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CIPS Ethical and Responsible Sourcing Sample Questions (Q49-Q54):

NEW QUESTION # 49
It is good practice for the procuring organisation's auditors to undertake the following upon completion of a supplier's audit. Select the TWO that apply.

A. Report non-compliance to police and have the supplier arrested for lapses
B. Call for a meeting with colleagues and share confidential details of the audit
C. Do nothing, after all, this is a known supplier incapable of serious breaches
D. Inform the supplier of any non-conformances and improvement opportunities
E. Prepare an audit report that may be shared with the supplier in advance

Answer: D,E

Explanation:
Informing suppliers of non-conformances and improvement opportunities supports responsible sourcing by promoting continuous improvement. Preparing a report for supplier review also aligns with transparency and collaborative improvement, integral to ethical sourcing standards.

NEW QUESTION # 50
A public sector buyer has run a competitive tender, for which there were eight bidders. All bidders have met the public sector organisation's minimum standards. In addition, they must also meet several other requirements. The buyer will make the contract award decision based on which of the following?

A. The supplier location
B. Framework agreement terms
C. Weighted criteria
D. The bidder's price

Answer: C

Explanation:
Weighted criteria allow the buyer to evaluate multiple factors, not just price, to make a fair and balanced decision. This approach ensures responsible sourcing by considering quality, sustainability, and other relevant factors alongside cost, which aligns with public procurement ethics and standards.

NEW QUESTION # 51
Which of the following are secondary research sources that can be used when investigating markets and suppliers? Select THREE that apply.

A. Professional magazines
B. Supplier interviews
C. Direct conversations
D. Economic indices
E. Focus groups
F. Supplier websites

Answer: A,D,F

Explanation:
Professional magazines, economic indices, and supplier websites provide secondary data that can be useful in understanding market trends and supplier performance. Responsible sourcing often relies on a mix of primary and secondary data sources to make informed decisions about supplier selection.

NEW QUESTION # 52
How can a buyer monitor a supplier's ethical workforce standards throughout a long-term contract?

A. Contact management directly on a periodic basis, as stipulated in contract terms
B. Check the International Labour Organisation's database regularly for information specifically about that supplier
C. Commission periodic audits by specialist third parties to highlight any malpractice
D. Request a completed self-assessment by the supplier on a monthly basis

Answer: C

Explanation:
Conducting periodic audits by third-party specialists is a reliable way to monitor compliance with ethical standards, as these audits provide an objective assessment. This aligns with ethical sourcing practices, as it promotes accountability and ensures continuous adherence to agreed-upon standards.

NEW QUESTION # 53
Bob works in the procurement department of a construction firm. He has been asked to procure an item for a short-term project which is considered low risk. What type of sourcing will he be completing?

A. insourcing
B. outsourcing
C. strategic
D. tactical

Answer: D

Explanation:
tactical is the correct answer; items that are short-term or low value are considered tactical.
Strategic sourcing is long term and high value.
Outsourcing is moving a key business function to an external company.
Insourcing is bringing a previously outsourced part of the company back in-house.

NEW QUESTION # 54
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