Free CIPS L4M2 Exam Dumps Questions & Answers

Which of the following would be considered to be direct costs? Select TWO that apply:

• A.Head office salaries
• B.Buildings insurance
• C.Production materials
• D.Manufacturing staff wages
• E.Company car depreciation

To improve the productivity, Plantation Ltd is planning to purchase a tractor, which it has never bought before. The project must be quick to catch up with the next growing season. Leanne, a jun-ior procurement staff at the company, assumes that she could skip market analysis stage to save time. Is this assumption reasonable?

• A.No, the company assesses supplier ' s performance solely based on market analysis
• B.Yes, Leanne just needs to purchase the tractor from her friend ' s company
• C.Yes, the company has extensive experience in purchasing tractor
• D.No, market analysis will inform the company of the pricing as well as latest technology trends

Which of the following statements is the best definition of 'value engineering?

• A.Building value into a new product from design stage onwards
• B.Value achieved by an engineering department
• C.Analysing perceived value after the product is available for sale
• D.Producing good value products right first time.

Builder Inc is a rapidly expanding business in construction sector. Due to an increase in projects, it cannot manage the flow of materials by Excel spreadsheets but by more dedicated software. Who would be a key internal stakeholder in defining software compatibility with company ' s current system?

• A.Executive team
• B.IT team
• C.Finance team
• D.Procurement team

It could be argued that wherever possible, specifications should be more output and outcome focused. Why is this?

• A.To reduce the number of options available
• B.To allow as many suppliers as possible to respond
• C.So that a specific branded product is provided
• D.So that they can be amended easily after contract award