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CIPS L4M8 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Whole Life Asset & Cost Management | 25% | - Total cost of ownership concept
|
| Ethics, Responsibility & Compliance | 25% | - Ethical and responsible sourcing application
|
| Sourcing Process & Supplier Management | 25% | - Stages of strategic sourcing
|
| Application of Procurement Cycle | 25% | - Key stages of procurement cycle in practice
|
CIPS Procurement and Supply in Practice Sample Questions:
Question 1
Describe the seven stages of the Tender Process and explain the reasons why the stages must be followed.
Question 2
Maximum Score: 25
Explain the elements that Lucie should include in her analysis based on whole-life asset management.
(25 marks)
Water Works Limited
11
Water Works Limited is the regulated public authority for the provision of clean and waste water services in the Southern region. The procurement manager, Lucie James, has been asked to review the contract for the supply of vehicles across Water Works' ten regional offices. The vehicles are currently hired from Vehicle Press, but several vehicle breakdowns have created operational issues on Water Works sites. There are currently 200 vehicles in the fleet. Some of these are now several years old and running costs are increasing.
Lucie reviewed the contract with Vehicle Press and is aware that the expiry date of the contract is at the end of the current year. Water Works has the option to extend the contract. Lucie undertakes a review of Vehicle Press' contract performance and the specification for vehicles, together with the number of vehicles that will be required in the future. Following this, Lucie presents the analysis of the options available to the operations director, Anna Cabo, in a procurement strategy report. Lucie's report presents the following three options;
1. Extend the contract with Vehicle Press Limited for the hire of the vehicles 2. Re-tender the contract to the open market for the provision of hired vehicles Purchase the vehicles instead of hiring them from the open market.
3.
3. Purchase the vehicles instead of hiring them from the open market. Anna's decision is to progress with option three to purchase the vehicles, as there are capital funds available for strategic purchases in the current year. To proceed, Anna must generate a business case for presentation to the senior leadership team. Anna asks Lucie to prepare a detailed whole life asset management analysis for the provision of the vehicles to support her business case.
Question 3
What effect is technology having on jobs within an organization with which you are familiar with?
Question 4
Describe three ways in which a supplier could improve the effect its company has on the environ-ment.
Question 5
Explain why you think quality should be investigated before working with potential supplier?
Solutions:
| Question 1 Answer: Only visible for members | Question 2 Answer: Only visible for members | Question 3 Answer: Only visible for members | Question 4 Answer: Only visible for members | Question 5 Answer: Only visible for members |






