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Why is it important to keep ethical codes of practice up to date?
CORRECT TEXT Why is it important to keep ethical codes of practice up to date?View AnswerAnswer: A code of ethics is a set of morals and principle set out by an organization to state what it deems to be acceptable conduct and behavior An ethical code of practice is a...
What is commissioning?
CORRECT TEXT What is commissioning?View AnswerAnswer: Commissioning is bringing something new into working condition, e.g start running a gas plant after building it. Commissioning is one of the eight elements that form the cycle of whole life asset management. The commissioning of an asset has the following associated costs, installation,...
What are the two options for the disposal of an asset if resale is not possible?
CORRECT TEXT What are the two options for the disposal of an asset if resale is not possible?View AnswerAnswer: Disposal of an asset is the final stage in the decommissioning process of a fixed asset. When a fixed asset reaches the end of its useful or cost effective life time...
Explain why you think quality should be investigated before working with potential supplier?
CORRECT TEXT Explain why you think quality should be investigated before working with potential supplier?View AnswerAnswer: Quality is fitness for purpose. It is important that quality is investigated by procurement professionals before forming relationship with potential supplies. If quality is not investigated before selecting supplier the organization might stand the...
CORRECT TEXT
CORRECT TEXT Describe two negative factors associated with ordering excess inventory.View AnswerAnswer: In the decision to not run out of supplies, organizations can anticipate a peak were by it products will be in a high demand or a period of scarcity of raw materials and may want to increase the...
What are the eight elements of whole life asset management?
CORRECT TEXT What are the eight elements of whole life asset management?View AnswerAnswer: Whole life asset management is the process of evaluating the total price and all associated costs of a product to make an informed decision as to which option will provide the organization with the best value for...
When benchmarking what other factors, apart from price should be considered to find the total cost of acquisition?
CORRECT TEXT When benchmarking what other factors, apart from price should be considered to find the total cost of acquisition?View AnswerAnswer: When evaluating potential suppliers, procurement professionals can carry out bench-marking. Benchmarking is the process of comparing a function, a process performance with another which is best in-class. Other factors,...
What are the eight elements of whole life asset management?
CORRECT TEXT What are the eight elements of whole life asset management?View AnswerAnswer: Whole life asset management is the process of evaluating the total price and all associated costs of a product to make an informed decision as to which option will provide the organization with the best value for...
What are the four stages of decommissioning?
CORRECT TEXT What are the four stages of decommissioning?View AnswerAnswer: When a fixed asset reaches the end of its life, it requires decommissioning before reconditioning or disposal. Decommissioning is to observe all the safety measures and technical procedures and stop active machinery or an asset from operation (example gas plan,...
What potential costs could an organization face if it fails to conduct Due diligence effectively?
CORRECT TEXT What potential costs could an organization face if it fails to conduct Due diligence effectively?View AnswerAnswer: Though strong due diligence procurement professionals can assess which suppliers or potential suppliers appear to meet the criteria associated with ethical practice. Prior to the contract being awarded, strong due diligence can...
