Available Number of Questions: Maximum of
233 Questions
Exam Name: Commercial Contracting
Exam Duration: 90 Minutes
Related Certification(s):
CIPS Level 4 Diploma in Procurement and Supply Certification
CIPS L4M3 Exam Topics - You’ll Be Tested in Actual Exam
The CIPS L4M3 exam is a comprehensive assessment designed to evaluate the knowledge and skills of procurement professionals. It covers a wide range of topics, including strategic procurement and supply management, where candidates learn to develop and implement effective procurement strategies, considering factors like risk management and supplier relationships. The exam also delves into procurement law and regulations, ensuring candidates are well-versed in legal frameworks and compliance requirements. Additionally, it explores the importance of ethical and sustainable practices in procurement, emphasizing the need for responsible decision-making. Supply market analysis is another crucial aspect, teaching candidates how to analyze market trends and make informed sourcing decisions. The exam also covers contract management, negotiating skills, and the latest technologies and innovations shaping the procurement landscape. Lastly, it assesses candidates' understanding of the social and economic impact of procurement, promoting a holistic approach to supply chain management. Overall, the CIPS L4M3 exam equips professionals with the tools to excel in the dynamic field of procurement, ensuring they can drive organizational success through efficient and responsible practices.
CIPS L4M3 Exam Short Quiz
Attempt this CIPS L4M3 exam quiz to self-assess your preparation for the actual CIPS Commercial Contracting exam. CertBoosters also provides premium CIPS L4M3 exam questions to pass the CIPS Commercial Contracting exam in the shortest possible time. Be sure to try our free practice exam software for the CIPS L4M3 exam.
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CIPS L4M3 Exam Quiz
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CIPSL4M3
Q1:
Which of the following is always an advantage of using fixed price arrangement in a contract for buying organisation?
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ABuyer can allocate budget with certainty
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BBuyer can harness falling market price
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CSupplier always receives a fixed margin
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DSuitable for contracts that last 5 years or more
CIPSL4M3
Q2:
Which of the following would be useful tools to incentivise supplier innovation over the duration of the contract?
1. Gainshare arrangement
2. Liquidated damages
3. Service credits
4. Fixed bonus payments
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A3 and 4 only
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B2 and 4 only
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C1 and 4 only
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D1 and 3 only
CIPSL4M3
Q3:
A manufacturing company signed a contract with a raw material supplier. The contract includes a clause on liquidated damages in case of late delivery. Purchaser was obliged to pay after 30 days from delivery. Eventually raw material was delivered 1 week later than initial plan due to supplier's slow production process. There is no defect in the delivered batch. Which of the following can be claimed by the manufacturing company?
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ARights to refunds or repairs
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BRight of set-off
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CRight of third party
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DRight of extending payment
CIPSL4M3
Q4:
You are to do the KPIs and targets for international supplier and the following was done
1. Delivery in an hour
2. Return orders in an hour
Is that a good thing or not?
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AYes, because these targets will propel the suppliers to continuous improvement
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BNo, the local suppliers are always the best choice
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CNo, because the KPIs are not a realistic and justified
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DYes, the higher the targets are, the better the outcomes will be
CIPSL4M3
Q5:
Which of the following statements is FALSE on contracts for the leasing of assets?
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AThe party responsible for maintenance, insurance and taxes is subject to negotiation
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BIn lease agreement, the possession and right of use of an asset are transferred to the lessee
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CThe ownership of leased asset is transferred to the lessee at the end of the period
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DThe lessee may bear some risks of ownership, such as the liability to insure the asset
