CIPS CERTIFICATION L4M4 EXAM TRAINING PROGRAMS

CIPS certification L4M4 exam training programs

CIPS certification L4M4 exam training programs

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CIPS L4M4 Exam Syllabus Topics:

TopicDetails
Topic 1
  • Understand the key processes that can be applied to the analysis of potential external suppliers:
Topic 2
  • Understand compliance issues when sourcing from suppliers: It explores legislative, regulatory, and organizational requirements for sourcing. It compares the use of audit and other mechanism of feedback.
Topic 3
  • Understand options for sourcing requirements from suppliers: This section covers the sourcing process, approaches, options, and award criteria for obtaining requirements from suppliers. The sub-topics provide a foundation for strategic sourcing.
Topic 4
  • This section examines analyzing market data, obtaining quotations
  • tenders, and assessing responses. The sub-topics focus on key processes for evaluating potential suppliers.

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CIPS Ethical and Responsible Sourcing Sample Questions (Q49-Q54):

NEW QUESTION # 49
Which of the following are procurement procedures permissible under EU Public Procurement rules? Select TWO that apply.

  • A. Complex procedure
  • B. Conformance procedure
  • C. Restricted procedure
  • D. Public procedure
  • E. Open procedure

Answer: C,E

Explanation:
Under EU Public Procurement rules, the permissible procurement procedures include the Open Procedure and the Restricted Procedure. The Open Procedure allows any interested party to submit a tender, while the Restricted Procedure involves a two-stage process where only selected candidates are invited to submit tenders. These procedures are designed to ensure transparency, competition, and equal treatment in public procurement.
Exact Extract from Study Guide:
"The EU Public Procurement Directive outlines several procedures including Open Procedure and Restricted Procedure, which are designed to facilitate fair and transparent procurement processes."


NEW QUESTION # 50
Mark is an audio visual category buyer in the public sector and is looking to purchase a large quantity of interactive screens for medical lecture rooms across a university campus. Mark expects this to cost in excess of £950,000 and suggests to his user group that a competitive tendering process should take place. Was this the right approach?

  • A. Yes, as all public sector procurement should go through a competitive tendering process
  • B. No, competitive tendering should only be used when the value justifies the resources required
  • C. No, because the competitive tendering process will be time-consuming for the university
  • D. Yes, because the anticipated value requires a competitive tendering process to take place

Answer: D

Explanation:
In the public sector, procurement activities exceeding certain financial thresholds are required to undergo competitive tendering processes. The anticipated expenditure of £950,000 surpasses the threshold that mandates a formal tendering procedure to ensure compliance with public procurement regulations, promote competition, and achieve value for money.
Exact Extract from Study Guide:
"Public sector procurement activities that exceed specified financial thresholds must follow formal competitive tendering procedures to ensure transparency and compliance with regulations."


NEW QUESTION # 51
Which of the following financial ratios would indicate a supplier's potential exposure risk to a steep rise in inflation?

  • A. gross profit margin
  • B. gearing ratio
  • C. current ratio
  • D. acid test

Answer: B

Explanation:
The correct answer is 'gearing ratio'.
Gearing measures how much of a company's funding is based on long-term debt or loans- this would be affected by a steep rise in inflation. If a company has a mortgage on their offices or facto-ry and they need to remortgage and inflation has gone up a lot- they'll be paying a lot more on their mortgage. This will severely effect the gearing ratio as they'll have more outgoings than incoming.
Gross profit margin COULD be affected by inflation, for example if you've got hyper-inflation and the country goes into recession and people stop buying your product. However, this answer isn't al-ways right and depends on many factors- the industry, the product, the company etc, so for the purpose of CIPS should be discounted.
There are many industries which are immune to inflation.


NEW QUESTION # 52
The gross profit of a company can be calculated by using a simple formula. What is this?

  • A. assets - liabilities
  • B. debt owed - total sales
  • C. total revenue - cost of sales
  • D. cost of sales - fixed assets

Answer: C

Explanation:
gross profit = total revenue - cost of sales.
Learn all you can about financial ratios and financial statements for the exam- it's a very common topic


NEW QUESTION # 53
Which of the following should be considered when calculating ratios relating to a supplier's liquidity?

  • A. receivables
  • B. inventory
  • C. profit
  • D. reserves

Answer: B


NEW QUESTION # 54
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