Pass the ISM CPSM LEAD Questions and answers with CertsForce

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Questions # 11:

A company is facing growing pressure to reduce costs by finding less expensive suppliers of raw materials offshore. However, the sourcing team has little experience with offshore suppliers. To prepare the team, which of the following actions by the supply manager will have the GREATEST impact?

Options:

A.

Obtaining approval for new positions with higher experience requirements


B.

Revising performance evaluation criteria to emphasize cost savings


C.

Using diagnostic tools to target specific training needs for the staff


D.

Restructuring the department to concentrate on priority material categories


Expert Solution
Questions # 12:

Smith is a supervisor in a supply management department. Other employees in the department have complained that Smith often makes derogatory comments and inappropriate remarks towards a particular cultural group. The department director meets several times with Smith to discuss these issues. Smith responds by becoming increasingly upset and retaliating against employees rumored to be making complaints. The situation continues to deteriorate, to the point that another manager reports concerns to human resources. Disciplinary action against Smith is then initiated.

Which of the following is the MOST serious issue described in this scenario?

Options:

A.

The director’s failure to follow through with a corrective action plan


B.

The lack of documentation to support allegations


C.

Smith’s perception of the manager as uncaring or ineffectual


D.

The negative effects of the rumor mill and workplace infighting


Expert Solution
Questions # 13:

A category manager for an electronics firm is tasked with building a strategy for wiring harnesses for the coming year. Which of the following is the BEST course of action for the category manager to take?

Options:

A.

Engage relevant stakeholders in order to craft a plan that includes multiple viewpoints


B.

Engage senior management to determine what they want from the category in question


C.

Ask suppliers to provide sealed bids to determine which one will be the most aggressive in reducing price


D.

Focus on suppliers with which the firm spends the most money


Expert Solution
Questions # 14:

Two large industrial organizations with global operations merge. Prior to the merger, the two companies had individual buyers at each manufacturing location, and these buyers were very successful. In the newly merged company, a sourcing team is established, with commoditymanagers reporting to the chief purchasing officer (CPO). Saving money has always been a top priority of the procurement staff, but the CPO is concerned about the new company's culture, as the commodity manager role didn’t exist in either of the two companies prior to the merger.

Which of the following should the CPO be MOST concerned with to ensure the success of the new commodity managers?

Options:

A.

Cost containment


B.

Optimization effort


C.

Cost avoidance


D.

Risk management


Expert Solution
Questions # 15:

Under which of the following circumstances is the effectiveness of a project team MOST likely to be enhanced?

Options:

A.

When the team leader has clear authority and knowledge of subjects discussed


B.

When the team members are willing and able to make ongoing time commitments


C.

When the team leader feels comfortable working independent of outside relationships


D.

When the team members are collectively responsible for reaching the team's goals


Expert Solution
Questions # 16:

The compliance division within EFG, Inc. is reviewing the company's procedures for monitoring and addressing employee fraud. The current system involves employees who suspect fraud reporting their concerns to an internal company email mailbox. Many of the firm’s employees are concerned about the confidentiality of this process. Which of the following would be the BEST course of action for EFG to take in order to reduce this concern?

Options:

A.

Develop a training program that emphasizes the risks caused by employee fraud and the importance of proper reporting


B.

Announce through the intranet the company's commitment to non-retaliation in fraud reporting


C.

Explore opportunities to outsource the reporting function to an independent third party


D.

Change the reporting policy and have employees report concerns directly to their individual managers


Expert Solution
Questions # 17:

RST, Inc. has the following mission statement:

"RST seeks to provide the optimum combination of value pricing and consistent quality for its customers through innovative production processes.

Which of the following elements of RST's supply management department's strategic plan will BEST support this mission statement?

Options:

A.

"Supplier-generated defect rates will be less than 0.1 percent."


B.

"Supplier transportation charges will be continuously monitored for potential savings."


C.

"Sourcing will facilitate first-to-market readiness."


D.

"Inventory levels will ensure on-time order fulfillment while minimizing carrying costs."


Expert Solution
Questions # 18:

A supply management department's resources have been stretched thin, and there are few opportunities for staff growth. To improve this situation, the supply manager plans to implement an e-sourcing system, which will streamline routine procurements and allow more time for supply professionals to concentrate on value-added tasks. The supply manager wants to introduce the system in a way that will help motivate the department staff. Which of the following will MOST likely bring about this result?

Options:

A.

A reduction in procurement process costs


B.

A shift from a transactional to a strategic approach


C.

A greater flexibility in department staffing


D.

A lower total cost of ownership


Expert Solution
Questions # 19:

In which phase of team development do group members challenge each other and compete against one another to assume leadership?

Options:

A.

Performing


B.

Adjourning


C.

Storming


D.

Norming


Expert Solution
Questions # 20:

After analyzing its relationships with other departments, supply management decides to revise its stocking levels and order forecasting in order to streamline processes and reduce costs. Which of the following is the BEST way for the supply management organization to introduce these changes to the departments involved?

Options:

A.

Meet with internal customers to address any changes that might impact their operations


B.

Demonstrate the long-term savings to be realized


C.

Obtain endorsements from other departments


D.

Use best-in-class comparisons to show how the new policies will advance the organization


Expert Solution
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