CPPB Exam Questions & Answers

Procurement Technology - Answer Helps accelerate business improvements Results Oriented Budgeting - Answer Attempts to link a resource allocation to performance criteria Budget Cycle - Answer 1. Planning 2. Formalization 3. implementation 4. evaluation Procurement Cards - Answer payment method whereby internal customers are empowered to deal directly with suppliers using a credit card Four principles of negotiation - Answer 1. separate people from the problem 2. create a variety of options before deciding which to pursue 3. focus on interests, not positions 4. use objective criteria people elements to negotiation - Answer differences of perception, emotions, communications differences of perception - Answer it is crucial for both sides to understand the other's viewpoint emotions - Answer negotiation can be a frustrating process communications - Answer negotiators may not be speaking to each other, but may simply be grandstanding for their respective constituencies establish a BATNA - Answer The Best Alternative To a Negotiated Agreement stonewalling - Answer this occurs when one side has no intention of reaching an agreement unless there is an irresistible offer. good samaritan - Answer the other side is using this technique when it acts as if it is doing you a favor or making a great sacrifice with its offer in order to put you off guard and persuade you to accept it opposition negotiation tactics - Answer stonewalling, good samaritan, take it or leave it, splitting the difference, nickel and dime, good/bad cop, pity me, piece-by-piece, total package, refusal to negotiate, status, escalating demands, divide and conquer, defense, win/win take it or leave it - Answer when the other side has made its final offer and says it will no longer negotiate splitting the difference - Answer this involves offering to cut the dollar difference in half, thus avoiding the discussion of the details of the deal nickel and dime - Answer the other side wants to negotiate each and every point good/bad cop - Answer this tactic is used to elicit feelings of sympathy and understanding in order to get concessions pity me - Answer this tactic is designed to rely on the sense of fair play and make it hard to walk away piece-by-piece - Answer this tactic is used to negotiate each item of a contract total package - Answer this tactic is used when an offer is acceptable, but one or two major elements still need to be negotiated. refusal to negotiate - Answer in this tactic the other side wants a concession even to talk status - Answer sometimes the party you are negotiating with is perceived to have a higher status, such as when the president of a company personally negotiates with a buyer. escalating demands - Answer extreme demands may be made to persuade you to lower your expectations for a final agreement. divide and conquer - Answer this is used to persuade various members of the team to accept the opposition's position defense - Answer this tactic tries to keep the other side on the defensive negotiation tactics - Answer win/win, spiraling agreements, changing of position, gathering information, making the cake bigger win/win - Answer the goal of principled negotiation is that the interests of both parties are satisfied spiraling agreements - Answer begin by reaching a minimum agreement even though it is not related to the objectives and build, bit by bit, on this first agreement changing of position - Answer formulate the proposals in a different way, without changing the final result gathering information - Answer ask for information from the other party to clarify their position making the cake bigger - Answer offer alternatives that may be agreeable to the other party, without changing the terms four activities of a price analysis - Answer 1. review the competitive prices offered 2. compare with catalog or published price data 3. compare with historical prices 4. obtain data from other jurisdictions that have procured the same product or service Conflict resolution - Answer mediation, arbitration, litigation mediation - Answer a voluntary, flexible technique used to resolve disputes arbitration - Answer a process by which a dispute between parties is presented to one or more disinterested parties for a decision whose decision the contending parties agree to accept with no further appear process. litigation - Answer a process by which one party to a contract brings suit against the other party in a court of law general conflict resolution skills - Answer communication, listening, summarize, clarify, good speaking skills, communication side-trackers, win-win options, brainstorming, find a fair solution communication - Answer conflicts are often caused by problems in communication listening - Answer it is important to listen carefully summarize - Answer when a person is finished expressing a thought, summarize the facts and emotions behind what they have said so that they know you have understood what they've said and how they are feeling. clarify - Answer ask questions to clarify or make clearer different parts of the problem to make sure that you fully understand the other person's perspective good speaking skills - Answer send a clear message, with a specific purpose and with respect to the listener communication side-trackers - Answer don't interrupt, criticize, laugh at the other person, offer advice or bring up your own experiences or change the subject win-win options - Answer an idea or suggestion in which both sides can benefit is called a win-win option brainstorming - Answer the first step in problem solving is to come up with as many ideas as possible find a fair solution - Answer then go through the ideas using fair criteria to see which idea might be best basic steps to conflict resolution - Answer 1. personal preparation 2. obtain agreements 3. state your initial positions/issues 4. restate each other's initial