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| Vendor: | CIPS |
|---|---|
| Exam Code: | L4M6 |
| Exam Name: | Supplier Relationships |
| Exam Questions: | 243 |
| Last Updated: | October 9, 2026 |
| Related Certifications: | Level 4 Diploma in Procurement and Supply |
| Exam Tags: | Professional Level Supply Chain Managers and Procurement Specialists |
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What is a disadvantage of including qualitative KPIs into a contract?
The correct answer is 'They are hard to measure' p.103
A medical consumables buyer has adopted a close relationship approach with their suppliers that are considered to be complicated, technical suppliers. Is this the right approach?
Complex and technical suppliers often involve high financial risks due to the critical nature of their products. A close relationship ensures better collaboration, risk management, and value generation.
A company supplies IT equipment and buys most of its components from first-tier suppliers in the UK. It wants to analyse its supply market to develop the supply chain and is going to review the main factors that have an influence. The company wants to use the STEEPLED external environmental analysis framework to achieve the best result. Which of the following STEEPLED factors is most likely to have the greatest effect?
In the context of the IT equipment industry,Technologicalfactors are paramount. The rapid pace of technological advancement influences product development, supply chain processes, and market competitiveness. Utilizing the STEEPLED framework, technological considerations would significantly impact the company's supply chain strategy.
As per the CIPS Intelligence Hub:
'STEEPLED analysis is a strategic planning methodology that can be used across all business functions to discover, evaluate, organise, and track external risk.'
--- CIPS Intelligence Hub: Using STEEPLED analysis to develop your supply chain
Which of the following would you use to qualify new suppliers? Select THREE.
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)
A vehicle company has a partnering relationship with the manufacturer of its engines. The manufacturer is considered a key partner and is already involved in product development at the vehicle company in several strategic projects. The car company and engine manufacturer have integrated systems for a just-in-time (JIT) delivery. Is this an example of a significant integration partnership?
Comprehensive and Detailed
The described relationship includes:
Joint Product Development:Collaborative involvement in strategic projects indicates a deep partnership.
Integrated Systems:JIT delivery systems require synchronized operations, reflecting significant integration.
These elements are hallmarks of a significant integration partnership.
'Strategic Supply Chain Partnership'---ResearchGate: Strategic Supply Chain Partnership
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