CIPS L4M3 Exam - Topic 5 Question 10 Discussion

Actual exam question for CIPS's L4M3 exam

Question #: 10
Topic #: 5

[All L4M3 Questions]

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?

AYes, because these targets will propel the suppliers to continuous improvement

BNo, the local suppliers are always the best choice

CNo, because the KPIs are not a realistic and justified

DYes, the higher the targets are, the better the outcomes will be

Show Suggested Answer

Suggested Answer: C

KPIs and the targets for supplier should be SMART:

- Specific: What exactly do you want to achieve?

- Measurable: How will you identify that you have achieved your goal?

- Achievable: Is your goal really attainable?

- Relevant: Is it relevant to you or, in other words, does it align with where you want to be?

- Time-bound (or timely): When will you deliver your goal, and what are the key milestones?

The two KPIs (Delivery in one hour, Return orders in one hour) are not realistic and achievable for international suppliers. Therefore, you should not put such high targets for supplier.

- What Are SMART KPIs? (Spoiler: They Don't Really Exist!)

- CIPS study guide page 107-108

LO 2, AC 2.2

by Janine at Dec 24, 2022, 01:50 PM

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Annita

4 months ago

Wait, an hour for returns? That sounds too good to be true!

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Trevor

4 months ago

Totally agree, pushing for higher targets can lead to better results!

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Annelle

4 months ago

Those targets seem unrealistic to me.

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Malinda

4 months ago

I disagree, local suppliers know the area better.

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Tish

4 months ago

Fast delivery is key in today's market!

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Marsha

5 months ago

I recall a practice question where unrealistic KPIs led to supplier burnout. Maybe option C is the safest choice here.

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Hortencia

5 months ago

I feel like local suppliers might have an edge in speed, but international ones could offer better prices. It's a tough call.

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Amber

5 months ago

I think I read somewhere that high targets can drive improvement, but I wonder if an hour is too ambitious for returns.

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Moon

5 months ago

I'm not sure if those targets are realistic. I remember discussing how KPIs should be achievable to motivate suppliers.

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Adelaide

5 months ago

This seems like a straightforward question about the benefits of sensitivity analysis. I'll focus on identifying the key points that demonstrate my understanding of the topic.

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Moon

5 months ago

Okay, let's see. Investigating performance issues using SQL Insights in LCS - that makes sense. But I'm not convinced a non-unique index is the solution.

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Donette

5 months ago

This seems straightforward. I'm pretty confident I can get this right.

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