CIPS Exam L4M6 Topic 3 Question 44 Discussion

Actual exam question for CIPS's L4M6 exam

Question #: 44
Topic #: 3

Francisco has entered a partnership with Pedro, who is a key supplier, and wants to ensure that the partnership achieves all of Francisco's goals. As well as qualitative and quantitative KPIs, what other measures could Francisco take to ensure the partnership is a success?

ADo frequent appraisals on the supplier

BConduct regular audits

CEnsure there is a damages clause in the contract

DThreaten the supplier with termination if he underperforms

Show Suggested Answer

Suggested Answer: B

The correct answer is 'Conduct regular audits'. This is explained on p.153. You wouldn't do an appraisal on a supplier in a partnership relationship as both parties are equal. Threatening a partner isn't good for the relationship and a damages clause would be used in a contractual relationship rather than a partnership.

by Leanora at Jul 07, 2024, 09:53 PM

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Elliott

4 months ago

Audits, damages clause, and maybe even a little dance routine to show the supplier who's boss. Gotta keep them on their toes, you know?

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Shannon

4 months ago

Frequent appraisals? I'm not sure that's the most efficient approach. Why not just set clear KPIs and review them regularly? That way, everyone knows what's expected.

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Gracia

4 months ago

Threatening the supplier with termination? That's a bit harsh, don't you think? Let's keep things professional and focus on building a strong, collaborative relationship.

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Barrie

4 months ago

C) Ensure there is a damages clause in the contract

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Cherry

4 months ago

B) Conduct regular audits

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Quinn

4 months ago

A) Do frequent appraisals on the supplier

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Dottie

4 months ago

I agree that audits are important, but I'd also include a damages clause in the contract. That way, there are clear consequences if the supplier underperforms.

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Tracey

5 months ago

Conducting regular audits seems like the best way to ensure the partnership is a success. Keeping a close eye on the supplier's performance is crucial.

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