Question 1

What is contract leakage?

Options :

A : when spend with a supplier is more than was stated in the contract

B : when spend with a supplier is less than was forecast

C : the gap between proposed KPI levels and those actually achieved by the supplier over the course of a contract

D : the gap between benefits identified in the pre-award stage of the contract and those actually achieved

Answer: D

Question 2

According to studies completed by Reeves, Moose and Venema in 2014, which of the following was proven to be true with regards to the BCG matrix?

Options :

A :

companies nowadays have more 'cash cow' items than in the past

B : products move through the four quadrants faster nowadays than in the past

C : there is a higher correlation between share leaders and profit leaders nowadays than in the past

D : there is a longer time between innovation and adoption nowadays than in the past

Answer: B

Question 3

CEB Research states that there are 6 competencies which drive strategic performance in Procurement. The ability to stay calm under pressure and handle criticism is which of the following competencies?

Options :

A : influencer

B : adaptor

C : innovator

D : results seeker

Answer: B

Question 4

Which of the following are potential consequences for an organisation which fails to identify and address risk? Select TWO

Options :

A : lawsuits

B : corruption

C :

damage to brand image

D : financial loss

Answer: C,D

Question 5

Which of the following will you put into box 6?

Options :

A : Profitability Concern

B : Liquidity Concern

C :

Gearing Concern

D : Efficiency Concern

Answer: C