Question 1

Ji Yuan is a procurement manager who is looking for a new supplier to complete reactive maintenance activities throughout his property portfolio. The reactive maintenance will include an array of plumbing tasks as well as fixing electrical items. Suppliers therefore need to be extremely skilled and knowledgeable about a variety of tasks. Ji Yuan has done some initial research and doesn't believe that there are many suppliers who can complete this type of contract. What type of tender should he use?

Options :

A : negotiated

B : restricted

C : open

D : competitive dialogue

Answer: C

Question 2

Which of the following is considered as part of ESG?

Options :

A : bribery, corruption and the environment

B : market conditions and product lifecycle

C : liquidity, gearing and profitability

D : economic and social governance

Answer: B

Question 3

Intra-company trading allows business units within a large enterprise to supply goods or services to another.What are the likely objectives of intra-company trading?Enhances production capacity utilisationOffsets some of the fixed costs of the supplying entityCompensates the supplying unit for the less effective technology appliedEnsures internal technology always out-performs that of external suppliers

Options :

A : 1 and 2 only

B : 2 and 3 only

C : 1 and 3 only

D : 2 and 4 only

Answer: A

Question 4

Right after conducting an audit and analysing audit reports, which of the following should be done by the buying organisation so that supplier can improve itself?

Options :

A : Discuss the findings from audit reports with other suppliers in order to obtain better performance

B : Terminate the contract with supplier if there is any non-conformance arises

C : Adjust the KPIs in order to monitor the supplier more strictly

D : Communicate with supplier about a corrective action plan

Answer: C

Question 5

Which of the following are potential advantages of adopting centralised procurement system? Select TWO that apply

Options :

A : Inefficient use of procurement skills

B : Economies of scale available

C : Less bureaucratic environment

D : More scope for personal responsibility

E : Less administrative work

Answer: A,B

Confidently Practice Online with Free L4M4 Exam Cram

Buying Options: