CIPS L4M1 question n answers graded A+ 2024/2025

CIPS L4M1Stakeholders - correct answer In any activity an organization undertakes, whether strategic, operational or tactical, the activity can only be successful with the input, commitment and support of its key stakeholders. Gaining and maintaining the support and commitment of stakeholders requires a continuous process of engaging the right stakeholders at the right time and understanding and managing their expectations. Global Supply Chains - correct answer a dynamic worldwide network when a company purchases or uses goods or services from overseas. It involves people, information, processes and resources involved in the production, handling and distribution of materials and finished products or providing a service to the customer. Whole Life Costing - correct answer takes into account the total cost of a product or service over its lifetime, from concept through to disposal including purchase, hire or lease, maintenance, operation, utilities, training and disposal. It is important for procurement to take all these elements into consideration when making decisions and comparing the costs of buying, renting or leasing equipment particularly. In most cases the purchase costs are only a small proportion of the cost of operating it. Stakeholder mapping - correct answer A systematic way to identify the expectations, needs, importance, and relative power of various stakeholders. Value Generation - correct answer Creating value from the supply base can be achieved by not only focusing on price but also increasing operational performance, driving efficiencies, working collaboratively or developing continuous improvement activities. Procurement Cycle - correct answer the cyclical process of key steps when procuring goods or services. Steps of the Procurement Cycle - correct answer 1. Understand Need and develop High level Spec. 2. Market/Commodity and options (inc make or buy assessment). 3. Develop Strategy/plan 4. Pre-procurement market test and market engagement. 5. Develop documentation, PPQ/detailed spec/combine with 1. 6. Supplier selection to participate in ITT/RFQ/negotiation. 7. Issue ITT/RFQ. 8. Bid/Tender Evaluation and validation. 9. Contract award and implementation. 10. Warehouse logistics and receipt. 11. Contract performance review and continuous improvement. 12. SRM and SC management and development. 13. Asset management/end of life and lessons learnt. Contract Management - correct answer delivers a great amount of data and intelligence that support the smooth running of a business. Historically, the purpose of a contract as a legal document was to protect the parties from negative consequences of its breaches. Today, when companies are facing increasing pressures to reduce costs and improve financial and operational performance, forming and managing new trading relationships is critical for success. How well an organisation manages its relationships with partners defines the two core elements of bottom line performance: increasing revenues and decreasing costs. ... plays an important role by ensuring the smooth running of operations, protecting the organisation from risks and shaping the buyer-supplier relationships (Aberdeen Group, 2007; Saxena, 2008). Application of Technology - correct answer E-Procurement systems can be utilised in the Request for Information (RFI), Request for Proposal (RFP) and Request for Quotation (RFQ) process as well as for e-Tendering, e-Auctioning, vendor management, catalogue management, purchase ordering, order status, shipment status, e-invoicing, e-payment and contract management. eSourcing / eProcurement systems P2P - correct answer relates to the electronic procurement of products or services via the internet. Other systems such as electronic data interchange (EDI) and enterprise resource planning (ERP) are also forms of... International Labour Organisation - correct answer The only tripartite U.N. agency, since 1919 it brings together governments, employers and workers of 187 member States , to set labour standards, develop policies and devise programmes promoting decent work for all women and men.