Which of the following are reasons to outsource part of a business to an external supplier? Select TWO.
If a company is described as 'liquid' what does this mean?
Which of the following is a regulatory body which protects the rights of workers?
The procurement team received an urgent request from the business to source quotations for pestcontrol services. The team decided to use a local newspaper to advertise the requirements. Was this an appropriate approach to use in the circumstances?
Zeb is a Procurement Manager at Zig Zag Zips manufacturing. The organisation has a complex supply chain and works with 46 different suppliers, many of these international. Which of thefollow-ing would be the most useful for Zeb to address issues of Modern Slavery?
Raja is a procurement manager who is keen to gain further insight into the current marketplace and whether local suppliers are capable to provide a service he is looking to procure. He wishes to test the market before he begins a formal tender process. What should Raja do?
What is the best way to prevent potential issues of conflicts of interest?
Procurement professionals should never appoint any suppliers that have a low credit rating. Is this statement TRUE?
Incoterms describe several aspects and responsibilities of transporting goods when sourcing internationally. Which of the following is described by Incoterms? Select THREE.
Which of the following are considerations when evaluating quality as a criterion for supplier selection? Select TWO that apply.
Jack Green is planning to use competitive tendering to source a new component for a new product that the customer research department has been developing for the domestic market. Jack is intending to use an open tender process. Which of the following aspects must Jack consider if an open tender procedure is to be used?
During which stage of the procurement cycle would you remove suppliers that do not add value, or could pose a risk to the buying organisation?
Why is it important, when awarding high-value contracts, for a buyer to conduct a financial assessment of a supplier?
The use of Incoterms will eliminate all risks involved in international trade transactions. Is this statement true?
An organisation is keep to include Social Outcomes in it's assessment for Value for Money for a new tender. Which of the following should be considered?
Which of the following would be considered a strategic sourcing activity?
The International Chamber of Commerce (ICC) publish a list of commercial rules known as Inco-terms. What is the purpose of these rules?
Which of the following would be considered a strategic sourcing activity?
A business may be faced with the challenge of deciding whether to source some of its requirements from external suppliers or whether to make them internally. Which of the following factors is likely to justify the decision to make the requirements internally?
Jamilla is looking to find a new supplier who can deliver raw materials of wood and paper to her company Woody Manufacturing Incorporated. The requirement is for regular orders of high volume. She has issued a Request for Quotation. What will this assess the suppliers on?
Amnesty International, Oxfam and CIPS are examples of what type of organisation?
What would an EBITDA ratio show you?
What would an EBITDA ratio show you?
When evaluating a supplier's proposal in relation to ESC (Environmental, Social, Governance, and ethical elements), it is common to send questionnaires to suppliers requesting information, which can later be scored. Which of the following questions would be assessing any of the ESC criteria?
Could you provide details on your manufacturing and raw material costs as part of an open-book pricing contract?
How do you promote equal opportunity for your employees, customers, and suppliers?
What is the annual turnover and profitability of your company?
Does your company have an anti-bribery policy?
Who was responsible for introducing the concept of Incoterms?
If a company is described as 'liquid' what does this mean?
A public sector buyer has run a competitive tender, for which there were eight bidders. All bidders have met the public sector organisation's minimum standards. In addition, they must also meet several other requirements. The buyer will make the contract award decision based on which of the following?
A procurement manager who works in the public sector has received 8 submissions to a tender op-port unity that was advertised on OJEU. The average price submission for the contract was £1m but one supplier has submitted a price of £200,000, which the procurement manager has identified as being 'an abnormally low tender'. What should be the procurement manager's course of action?
Which of the following is considered as part of ESG?
The sourcing process is considered to include the initial stages of the generic procurement cycle, up to the stage where the contract is awarded to the successful bidder. The stages in the sourcing process may include ...
A company has a requirement for an item that has been identified as strategic on the positioning model. The company needs to invite competitive tenders and make sure the selected supplier of this item is in a good financial position. What should the company ask the suppliers to send to show that their current assets cover their current liabilities?
Tendering is a more formal and regimented process than sending out requests for quotations. Which of the following are services that are often put out to tender? Select THREE.
