CIPS Level 4 Module 1 Questions and Answers 100% Correct

The Purchasing process1. Define Specification. 2. Select Supplier 3. Contract Agreement 4. Ordering 5. Expediting 6. Evaluation Follow up Definition of Procurement & Supplyrecognition of the fact that the purchasing function has a role in not just "buying inputs" but in "securing supply" Direct CostsThese are costs which can be identified directly with the production of a good or service; e.g. raw materials. Usually strategic or leverae suppliers Indirect CostsThese are costs which cannot be matched against each product because they need to be paid whether or not the production of good or services takes place; e.g. rent on the premises. Kraljic MatrixA tool for portfolio analysis: a four-box matrix that reflects the segmentation of spend based on an assessment of the value of the spend relati