NIGP CPP MODULE A EXAM
QUESTIONS WITH COMPLETE
ANSWERS
Principles - ANSWER-are more explicit than values and are meant to govern action.
the practices of public procurement professionals are regulated based on -
ANSWER-the common, statutory, and administrative laws that bind and protect the
responsibilities of public entities across North America.
One of the main challenges for Procurement in developing and initiating a consistent
approach for procurements - ANSWER-is that commonly, other members of the
entity, including senior management and staff, may resist complying with process
requirements, wanting processes to meet their own needs and desires.
generate buy-in from stakeholders while ensuring integrity and consistency in their
application. - ANSWER-By creating policies and procedures with approval of entity
leadership, the procurement professional can codify the entity's standardized
processes.
Procurement professionals involved in the establishment of policy manuals must
ensure they: - ANSWER-are compliant with best practices.
are responsive and adaptive to their environments.
act in the best interest of the government.
ensure transparency.
avoid conflicts of interest.
are well-informed about the information associated with regulations.
provide the support to perform functions within established procurement policies and
procedures.
What elements would you consider to be essential to developing a policy that will
provide for fairness, transparency, and cost-effectiveness in procurement
operations? - ANSWER-Goal and objectives
Authorities
Repercussion for violations
Supplemental resources
Reference to procedures
Records retention
References to pertinent procurement laws
Securities/controls in place
Auditing programs
,Checklist and templates
Examples of procurement legislative initiatives include: - ANSWER-Require
reduction or elimination of the use of disposable goods, whenever possible.
Authorize or require the procurement of recycled, refurbished, or re-manufactured
goods and equipment.
Authorize and encourage the use of energy consumption and other life-cycle factors
as evaluation criteria.
Encourage the procurement of alternate-fuel fleet vehicles.
Require the procurement of energy-efficient lighting fixtures and bulbs.
Restrict procurement of goods containing mercury, if non-mercury alternatives are
available.
Enable the use of cooperative procurement.
Increase procurement thresholds to enable more efficient processes.
Establish programs geared toward increasing opportunities for small and
disadvantaged businesses.
Statutory Law - ANSWER-The written law established by enactments of government,
expressing the will of the legislature.
Administrative Law - ANSWER-Rules, regulations and executive orders,
promulgated by governmental administrative or regulatory entities. Generally
enacted to make statutes and ordinances more specific. Has the force and effect of
law.
Statutes - ANSWER-The written laws approved by legislatures, parliaments, or
house of assembly. Also known as legislation.
Ordinance - ANSWER-A law passed by a local government.
Corporate Charter - ANSWER-A written document by the founders of a business
detailing the business' major components, e.g. structure, objectives, planned
operations. In the U.S. it is filed with the Secretary of State, and in Canada it is filed
with the registrar.
Price Fixing - ANSWER-Explicit agreements among producers regarding the prices
at which goods are to be sold.
procedure - ANSWER-The detailed series of related activities that must be
completed and the order in which they must be done, to accomplish a given task.
, What are some possible negative impacts of not having or updating a policy or
procedure manual? - ANSWER-Outdated policies may be irrelevant and reference
antiquated processes.
Outdated policies may not address changes made in codes and regulations.
Outdated policies may impede opportunities for more efficient workflows.
Outdated policies may not reflect changes to technology.
What is the difference between a policy manual and procedure manual? - ANSWER-
Policies advise what to do, and procedures advise how to do it.
What should a procedure manual include? - ANSWER-1. The procurement goals,
objectives, and responsibilities.
A step-by-step outline of the procurement process including processing of
requisitions, solicitations, bid evaluation and award, issuance of purchase orders and
contracts, follow-up, and contract administration.
2. Guidelines and steps for use clients for preparing procurement requisitions,
developing requisitions, receiving and inspection, and documenting vendor
performance.
3. A step-by-step outline of property and supply management programs including
inventory control and processes for transfer and disposal of surplus property.
4. Other special procedures such as the use of cooperative purchasing programs
and payment processes.
5. A listing of important forms used in the procurement process, instructions to
bidders and general conditions governing contracting, and a glossary of procurement
terms.
Guiding principles - ANSWER-establish the fundamental norms, rules, or ethics that
represent what is desirable (values) and affirmative for our profession and help us
determine the rightfulness or wrongfulness of our actions.
Tying Arrangement - ANSWER-A supplier imposed restraint in which the purchaser
is forced to buy an unwanted item to acquire the desired one.
Bid Rigging - ANSWER-The agreement among potential competitors to manipulate
the competitive bidding process, for example, by agreeing not to bid, to bid a specific
price, to rotate bidding, or to give kickbacks to purchasers.
Dumping - ANSWER-Occurs when a business or country exports a large quantity of
goods at a lower price in a foreign market than the price in the home market.
three primary sources of procurement laws in any governmental jurisdiction. -
ANSWER-1. Statutory laws, ordinances, and charters.