A buyer has discovered their supplier has taken the passports of some of their workforce. The supplier has offered the buyer a discount against the contract, but the discount only applies if the buyer does not report this finding. Which ethical concerns should the buyer report to the necessary stakeholders?
Fraudulent activity
Bribery
Modern slavery
Breach of confidentiality
Which of the following areas of legislative and regulatory requirements prevent the deliberate limit-ing of supply and the formation of cartels?
Which of the following are signs that modern-day slavery might be taking place within the supply chain? Select THREE.
Which of the following are remedial actions that may be undertaken by the purchasing organisation following a supplier audit? Select the TWO that apply.
If a commodity index shows that the price of a commodity is continually rising, what does this indicate about the market?
Ramesh is an IT category manager within the UK’s National Health Service and is responsible for the procurement of a new high-value network system, which will spread across multiple doctors' practices and community health centres. Ramesh has reviewed different tender approaches and concluded that the use of a restricted tender is the most appropriate. Which of the following statements is true for a restricted tender process?
In a negotiation, a supplier does not want to upset or offend the buyer, so concedes their own requirement in order to ensure harmony. Which negotiation tactic is the supplier using?
A balance sheet will show a company's assets, liabilities and shareholder equity. What is share-holder equity?
The gross profit of a company can be calculated by using a simple formula. What is this?
What course of action should be taken when an audit of a supplier identifies evidence of human rights malpractice?
FTSE100 and Sensex are examples of what?
A buyer is only interested in working with suppliers who have strong Environmental and Social Governance practices. It is therefore using ethical criteria as supplier selection stage to determine which suppliers to work with. Which of the following statements is true?
Robert is appraising suppliers and is keen to evaluate suppliers' contribution to the community and the environment. Which of the following should Robert look at?
A company has actively included supporting of disadvantaged groups within their ESG commitment. Which of the following groups are considered disadvantaged?
Which of the following is a UK legislation concerning product safety?
Phishing is a type of fraud that is commonly associated with which industry?
Which of the following incoterms relate specifically to transporting items over water?
In which circumstances would a procurement manager effectively use competitive tendering for the award of contracts?
Which is an example of a criterion for supplier selection during a tender for a hospital build to demonstrate the people element of the 'triple bottom line'?
Compared with single sourcing, what is a key advantage to dual or multiple sourcing? Select TWO
Faisal is a medical equipment maintenance services procurement specialist within a local hospital. Faisal is responsible for ensuring contracts are in place that will ensure operational continuity of high-value pieces such as radiology equipment. When carrying out tender opportunities for these services, Faisal will specify, as an essential requirement, that certain standards are adhered to. Which of the following is a benefit of incorporating standards as a requirement within a specification?
Achieving the 'five rights of procurement' is one of the key objectives of procurement managers. Which of the following are not considered one of the 5 rights? Select TWO.
Which of the following are remedial actions that may be undertaken by the purchasing organisation following a supplier audit? Select the TWO that apply.
Which of the following would you expect to find in an Invitation to Tender? Select THREE
Which of the following should be assessed in supplier proposals to check compliance with environmental, social, and governance (ESG) standards? Select THREE that apply.
It is important that buyers take an approach that is reasonable and fair when selecting suppliers to work with. Which of the following is a voluntary document which can help procurement professionals treat suppliers respectfully?
Guillerme is a Category Manager within the procurement department of a Manufacturing company. In his Category there are 200 items he procures, and he has recently undertaken an ABC analysis of these. Which of the following items would be C category items?
Phishing is a type of fraud that is commonly associated with which industry?
What are the two main financial accounting statements of an organisation that show the values of assets and liabilities, and the profit earned in the period?
Ramesh is a procurement manager who is looking at his supplier base. He is pursuing a sourcing strategy with the aim of enabling logistical cost reductions. He has made the decision to scale-down his supplier base and purchase from one supplier.
Which type of sourcing arrangement has Ramesh began?
Brooklyn Ltd is a manufacturer of windows and has a single sourcing relationship with their supplier of glass. What relationship style would be best suited?
Mark is a category manager responsible for buying large pieces of laboratory equipment in the public (government) sector. Which of the following Incoterms would ensure that an overseas supplier is responsible for paying all delivery costs, including import duties and taxes for these goods?