L3M4 Questions and Answers

Which of these statements is a correct description of a contract?

A service contract for cleaning is due for expiry after a five-year duration. Which of the following are good sources of data to create a specification for the new invitation to tender?

Incumbent supplier

Maintenance services

Alternative suppliers

Management information

According to CIPS / Profex, which of the following are not external stakeholders? Select two.

‘Members of a team have xxxx skills, and not the same skills’. Select the one which fits best to re-place xxxx.

A small group of workers, under the leadership of a supervisor, seeking to make constructive practi-cal small changes to bring about operational improvement in the workplace.

‘Using expensive equipment for a task when the same task could be done more simply and cheaper another way. Sometimes called “using a sledgehammer to crack a nut” ’. Which one of the ‘wastes’ is being described here?

A xxxx team is a group of individuals brought together into a single team from different areas of the organisation.

Select one which best replaces xxxx.

Foodstuffs may arrive from an overseas supplier in a deteriorated state. Is this covered under the implied term of 'satisfactory quality'?

An employee responsible for managing both warehousing and transport in an organisation would best be described as a:

Which of the following would be most suitable for a one-off purchase agreement?

Conscious knowledge of one’s own character and feelings – a cornerstone of emotional intelligence – sometimes described as ‘know thyself’:

In the application of price adjustment formulae, which of the following would be acceptable for a supplier to increase its selling price?

Which of the following might be considered as advantages, to the supplier, of key performance indicators (KPIs)? Select TWO that apply.

Which one of the Tuckman stages of team development is being described here?

‘..the team struggles to come together … conflict … competing for status and position’

You are a procurement manager for a successful electrical component re-seller and distributor. The company presently carries stock of over fifty thousand different items, some of which may be variances of the same product, or similar products from different manufacturers. The managing director of the business is looking to increase the margin on products sold and has asked for your support. It is a competitive industry with a customer base that will be resistant to a price increase. Which of the following could support this request?

'A person who sees the big picture. Thinks accurately and carefully. May lack energy and the ability to inspire others'.

Which one Belbin's team roles is being described here?

Which of the following would be suitable key performance indicators (KPIs) for suppliers' performance?

Ensure you have customer loyalty

Value or percentage of cost reductions obtained

Win an award in the next 12 months

Percentage of on-time in-full deliveries

A buyer is in the process of supporting colleagues internally in the drafting of a specification for a new product. They have limited personal knowledge of the product and of the market. They are at the very early stages of drafting the specification and are seeking to increase their knowledge, whilst at the same time, keeping their likely future needs a commercial secret at this stage. Which of the following would be the best method of achieving this?

The view that financial rewards are welcome, but are not everything; that workers are willing to take on responsibility and enjoy a problem-solving approach is in line with Theory (Douglas McGregor):

‘Processes can be improved simply by organising the work in a way that means people have to move around less’. Which ‘waste’ is being described here?

Which one of the following is unlikely to appear in an organisational procurement manual?

As a result of a global pandemic, a local hospital is facing significant patient capacity pressures and would like the construction of a new 50-bed ward to be prioritised and fully operational at the earliest opportunity. Which of the following pricing arrangements would support this aspiration?

'XXX theories of leadership are now largely discredited as a means of identifying team leaders'.

This quotation comes from the Profex Publishing textbook for this subject. Which word has XXX replaced?

Which of the following are examples of express terms in a contract? Select TWO that apply.

A buyer is using a framework agreement to purchase office furniture. The buyer invites the four suppliers listed on the framework to quote for the furniture; the winning bid is the lowest price. What would best describe this approach?

‘A person who is reliable in seeing a task through to the end’. From the ‘doing / acting’ section, which of the Belbin team roles is being described here?

R Meredith Belbin made a distinction in his work between 'solo leaders', who were kind-of historic leaders; and 'team leaders' who are seen as being leaders for modern times, or are 'of the future'.

From the list shown, select the one answer which represents the team leader, rather than the solo leader.

Which of the following is a qualitative key performance indicator?

‘The individual does not believe that the change is really happening and looks for evidence that it is not true’. Which stage of the Kubler-Ross model does this describe?

Which of the following approaches could a purchasing organisation use to reduce the level of detail in a specification, without increasing the risk of an unsuccessful procurement process?

Increase the use of acronyms and abbreviations

Cross-refer to recognised industry standards

Require tendering suppliers to propose specifications

Provide samples to demonstrate the requirements

Contract terms are statements by the parties to the contract as to what they understand their rights and obligations to be under the contract. It is important from the outset that there is a genuine agreement between the parties as to what the contract terms are. After the contract has been made, it is too late for either party to alter its terms unilaterally. Which of the following is another role that negotiated contract terms might play?

One of the appendices to a formal contract should be a 'pricing schedule'. This is because price is the most important item of a contract and it is a requirement for it to be detailed in a pricing schedule. Is this a correct statement?

Which two of the following are personality traits?

A construction company wishes to place the contract for the building of a new hotel with a principal contractor using a model form contract. Which of these is an advantage of using a 'model form contract'?

‘Positivity’ is about (choose one):

Which of the following departments would be both internal customers and internal suppliers of an organisational procurement function? Select all that apply.

Prior to circulating the service specification to a tendering supplier, it is good practice for the purchasing organisation to request completion of a non-disclosure agreement. Is this statement correct?

Kotter and Schlesinger suggested six approaches to organisational change. One approach is based on the idea that people don’t really understand, and by increasing their understanding, commitment could be won. This relatively soft approach to change is called:

Which two of the following are not personality traits?

Which two of the following actions are most likely to be carried out by the buying organisation?