- good levels of communication can exist in other types of relationships'. The study guide makes a point that not all good buyer: supplier relationships are partnerships. In fact 70% on supplier relationships will not be partnerships (according to Lambert who is quoted on p.131)
NEW QUESTION # 110
The use of technical jargon can result in what?

• A. Increased price
• B. Misunderstanding
• C. Lack of transparency
• D. Lack of trust

Answer: B Explanation:
Using technical jargon can lead to misunderstandings if not all parties understand the jargon. See p. 158 on communication issues
NEW QUESTION # 111
ABC is a company which sources a vital component from a supplier. There are only a few suppliers in the industry and without this component, ABC would not be able to produce their final product. What type of relationship should ABC seek to develop with their supplier?

• A. transactional
• B. outsource
• C. arms length
• D. strategic alliance

Answer: D Explanation:
As the component is vital to their business, ABC should seek a collaborative relationship with the supplier. There are three types of collaborative relationship (co-destiny, partnership and strategic alliance). Of these only strategic-alliance is given as an option. Remember - strategic purchase = collaborative relationship with supplier. There are many questions on the Relationship Spectrum on the exam. See p.5 for more details
NEW QUESTION # 112
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