Question 1

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 2

Which of the following will you put into box 8?

Options :

A :

leverage

B : strategic

C : bottleneck

D : non-critical

Answer: B

Question 3

In order for Category Management to be a success, it is important to have business commitment and stakeholder buy-in. Is this TRUE?

Options :

A :

Yes- if the organisation is to realise the benefits of Category Management, it must be fully endorsed and supported by top management

B : Yes- Category Management is a tactical approach to sourcing and therefore requires cross-functional teamworking to succeed

C : No- Categories can work independently of each other and therefore do not require stake-holder buy-in.

D : No- business commitment is only required for high spend categories

Answer: A

Question 4

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

Question 5

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