CIPS L4M6 Supplier Relationships Online Training
CIPS L4M6 Online Training
The questions for L4M6 were last updated at May 07,2025.
- Exam Code: L4M6
- Exam Name: Supplier Relationships
- Certification Provider: CIPS
- Latest update: May 07,2025
A company is about to invite tenders for a contract to clean external windows at several premises, all at least three storeys high. It is going to do this in two stages. For the first stage, it will issue a pre-qualification questionnaire (PQQ) and, from the replies, select at least five potential suppliers to invite to tender.
Which of the following is a selection criterion rather than an award criterion?
- A . Risk assessments at the premises
- B . Method statements for previous contracts
- C . Price that will be charged
- D . Environmental impact assessment
Which of the following would be benefits of partnership sourcing? Select TWO that apply.
- A . Reduction in inflation
- B . Reduction in costs
- C . No need for contracts
- D . Reduction in stakeholder numbers
- E . Continuity of supply
National Hospital Trust (NHT) has entered into a partnership relationship with a major facilities management provider. The two organizations have agreed on the approach to undertake regular reviews and audits. The audit approach will include which of the following?
- A . Category management and supplier rationalization
- B . Specification development and management
- C . Lessons learned and continuous improvement
- D . Macro and micro environmental analysis
Which of the following tender processes available to a buyer involves a Pre-Qualification Questionnaire (PQQ) to identify, assess, and create a shortlist of suppliers being invited to the Invitation to Tender (ITT) stage? Select TWO that apply.
- A . Open Procedure
- B . Mini-Competition Procedure
- C . Restricted Procedure
- D . Two-stage Procedure
- E . Competitive Bidding Procedure
A medical consumables buyer has adopted a close relationship approach with their suppliers that are considered to be complicated, technical suppliers. Is this the right approach?
- A . Yes, as the items are of high financial risk
- B . No, as there is often a supply risk with items offered
- C . Yes, as all the items supplied are off the shelf
- D . No, as there are only a small number of suppliers in the marketplace
A large construction group has a critical contract with a brick supplier. This represents high-value spend, and the contract has a five-year duration.
What type of commercial relationship would be the most appropriate?
- A . Partnership
- B . Transactional
- C . Closer Tactical
- D . Outsourcing
Fashion buyer Kamal Sumai is working closely with a key overseas supplier and is monitoring and forecasting cost volatility within the fabric market. Kamal has decided it is the right time to raise a purchase order with his supplier for a greater quantity of fabric than he currently needs. Kamal is attempting to avoid an imminent price increase.
What is this tactic known as?
- A . Spot buying
- B . Forward buying
- C . Derivative buying
- D . Hedging buying
What are the relationship characteristics of a Partnership?
- A . Short-term focus and one-off transactions
- B . An adversarial relationship
- C . Sharing ideas and risk
- D . Focus on price competitiveness
A partnership was created between a company and one of its local suppliers when the managing directors of each company met and thought partnering could be a good idea. No other departments were included in the discussions. The partnership has been in place for over a year, but neither of the companies has achieved any additional benefits. The company has been unable to offer any increased business to the supplier, and the supplier has been unable to improve on the quality of its products. The partnership is going to be terminated.
What is a possible main reason for the failure of
the partnership?
- A . Poor planning
- B . Market changes
- C . Distance barrier
- D . Cultural differences
Which circumstances make a buyer more attractive to the supplier?
- A . Where the brand profile is high
- B . When the buyer negotiates longer credit terms
- C . Where the buyer exercises a stringent code of conduct
- D . When the buyer is very procedural in its systems