position 5. begin workin on solutions 6. summarize points of agreement and produce a solution 7. follow-up personal preparation - Answer review your agreements; be aware of your feelings. obtain agreements - Answer agree on the conflict resolution process, agree to treat each other with respect state your initial positions/issues - Answer take turns, focus on specific incidents, describe behavior and feelings, don't interpret the other's behavior restate each other's initial position - Answer take turns, restate what the other said, make corrections if necessary, reflect on how you feel begin working on solutions - Answer identify underlying issues, define your success criteria and brainstorm mutual solutions summarize points of agreement and produce a solution - Answer create a solution that is as specific as possible, write it down, agree to maintain confidentiality, agree to follow-up follow-up - Answer check on whether the solution is being followed, revise if necessary and discuss what you learned nominal group technique - Answer a group decision-making technique that focuses on generating alternatives and selecting among them by asking group members to independently write down ideas, present them in turn, clarify them for the group and rank them by voting privately. stages of negotiation - Answer Planning, actual negotiations, completion nickel and dime - Answer the other side wants to negotiate each and every point process improvement - Answer increase in value resulting from a modification in any phase of the procurement and/or supply process Process alignment to organization goals - Answer all processes, people and resources should be aligned to business goals Process first - Answer improvement focuses on incorporating cost effective and goal oriented processes non-value added activities - Answer generate zero or negative return on investment value added activities - Answer increase the value of output Customer focus - Answer align processes to achieve higher customer satisfaction benchmark regularly - Answer continually and frequently determine if the costs of performing business process outweigh the benefits establish who owns the process - Answer personal responsibility build central points into process - Answer points where customers decide if the process is meeting current benchmarks Standardize similar processes - Answer saves time and money make change now - Answer change process should be done immediately use right measures - Answer use measurements to improve process process improvement programs - Answer benchmarking, customer surveys benchmarking - Answer measuring a process service or product against the characteristics of the recognized leaders in the given area of review economy and efficiency audits - Answer examine a governmental unit's managerial and administrative priorities for economy and cost efficiency customer surveys - Answer measure client satisfaction by rating the procurement staff performance over the stated period program audits or evaluations - Answer monitor results to determine the extent to which a governmental unit has achieved program objectives standard - Answer result of a particular standardization effort approved by the recognized authority performance audits - Answer reviews all governmental operations and includes all of the other types of audits standardization - Answer adoption of a single product or group of products to be used by different organizations or all parts of one organization supplier manuals - Answer provide formal and extensive information for suppliers seeking to do business with the organization electronic commerce - Answer integration of electronic data interchange, ETF, and similar techniques into a comprehensive electronic based system of procurement functions audit reports - Answer interdepartmental, intradepartmental, higher level management post consumer - Answer materials made from commodities that have been used by consumers interdepartmental reports - Answer inform the management concerning departmental matters audit - Answer detailed review and examination of records pre-consumer - Answer materials left over in manufacturing processes and reused in a consumer product three forms of authority - Answer express, implied, apparent interdepartmental reports - Answer distribution to other departments on a need to know basis electronic sourcing - Answer obtaining bids from different suppliers via a single online portal procedure manuals - Answer written at a finer level that sets out processes, forms, and steps procurement technology - Answer helps accelerate business improvements preference - Answer advantage given to bidders/offerors based on pre-established criteria four types of audits - Answer financial compliance, economy & efficiency, program or evaluations, performance standardization committee - Answer used to create standards purposes of public budgeting - Answer goal attainment, financial control, managerial accountability express authority - Answer explicitly given in direct language rational budget decision model - Answer inter sector efficiency, inter program efficiency, intra program efficiency inter sector efficiency - Answer determines whether or not the cost of a government activity yields more benefits to society than if it remained in the private sector financial and compliance audits - Answer performed by accounting firms to determine whether transactions are recorded and verify accuracy inter program efficiency - Answer judges competing programs and allocates resources to the program that provides the greatest benefits intra program efficiency - Answer determine within each program if resources should be combined to maximize the net benefits from any given expenditure increment performance budgets - Answer relate expenditures to workloads line item budgets - Answer fixed budgets with monies appropriated for a particular period, usually one year