VENDOR MANAGEMENT EXAMINATION QUESTIONS
AND CORRECT ANSWERS WITH EXPLANATION GRADED
A+ STUDY GUIDE SOUTHERN NEW HAMPSHIRE
UNIVERSITY
1. Vendor management refers to:
A. Managing employees
B. Managing relationships with suppliers
C. Cooking processes
D. HR recruitment
Answer: B
It focuses on controlling and coordinating supplier relationships.
2. The main objective of vendor management is to:
A. Increase costs
B. Ensure value from suppliers
C. Reduce quality
D. Stop procurement
Answer: B
It ensures suppliers deliver value efficiently.
3. A vendor is:
A. Customer
B. Supplier of goods or services
C. Employee
D. Manager
Answer: B
Vendors provide products or services.
4. Vendor selection is based on:
,A. Random choice
B. Evaluation criteria
C. HR decisions
D. Cooking skills
Answer: B
Selection is based on assessment.
5. Key factor in vendor selection is:
A. Color
B. Price and quality
C. Weather
D. Office size
Answer: B
Cost and quality matter most.
6. Vendor evaluation helps to:
A. Increase errors
B. Assess supplier performance
C. Reduce demand
D. Ignore suppliers
Answer: B
It checks supplier effectiveness.
7. Vendor performance is measured by:
A. HR policies
B. Delivery, quality, and cost
C. Cooking speed
D. Marketing ads
Answer: B
Performance is based on supply factors.
8. A preferred vendor is:
, A. Worst supplier
B. Reliable and consistent supplier
C. New supplier
D. Random supplier
Answer: B
Preferred vendors perform well.
9. Vendor management reduces:
A. Efficiency
B. Procurement risks
C. Quality
D. Demand
Answer: B
It minimizes supply risks.
10. Supplier relationship management focuses on:
A. Ignoring vendors
B. Building strong supplier relationships
C. HR management
D. Cooking systems
Answer: B
It strengthens partnerships.
11. Vendor contracts define:
A. HR rules
B. Terms and conditions of supply
C. Cooking rules
D. Marketing plans
Answer: B
Contracts guide supplier terms.
12. A service level agreement (SLA) is:
AND CORRECT ANSWERS WITH EXPLANATION GRADED
A+ STUDY GUIDE SOUTHERN NEW HAMPSHIRE
UNIVERSITY
1. Vendor management refers to:
A. Managing employees
B. Managing relationships with suppliers
C. Cooking processes
D. HR recruitment
Answer: B
It focuses on controlling and coordinating supplier relationships.
2. The main objective of vendor management is to:
A. Increase costs
B. Ensure value from suppliers
C. Reduce quality
D. Stop procurement
Answer: B
It ensures suppliers deliver value efficiently.
3. A vendor is:
A. Customer
B. Supplier of goods or services
C. Employee
D. Manager
Answer: B
Vendors provide products or services.
4. Vendor selection is based on:
,A. Random choice
B. Evaluation criteria
C. HR decisions
D. Cooking skills
Answer: B
Selection is based on assessment.
5. Key factor in vendor selection is:
A. Color
B. Price and quality
C. Weather
D. Office size
Answer: B
Cost and quality matter most.
6. Vendor evaluation helps to:
A. Increase errors
B. Assess supplier performance
C. Reduce demand
D. Ignore suppliers
Answer: B
It checks supplier effectiveness.
7. Vendor performance is measured by:
A. HR policies
B. Delivery, quality, and cost
C. Cooking speed
D. Marketing ads
Answer: B
Performance is based on supply factors.
8. A preferred vendor is:
, A. Worst supplier
B. Reliable and consistent supplier
C. New supplier
D. Random supplier
Answer: B
Preferred vendors perform well.
9. Vendor management reduces:
A. Efficiency
B. Procurement risks
C. Quality
D. Demand
Answer: B
It minimizes supply risks.
10. Supplier relationship management focuses on:
A. Ignoring vendors
B. Building strong supplier relationships
C. HR management
D. Cooking systems
Answer: B
It strengthens partnerships.
11. Vendor contracts define:
A. HR rules
B. Terms and conditions of supply
C. Cooking rules
D. Marketing plans
Answer: B
Contracts guide supplier terms.
12. A service level agreement (SLA) is:
