CIPS Exam L4M8 Topic 4 Question 52 Discussion

Actual exam question for CIPS's L4M8 exam

Question #: 52
Topic #: 4

[All L4M8 Questions]

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 Chantell at Jan 09, 2025, 12:39 AM

Limited Time Offer

25%

Off

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

Contribute your Thoughts:

Submit Cancel

Edelmira

20 days ago

A supplier that doesn't meet its KPIs should be 'supplied' with a strongly worded letter. Get it? Supply-d? Ah, never mind, my jokes are terrible.

upvoted 0 times

...

1 months ago

I like how the answer options explain the different methods in detail. Continuous improvement and training are especially important to keep suppliers on track.

upvoted 0 times

Dan

3 days ago

Continuous improvement and training are key to ensuring suppliers meet their contractual agreements.

upvoted 0 times

...

Romana

1 months ago

Yes, regular reviews and continuous improvement are also crucial for managing suppliers effectively.

upvoted 0 times

...

2 months ago

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

upvoted 0 times

...