Improve Your Knowledge with L5M6 Exam Dumps

Practicing with L5M6 questions can help you identify areas where you need to improve your knowledge. By answering L5M6 questions and reviewing your responses, you can identify gaps in your understanding and focus your study efforts on those areas. The L5M6 exam has a strict time limit, and you need to manage your time effectively to answer all the questions. Practicing with CIPS L5M6 dumps questions can help you develop time management skills by simulating the exam's time constraints. You'll learn how to pace yourself, manage your time effectively, and ensure that you complete the L5M6 exam within the allotted time. Test CIPS L5M6 exam free dumps below.

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1. Which of the following form part of Cialdini's 7 Principles of Persuasion? Select THREE.

Power

Social proof

Commitment

Liking

Morality

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2. Ted is a potato farmer from Devon. He sells his potatoes to many local customers including restaurants, wholesalers and manufacturers. For one customer, Ted is keen to drive a premium price for his potatoes as he is confident the customer can afford to pay more.

What type of customer is this to Ted?

Development

Exploitable

Nuisance

Core

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3. In Category Management, which of the following Models can be used for creating a step-by-step plan for Strategic Sourcing?

Kraljic Matrix

The Pareto Principle

Porter’s 5 Forces

Kearney’s 7 Step Model

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4. BikeFace is a leading manufacturer of bicycles.

Which of the following would be considered direct costs for this organisation? Select TWO.

Rubber

Labour

TV advert

IT system for ordering materials

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5. James works for an online retailer and has recently completed a Pareto analysis of customer complaints. He found that the top two issues were website errors and incorrect product codes. However, he is aware there are weaknesses in Pareto analysis.

Which of the following are true? Select TWO.

Pareto uses qualitative data only

There is no insight into root cause

Further analysis will be needed to produce results

Pareto only identifies 20% of the issues

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6. A new supplier to a marketplace is using break-even pricing to determine the price at which to sell a product.

Which of the following does this type of pricing structure not consider? Select TWO.

Fixed costs

Variable costs

Price elasticity

Competitors’ pricing

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7. Of the following 4 types of industries, which has the lowest barriers to entry?

Airline

Pharmaceuticals

Restaurant

Soft drink manufacturing

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8. In a marketplace where there is a large number of suppliers, which of the following is true?

There is low rivalry

There is a low barrier to entry

Buyer power is strong

Buyer power is weak

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9. “Survival of the fittest” is a concept in supplier relationships.

Which of the following does it describe?

Low focus on pricing, low focus on relationships

Low focus on pricing, high focus on relationships

High focus on pricing, high focus on relationships

High focus on pricing, low focus on relationships

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10. Which of the following forms of historical data can be used to inform Category Management expenditure? Select THREE.

Inflation Rate

Spend Forecast

Spend Analytics

Line Item Details

Ledger Code

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11. The process of designing a product with a trusted supplier in order to eliminate costs that may appear at the delivery stage is known as which cost management strategy?

Cost acceptance

Cost engineering

Cost down

Cost out

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12. According to studies completed by Reeves, Moose and Venema in 2014, which of the following was proven to be true with regards to the BCG matrix?

Companies nowadays have more 'cash cow' items than in the past

Products move through the four quadrants faster nowadays than in the past

There is a higher correlation between share leaders and profit leaders nowadays than in the past

There is a longer time between innovation and adoption nowadays than in the past

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13. Analytics data can be used in Category Management forecasting.

Which of the following would be a form of Analytics Data?

Expertise data e.g. estimated lead times

Data from the past e.g. historical trends

Data models and predictions e.g. trends for the future

Known data e.g. manufacturing capacity

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14. What can the IACCM help a Category Manager with?

Choosing the correct supplier

Analysing the market

Using the correct sourcing model

Completing benchmarking

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15. Francis is a Category Manager within a large agricultural company which has over 10 categories. He believes that the Category with the largest spend (in £) is the most important category to the business.

Is he correct?

Yes - Categories with larger budgets buy more important items

Yes - A larger spend signifies that the category is buying larger volumes of items than other categories

No - This fails to address the importance of the item to the organisation's service / product

No - All categories are equally as important to the business

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16. Peak Pricing is also known as which other type of pricing model?

Penetration pricing

Dynamic pricing

Limit pricing

Price skimming

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17. What name is given to an item or business which has both low market share and low growth?

Cash cow

Star

Question mark

Dog

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18. Which of the following industries is the only one that does not have a specific SIC code?

Agriculture

Finance

Retail

Services

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19. Caleb is completing a risk assessment on his supply chain using a matrix categorising risks on a scale of 1C5. He identifies one risk with a score of 2.

Which category of risk would this fall into?

Major

Main

Moderate

Minor

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20. Workshops, safety facilities, and design engineers are indirect costs associated with which industry?

Construction

Retail

Services

Agriculture

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21. Which of the following are legal aspects of a contract a Procurement Manager should know? [Select THREE]

Sustainability

Relationship management

Liabilities

Intellectual Property

TUPE

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22. Callie is a Category Manager at a car parts manufacturer. She discovers through a SWOT analysis that many other customers are increasing short-term demand for raw materials.

Which category does this fall under?

Strengths

Weaknesses

Opportunities

Threats

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23. Penelope works for an international manufacturer.

Which categories are most likely to be outsourced? [Select TWO]

Raw materials

Marketing services

Warehousing

Operations

Facilities management

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24. A category which includes raw materials required in large quantities and high volumes is often known as what?

Direct Category

Primary Category

Demand Category

House Category

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25. Porter’s 5 Forces is a useful tool to analyse market factors that affect profitability.

Which of the following is not one of the forces?

Threat of buyers

Rivalry among existing firms in the industry

Threat of new entrants

Threat of substitutions

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26. In mitigating risks within the supply chain, which two factors should be assessed when evaluating potential risks?

Location

Severity

People involved

Likelihood

Cost

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27. Claudio wants to limit risks from supplier financial instability.

Which two actions are most effective?

Use fewer suppliers

Limit spend with one supplier to 30% of external spend

Contract smaller businesses and start-ups

Have contingency plans in place

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28. ABC Ltd is a manufacturer of hi-tech IT equipment and is operating in an industry set to grow substantially over the next 10 years.

What type of industry could this be described as?

Bull industry

Bear industry

Dog industry

Cow industry

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