CIPS Exam L4M8 Topic 9 Question 39 Discussion

Actual exam question for CIPS's L4M8 exam

Question #: 39
Topic #: 9

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.

Show Suggested Answer

Suggested Answer: A

by Rueben at Jul 11, 2024, 07:49 AM

Limited Time Offer

25%

Off

Get Premium L4M8 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Margurite

4 months ago

Continuous improvement and training are also crucial for monitoring suppliers effectively.

upvoted 0 times

...

Hortencia

4 months ago

Yes, and regular supplier reviews can provide valuable feedback for improvement.

upvoted 0 times

...

Kenneth

4 months ago

I bet the person who wrote this question has a spreadsheet for everything, including their spreadsheets.

upvoted 0 times

Kattie

3 months ago

Continuous improvement is key for monitoring contracts and suppliers.

upvoted 0 times

...

Ligia

4 months ago

Regular supplier reviews are a good practice for feedback on performance.

upvoted 0 times

...

Selma

4 months ago

KPIs help in managing contracts that fulfill tangible needs.

upvoted 0 times

...

Lorita

4 months ago

SLA clauses are important for monitoring suppliers.

upvoted 0 times

...

Theola

5 months ago

I agree, having service level agreements and key performance indicators in place can help track supplier performance.

upvoted 0 times

...

Celestine

5 months ago

Seriously, who comes up with these acronyms? SLA, KPI, MBO - it's like a secret language for procurement professionals!

upvoted 0 times

...

Dean

5 months ago

Training is such an underrated aspect of supplier management. Investing in their development can really pay off in the long run.

upvoted 0 times

Latanya

3 months ago

User 1

upvoted 0 times

...

Agustin

3 months ago

User 2

upvoted 0 times

...

Moon

3 months ago

User 1

upvoted 0 times

...

Corazon

3 months ago

Training is key to ensuring suppliers meet the expected level of service.

upvoted 0 times

...

Corazon

3 months ago

Yes, investing in supplier development can lead to better outcomes for both parties.

upvoted 0 times

...

Corazon

4 months ago

I agree, training can really make a difference in supplier performance.

upvoted 0 times

...

Claribel

5 months ago

I like the emphasis on continuous improvement. Keeping suppliers accountable for incremental changes and reducing waste is key to a successful partnership.

upvoted 0 times

...

Olene

5 months ago

Wow, that's a lot of methods! SLAs, KPIs, MBOs, reviews, continuous improvement, and training - they really cover all the bases when it comes to monitoring suppliers.

upvoted 0 times

Agustin

4 months ago

User 2

upvoted 0 times

...

Samira

4 months ago

User 1

upvoted 0 times

...

Hortencia

5 months ago

I think the method of monitoring suppliers is important for ensuring they meet their contractual agreements.

upvoted 0 times

...