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CIPS L4M6 Exam Syllabus Topics:

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

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CIPS Supplier Relationships Sample Questions (Q22-Q27):

NEW QUESTION # 22
Polly Manufacturing is a company which manufactures bicycle parts. It has several factories around the country and is one of the leading suppliers of wheels, bells and pedals. Which of the following is Polly Manufacturing likely to outsource? Select TWO options.

• A. Cleaning
• B. Facilities Management
• C. Manufacturing of bells only
• D. Manufacturing of all bicycle parts

Answer: A,B Explanation:
They could outsource cleaning and facilities management. These are auxiliary services. The manufacturing of bike parts is their 'core' business so they should retain this in-house
NEW QUESTION # 23
Fred is a new procurement manager at a large engineering firm. They procure 100s of components and use these to make kitchen appliances such as kettles and toasters. He has been asked by his manager to look into procuring a new component which will go into a new environmentally friendly kettle and has been asked to ensure that the firm receives value for money. What should Fred do?

• A. Invite known suppliers to bid for the contract
• B. Put together a business case to make the product in-house
• C. Contact current suppliers to try and get a good deal
• D. Hold an open competition

Answer: D Explanation:
Fred should hold a competition as this is a 'key way of achieving value for money' p.67. Fred shouldn't put a business case together to make the product in-house without doing a make vs buy analysis, and that analysis showing make is the way to go. As the firm buy in 100s of components, it's very unlikely that making the component in-house would bring 'value for money'. He should also be careful of only looking at current suppliers or known suppliers- the best supplier of this new component might be unknown to the engineering firm at present.
NEW QUESTION # 24
Francisco has entered a partnership with Pedro, who is a key supplier, and wants to ensure that the partnership achieves all of Francisco's goals. As well as qualitative and quantitative KPIs, what other measures could Francisco take to ensure the partnership is a success?

• A. Do frequent appraisals on the supplier
• B. Threaten the supplier with termination if he underperforms
• C. Conduct regular audits
• D. Ensure there is a damages clause in the contract

Answer: C Explanation:
The correct answer is 'Conduct regular audits'. This is explained on p.153. You wouldn't do an appraisal on a supplier in a partnership relationship as both parties are equal. Threatening a partner isn't good for the relationship and a damages clause would be used in a contractual relationship rather than a partnership.
NEW QUESTION # 25
Which of the following would you use to qualify new suppliers? Select THREE.

• A. culture
• B. competency
• C. cash
• D. coordination
• E. cooperation

Answer: A,B,C Explanation:
This is based on a real exam question- it's looking to see if you can remember Carter's 10 Cs. These are; cash, cost, consistency, culture, clean, communication, competency, capacity, commitment and control. (p.12 in the text book)
NEW QUESTION # 26
Mendelow's Stakeholder Matrix categorises stakeholders into four groups and provides insight into how these stakeholders should be managed. What is a limitation to using this Matrix to categorise stakeholders?

• A. Nowadays, Stakeholders fall into more than four categories
• B. The categories are hard to remember
• C. The Matrix doesn't consider the power these stakeholders have
• D. The Matrix doesn't consider whether the stakeholder is for or against the activity

Answer: D Explanation:
The correct answer is 'The Matrix doesn't consider whether the stakeholder is for or against the activity'. For a list of other limitations of using Mendelow's Stakeholder Matrix see p.82
NEW QUESTION # 27
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