CIPS L3M2 Ethical Procurement and Supply Exam Practice Test

Page: 1 / 14
Total 90 questions
Question 1

In developed economies such as the European Union and North America, there is no forced labour (modern slavery) in supply chains. True or false?



Answer : B

The statement is false.

CIPS actively campaigns against modern slavery anywhere in the world.


Question 2

The usefulness of lifetime costing is for decision-making about whether to acquire an asset with an expected:



Answer : D

Lifetime costing is of greatest applicability when an asset has a long life.


Question 3

Finding new potential suppliers using the internet might be known as:



Answer : A

E-sourcing.

Try to be clear on the difference between e-sourcing and e-auctions.

Other related e-terms include e-contracting, e-procurement, and possibly more.


Question 4

A term used to describe preparatory activities undertaken after a contractor has been appointed, but before they have commenced work. Often used in projects, construction or management consultan-cy



Answer : D

It is probably often improvisation, but the correct answer is mobilisation: getting ready to undertake the task at hand.

It could be as simple as booking a team of consultants into a hotel room; it could be as complex as leasing bulldozers from the US, hiring cranes from China, and buying cement from Nigeria.


Question 5

Which two of the following are world-famous quality management gurus?



Answer : A, B

Both Philip Crosby and Deming (alongside Juran) are legendary quality management thinkers and writers.

Both Phil Collins and Bing Crosby are famous singers; Bill Cosby is an American comedian; and J Edgar Hoover was the legendary Head of the FBI in the USA.


Question 6

The formal appraisal of a current supplier, measured in terms of factors such as quality, timeliness of delivery, etc is known as:



Answer : A

Once a supplier is contracted, monitoring performance is vendor rating.

Prior to a supplier being contracted, attempting to understand what their performance would be like is called 'supplier appraisal'.


Question 7

An internet-based auction between competing sellers or suppliers in real time, is called a:



Answer : C

Reverse e-auction.

This term is used in your syllabus.


Page:    1 / 14   
Total 90 questions