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CIPS L5M7 Exam Dumps

Get All Achieving Competitive Advantage Through the Supply Chain Exam Questions with Validated Answers

L5M7 Pack
Vendor: CIPS
Exam Code: L5M7
Exam Name: Achieving Competitive Advantage Through the Supply Chain
Exam Questions: 88
Last Updated: January 6, 2026
Related Certifications: Level 5 Advanced Diploma in Procurement and Supply
Exam Tags: Advanced Procurement and Supply Chain ProfessionalsSourcing Specialists
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Free CIPS L5M7 Exam Actual Questions

Question No. 1

An organisation can leverage effective Supply Chain Management to deliver Competitive Advantage. What is meant by Competitive Advantage?

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Correct Answer: C

Competitive advantage is a distinct capability that allows an organisation to outperform its rivals, whether through cost efficiency, quality, innovation, or service.

Short cited term: ''advantage that enables outperforming competitors'' (L5M7 Study Guide, p. 2).


Question No. 2

Which of the following tactics helps organisations in the middle of a supply chain protect themselves from the Bullwhip Effect?

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Correct Answer: A

The Bullwhip Effect describes amplified demand fluctuations up the supply chain; buffer stock mitigates shortages caused by sudden demand changes.

Short cited term: ''buffer stock helps counter demand fluctuation'' (L5M7 Study Guide, p. 4).


Question No. 3

Supplier vetting is a form of which type of quality management system?

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Correct Answer: D

Quality assurance (QA) is proactive, including activities such as supplier approval/vetting; inspection is reactive sampling of outputs. Short extract: ''QA---proactive systems e.g., supplier approval; inspection---sampling outputs.'' (L5M7 Study Guide, p.123)


Question No. 4

The 5S Methodology is an organisational system to ensure workplace cleanliness and efficiency. Under which principle does it fall?

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Correct Answer: C

The 5S Methodology---Sort, Set in order, Shine, Standardise, Sustain---originates from Lean philosophy to promote efficiency and discipline in operations.

Short cited extract: ''5S -- a Lean technique for organisation and cleanliness in the workplace.'' (L5M7 Study Guide, p.166)


Question No. 5

What are some disadvantages to a multi-sourcing strategy in a supply chain? Select TWO.

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Correct Answer: A, B

Multi-sourcing can increase inventory/duplication and create quality inconsistency between sources. Reduced dependency (C) is an advantage, and (D) is a neutral characteristic rather than a disadvantage. Short extract: ''multiple sources may lead to duplication/stock and variable quality.'' (L5M7 Study Guide, p.6)


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