DUMPS CIPS L5M5 VCE | L5M5 LATEST LEARNING MATERIALS

Dumps CIPS L5M5 Vce | L5M5 Latest Learning Materials

Dumps CIPS L5M5 Vce | L5M5 Latest Learning Materials

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CIPS Managing Ethical Procurement and Supply (L5M5) Sample Questions (Q55-Q60):

NEW QUESTION # 55
NIMBUS TeK, a leading call center employing cost-effective English-speaking workers in countries like India, Pakistan, and the Philippines, has gained a competitive advantage through global sourcing. Which of the following are effective global sourcing practices that the call center has implemented? Select any TWO.

  • A. Managing relationship with supplier before selection
  • B. Key Performance Indicator
  • C. Service Level Agreement
  • D. Detailed research of the market and potential suppliers

Answer: C,D

Explanation:

Choice B- Option B is the correct answer as it is a part of RESEARCH under good practices. Choice D- Giving suppliers a clear understanding of the business expectations is a good practice in global sourcing. Therefore is also an answer. Incorrect answer: Choice A- Supplier relationship management is essential but once the supplier has been selected. Choice C- Key Performance Indicator is not a part of good practices in global sourcing. Reference: LO-1.2; Page 70; Competitive advantage through global sourcing


NEW QUESTION # 56
A small-scale cocoa farmer in a developing country is a member of a Fair Trade cooperative, which benefits from a guaranteed minimum price for cocoa and a Fairtrade Premium. However, some members have expressed concerns about the system. Which of the following is a common criticism of the Fair Trade standard that might explain their dissatisfaction?

  • A. The administrative costs of certification and compliance reduce the net income for farmers
  • B. All of the above
  • C. Farmers who are not part of the cooperative cannot access the benefits of Fair Trade
  • D. The Fairtrade Premium is too small to make a meaningful impact on the community

Answer: B

Explanation:
Choice A- Critics argue that while the premium is helpful, it may not always be sufficient to address significant challenges like poverty or infrastructure gaps in the community.
Choice B- Fair Trade certification often requires membership in a cooperative, which excludes independent farmers or those unable to join due to geographic or financial barriers.
Choice C- Fair Trade certification comes with costs and stringent requirements, which can burden farmers and cooperatives, sometimes negating the financial benefits of participation.
Choice D- This is the correct answer because all the options accurately highlight potential limitations of the Fair Trade system.
Reference:
LO-3.3; Page 306; Fairtrade standards that affect the workplace and producers and their implications for procurement and supply


NEW QUESTION # 57
Social security is recognized internationally as a fundamental human right. When sourcing from developing countries, procurement professionals must be mindful of the limited social support available to low-income workers, as neglecting this issue could harm their organization's reputation. Which of the following is NOT a step toward expanding social security coverage for more people in developing countries?

  • A. Increase costs of informal economy benefits
  • B. Improve tax collection to finance the extension
  • C. Separate social security benefits from a person's employment status
  • D. Increase costs of formal sector benefits

Answer: D

Explanation:

Therefore Choice D is a not a way in which social security can be extended as we need to reduce costs of formal sector benefits. Reference: LO-1.3; Page 94; Wages and social security arrangements


NEW QUESTION # 58
Nahid Cotton Mills Ltd, a leading manufacturer and exporter of high-quality knitting and cotton yarn in Bangladesh, aims to expand internationally and grow its global market to increase profits. The STEEPLED analysis tool can help assess various macro-environmental factors affecting the business. Which of the following factors fall under the social element of this analysis?

  • A. Inflation and interest rates
  • B. Level of corruption and bribery present
  • C. Waste management initiatives
  • D. Fashion and trends led by local celebrities

Answer: D

Explanation:

Choice A- Waste management initiatives is an Environmental factor. Choice B- Fashion and trend led by celebrities is a social factor as a it includes different lifestyles, types of family, culture, values and religions. Therefore is the correct answer. Choice C- Is an economic factor. Choice D- Corruption and bribery is a part of government idealogy and policies thus is a political factor. Reference: LO-1.2; Page 55; Use of STEEPLED analysis to explain the factors driving globalization


NEW QUESTION # 59
Liam, a Procurement Officer at Zenith Corp, oversees a contract with Apex Supplies, a key supplier of essential manufacturing components. After identifying a critical issue in Apex Supplies' delivery process, which TWO documents should Liam complete?

  • A. SWOT Analysis and KPIs
  • B. Corrective Action Plan and SWOT Analysis
  • C. KPI's and Root Cause Analysis
  • D. Root Cause Analysis and Corrective Action Plan

Answer: D

Explanation:
Choice B- Root Cause Analysis (RCA):This document identifies the underlying reasons for the issue in Spades Ltd's conduct. Conducting a thorough RCA ensures Ruby understands the cause of the problem, enabling effective solutions.
Incorrect answer:
Choice A- While Key Performance Indicators (KPIs) are useful for tracking performance, they do not directly address or resolve specific issues..
Corrective Action Plan (CAP): Once the root cause is identified, a CAP outlines specific steps Spades Ltd must take to address and resolve the issue. It also ensures that measures are put in place to prevent recurrence. Therefore option B is the answer.
Choice C- A SWOT analysis is more strategic, focusing on strengths, weaknesses, opportunities, and threats, rather than resolving specific conduct issues.
Choice D- Neither of these documents directly addresses identifying or fixing a conduct issue.
Reference:
LO-2.2; Page 202-203; Methods to correct non-compliance and create and monitor action plans


NEW QUESTION # 60
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