HOW CAN I PREPARE L5M5 EXAM QUESTIONS IN ONE WEEK? [2025]

How Can I Prepare L5M5 Exam Questions In One Week? [2025]

How Can I Prepare L5M5 Exam Questions In One Week? [2025]

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Tags: Exam L5M5 Braindumps, L5M5 Practice Test Online, New L5M5 Dumps Ebook, L5M5 Answers Free, L5M5 Test Cram

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CIPS Managing Ethical Procurement and Supply (L5M5) Sample Questions (Q96-Q101):

NEW QUESTION # 96
Ruben is a new Procurement Manager at XYZ Company. He has been charged with buying a new piece of machinery for a factory. Having looked at several options, and considered sustainability, he has opted to buy the more expensive piece of machinery.
In terms of sustainability, why might he have made this choice?

  • A. The higher priced item will be of better quality
  • B. The higher priced item is from a more reputable company
  • C. The more expensive piece of equipment will be more environmentally friendly
  • D. In terms of life-cycle costing the more expensive item may be cheaper in the long term

Answer: D

Explanation:
This question is testing if you know about Whole Life Cycle Costing. You'll have come across this already at level 4 (module 7). It's a big part of sustainability. See p.14 for a quick recap on this. In terms of this question, even if you don't remember life-cycle costing, options 1 2 and 4 can't be right- we don't have information in the question that tells us that the higher priced item is better quality, from a reputable company or environmentally friendly- we just don't know based on the information we've been given so these answers can't be right.


NEW QUESTION # 97
Which of the following is NOT an element of a Fair Trade label?

  • A. Long-term Relationships
  • B. Minimum Price
  • C. Marketing Incentives
  • D. Traceability

Answer: C

Explanation:
Choice B- This is not an element of the Fair-Trade label. While Fair Trade promotes ethical practices, it does not involve offering direct marketing incentives as part of its certification system.
Incorrect answer:
Choice A- This is an element of the Fair-Trade label, ensuring that producers receive a guaranteed baseline payment to protect against market fluctuations.
Choice C- This is an element of the Fair-Trade label, ensuring that certified products can be tracked from production to consumption.
Choice D- Long-term relationships focus on building consistent partnerships between buyers and producers and is also an element.
Reference:
LO-3.3; Page 301; Fair Trade International (FI), global fair-trade organizations and their implications for procurement and supply


NEW QUESTION # 98
Ahmed Electronics is conducting an audit to assess its compliance with regulatory requirements, security protocols, and risk management policies. What type of audit does this represent?

  • A. external audit
  • B. benchmarking audit
  • C. 3rd party audit
  • D. compliance audit

Answer: D

Explanation:
Choice C - A compliance audit is a type of audit conducted to ensure that an organization adheres to regulatory guidelines, security policies, and risk management procedures. Its primary focus is on verifying conformity with external regulations, internal policies, and standards. This is the correct answer.
Incorrect answer:
Choice A - Focuses on financial statements and is usually conducted by an independent body for external stakeholders.
Choice B - Performed by an external organization to assess compliance with specific standards, often for certification purposes.
Choice D- Involves comparing an organization's performance or practices against industry standards or best practices, not necessarily focused on compliance.
Reference:
LO-2.3; Page 207-208; Sourcing third parties for auditing services


NEW QUESTION # 99
Which scenario best illustrates the inclusion of a community benefits clause in a procurement contract?

  • A. A construction company agrees to use locally sourced materials to reduce costs
  • B. A contractor commits to employing a percentage of workers from the local community and offering training programs for skill development
  • C. A supplier is required to adhere to strict environmental standards during project execution
  • D. A procurement contract mandates penalties for late delivery of goods

Answer: B

Explanation:
Choice B- A community benefits clause is included in procurement contracts to promote social and economic benefits for local communities. This often includes actions like creating job opportunities, providing training, or supporting local businesses, as described in option B.
Incorrect answer:
Choice A- Focuses on cost reduction rather than community benefits.
Choice C- Relates more to environmental considerations than community development.
Choice D- This option is about enforcement mechanisms, not generating community benefits.
Reference:
LO-2.2; Page 186-187; Monitoring Contract Performance


NEW QUESTION # 100
Liam, a Procurement Officer at Zenith Corp, oversees a contract with Apex Supplies, a key supplier of essential manufacturing components. After identifying a critical issue in Apex Supplies' delivery process, which TWO documents should Liam complete?

  • A. SWOT Analysis and KPIs
  • B. KPI's and Root Cause Analysis
  • C. Corrective Action Plan and SWOT Analysis
  • D. Root Cause Analysis and Corrective Action Plan

Answer: D

Explanation:
Choice B- Root Cause Analysis (RCA):This document identifies the underlying reasons for the issue in Spades Ltd's conduct. Conducting a thorough RCA ensures Ruby understands the cause of the problem, enabling effective solutions.
Incorrect answer:
Choice A- While Key Performance Indicators (KPIs) are useful for tracking performance, they do not directly address or resolve specific issues..
Corrective Action Plan (CAP): Once the root cause is identified, a CAP outlines specific steps Spades Ltd must take to address and resolve the issue. It also ensures that measures are put in place to prevent recurrence. Therefore option B is the answer.
Choice C- A SWOT analysis is more strategic, focusing on strengths, weaknesses, opportunities, and threats, rather than resolving specific conduct issues.
Choice D- Neither of these documents directly addresses identifying or fixing a conduct issue.
Reference:
LO-2.2; Page 202-203; Methods to correct non-compliance and create and monitor action plans


NEW QUESTION # 101
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