Question 6Indirect are easier than direct because they
generally are smaller in scope and more concentrated. false
FALSE or true
It is a good idea for companies to outline explicit policies
to ensure that those who deal with Suppliers know pre-
cisely what is and what is not acceptable behaviour. These
often include rules regarding the receipt of gifts, the treat-
ment of confidential information, a code of conduct, fair true
and ethical quotation and negotiation processes, decla-
ration of conflicts of interest, diversity, personal benefits,
and illegal/unethical behaviour.
TRUE or false
Commodity Management and Category Management are
FALSE
always the same regardless of the industry.
Question 1
F
Procurement and Purchasing are basically the same.
2.
Question 2
T
Procurement Professioinals need to do a better job "sell-
ing" their function.
Question 3
It is a good idea to share your company's challenges with T
your key suppliers and invite them to be an equal partner.
Question 4
Commodity/Category Management includes responsibil-
ity for Supplier sourcing, relationship management, in-
dustry and market analysis, quotations, terms and con- T
ditions, negotiation strategy, and business awards. This
also includes strategies regarding the movement of mate-
rials, inventory, cash cycle management, and understand-
, ing and setting trends and direction. And this also in-
cludes detailed understanding and strategic planning for
the sub-components, sub- suppliers, and the end-to-end
supply chain.
Question 5
It is not a good idea to deal with suppliers that are larger F
than your firm.
Question 8
Once the procurement department implements a spend
F
management information system tool, the problem of
collection of good data is solved.
Question 9
One of the most important elements that must be present
in an effective Supplier Relationship Management pro-
T
gram are having a formal, visible process to progress sup-
pliers through your relationship management continuum
... Transactional to Preferred to Tactical to Strategic
Question 1
It is critical for progressive Chief Procurement Oflciers
T
(CPOs) proactivity focus on driving value, harnessing tech-
nology and finding solutions for the 21st century.
2.
Question 2
The Chief Procurement Oflciers (CPOs) and The Chief Ex-
F
ecutive Oflciers (CEOs) say they are aligned to the future
potential of procurement and other important issues such
as supply chain risks.
3.
Question 3 F
Best-in-class companies focus on gathering and analyzing
2/8