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CIPS Supplier Relationships Sample Questions (Q24-Q29):

NEW QUESTION # 24
A comprehensive approach to managing the termination of a contractual relationship would include ...

A. Setting aside the value of existing work done by both parties
B. Attacking the personalities, not the problem
C. Setting remedies and compensation for contractual breaches
D. Giving qualitative feedback only

Answer: C

Explanation:
Comprehensive and Detailed Explanation:
Effective contract termination involves addressing any breaches through agreed-upon remedies and compensation. This ensures that both parties are treated fairly and that any disputes are resolved in accordance with the contract terms.
Reference:
CIPS L4M6 Study Guide

NEW QUESTION # 25
Kirsty is designing a specification for a new contract and wants to include some qualitive KPIs for the new supplier, as well as quantitative. Which of the following could she include? Select TWO.

A. Information sharing
B. Deliveries in full and on time
C. Trust
D. Early supplier involvement
E. Cost savings

Answer: A,C

Explanation:
The correct answers are information sharing and trust. Further qualitative KPIs are listed on p.102. Deliveries in full and on time would be a quantitative KPI and early supplier involvement is not a KPI at all.

NEW QUESTION # 26
Which of the following is a characteristic of a traditional contracting agreement?

A. Emphasis on quality assurance based on zero defects
B. Emphasis on short-term business relationships
C. Emphasis on mutual trust between purchaser and supplier
D. Emphasis on single source arrangement

Answer: B

Explanation:
Comprehensive and Detailed Explanation:
Traditional contracting agreements are typically characterized by:
* Short-Term Focus:These agreements often prioritize immediate needs over long-term collaboration.
* Transactional Nature:Emphasis is on price and terms rather than building strategic partnerships.
Reference:
"L4M6 Summarised Note"- Evocurement: L4M6 Summarised Note

NEW QUESTION # 27
Innovation is a key consideration when entering into a partnership. Is this statement true?

A. No- the key consideration when entering a partnership is cost reduction
B. Yes- joint innovation projects are often a strong motivation for entering into a partnership
C. Yes- innovation is the only reason to enter into a partnership
D. No- innovation is best achieved in a contractual relationship where KPIs can be monitored closely.

Answer: B

Explanation:
The correct answer is 'Yes- joint innovation projects are often a strong motivation for entering into a partnership'. The other options are simply not true statements. A lot of the questions on the 'Partnerships' chapters of the book are common-sense questions like this. It involves reading the Question: and using logic, rather that relying on your knowledge of procurement. If you found this Question: easy - that's a good sign for the exam.

NEW QUESTION # 28
Which of the following is not a stage in the relationship life-cycle?

A. design the specification
B. on-boarding
C. qualification
D. performance management

Answer: A

Explanation:
Designing the specification is not a stage in the relationship cycle- this would be done before the relationship begins. There are 6 stages of the relationship cycle; on-boarding, qualification, segmentation and risk management, performance management, development and innovation, phase out. P.13

NEW QUESTION # 29
......

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