CIPS Exam L4M8 Topic 6 Question 49 Discussion

Actual exam question for CIPS's L4M8 exam

Question #: 49
Topic #: 6

What is the method of monitoring suppliers?

AExplanation:
When a contract has been awarded, either is to meet tangible needs or intangible needs, contractors or suppliers should be managed to ensure that they are meeting up with fulfilling their contractual agreement. To establish this, there are methods of managing contracts and suppliers.
Service level agreement (SLA) clauses: is placed in contract to ensures that supplier meets the expected and agreed level of service
Key performance indicator (KPI): are used to manage contracts that fulfill tangible needs, the KPIs are set performance thresholds that are used to monitor supplier's performance.
Management by objectives (MBO): is the process of defining objective that are strategic to the organization relating them to the vision and mission and communicating them to the supplier through the contract and ensuring that this objective is met during contract performance.
Reviews: Regular supplier reviews are good practices, for it gives the buyer opportunity to give feedback on performance.
Continuous Improvement: Contracts and suppliers can be monitored through how they are chang-ing for better incrementally as they are fulfilling the schedule. There must be a set down system to timely improve on the process, people and continuously reduce waste.
Training: It is essential that training, are provided to come up on areas supplier is lacking.

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Suggested Answer: A

by Dottie at Oct 20, 2024, 08:42 PM

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Lilli

14 days ago

Haha, can you imagine a supplier trying to pull a fast one on the buyer? Good thing we've got these monitoring techniques to keep 'em in check. Ain't no slacking allowed!

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Erinn

2 days ago

Yeah, those suppliers better watch out. We've got SLA clauses to make sure they deliver what they promised.

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1 months ago

The continuous improvement process is a great way to keep suppliers accountable and always striving to do better. Training is crucial too - can't have them falling behind on the latest industry standards.

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Lavina

19 days ago

User 2

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Roxane

21 days ago

User 1

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2 months ago

What is the method of monitoring suppliers?

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