2. Administrative laws
QUESTIONS WITH COMPLETE
ANSWERS
Principles - ANSWER-are more explicit than values and are meant to govern action.
the practices of public procurement professionals are regulated based on -
ANSWER-the common, statutory, and administrative laws that bind and protect the
responsibilities of public entities across North America.
One of the main challenges for Procurement in developing and initiating a consistent
approach for procurements - ANSWER-is that commonly, other members of the
entity, including senior management and staff, may resist complying with process
requirements, wanting processes to meet their own needs and desires.
generate buy-in from stakeholders while ensuring integrity and consistency in their
application. - ANSWER-By creating policies and procedures with approval of entity
leadership, the procurement professional can codify the entity's standardized
processes.
Procurement professionals involved in the establishment of policy manuals must
ensure they: - ANSWER-are compliant with best practices.
are responsive and adaptive to their environments.
act in the best interest of the government.
ensure transparency.
avoid conflicts of interest.
are well-informed about the information associated with regulations.
provide the support to perform functions within established procurement policies and
procedures.
What elements would you consider to be essential to developing a policy that will
provide for fairness, transparency, and cost-effectiveness in procurement
operations? - ANSWER-Goal and objectives
Authorities
Repercussion for violations
Supplemental resources
Reference to procedures
Records retention
References to pertinent procurement laws
Securities/controls in place
Auditing programs
,Checklist and templates
Examples of procurement legislative initiatives include: - ANSWER-Require
reduction or elimination of the use of disposable goods, whenever possible.
Authorize or require the procurement of recycled, refurbished, or re-manufactured
goods and equipment.
Authorize and encourage the use of energy consumption and other life-cycle factors
as evaluation criteria.
Encourage the procurement of alternate-fuel fleet vehicles.
Require the procurement of energy-efficient lighting fixtures and bulbs.
Restrict procurement of goods containing mercury, if non-mercury alternatives are
available.
Enable the use of cooperative procurement.
Increase procurement thresholds to enable more efficient processes.
Establish programs geared toward increasing opportunities for small and
disadvantaged businesses.
Statutory Law - ANSWER-The written law established by enactments of government,
expressing the will of the legislature.
Administrative Law - ANSWER-Rules, regulations and executive orders,
promulgated by governmental administrative or regulatory entities. Generally
enacted to make statutes and ordinances more specific. Has the force and effect of
law.
Statutes - ANSWER-The written laws approved by legislatures, parliaments, or
house of assembly. Also known as legislation.
Ordinance - ANSWER-A law passed by a local government.
Corporate Charter - ANSWER-A written document by the founders of a business
detailing the business' major components, e.g. structure, objectives, planned
operations. In the U.S. it is filed with the Secretary of State, and in Canada it is filed
with the registrar.
Price Fixing - ANSWER-Explicit agreements among producers regarding the prices
at which goods are to be sold.
procedure - ANSWER-The detailed series of related activities that must be
completed and the order in which they must be done, to accomplish a given task.
, What are some possible negative impacts of not having or updating a policy or
procedure manual? - ANSWER-Outdated policies may be irrelevant and reference
antiquated processes.
Outdated policies may not address changes made in codes and regulations.
Outdated policies may impede opportunities for more efficient workflows.
Outdated policies may not reflect changes to technology.
What is the difference between a policy manual and procedure manual? - ANSWER-
Policies advise what to do, and procedures advise how to do it.
What should a procedure manual include? - ANSWER-1. The procurement goals,
objectives, and responsibilities.
A step-by-step outline of the procurement process including processing of
requisitions, solicitations, bid evaluation and award, issuance of purchase orders and
contracts, follow-up, and contract administration.
2. Guidelines and steps for use clients for preparing procurement requisitions,
developing requisitions, receiving and inspection, and documenting vendor
performance.
3. A step-by-step outline of property and supply management programs including
inventory control and processes for transfer and disposal of surplus property.
4. Other special procedures such as the use of cooperative purchasing programs
and payment processes.
5. A listing of important forms used in the procurement process, instructions to
bidders and general conditions governing contracting, and a glossary of procurement
terms.
Guiding principles - ANSWER-establish the fundamental norms, rules, or ethics that
represent what is desirable (values) and affirmative for our profession and help us
determine the rightfulness or wrongfulness of our actions.
Tying Arrangement - ANSWER-A supplier imposed restraint in which the purchaser
is forced to buy an unwanted item to acquire the desired one.
Bid Rigging - ANSWER-The agreement among potential competitors to manipulate
the competitive bidding process, for example, by agreeing not to bid, to bid a specific
price, to rotate bidding, or to give kickbacks to purchasers.
Dumping - ANSWER-Occurs when a business or country exports a large quantity of
goods at a lower price in a foreign market than the price in the home market.
three primary sources of procurement laws in any governmental jurisdiction. -
ANSWER-1. Statutory laws, ordinances, and charters.
2. Administrative laws
