CIPS Exam L4M4 Topic 2 Question 25 Discussion

Actual exam question for CIPS's L4M4 exam

Question #: 25
Topic #: 2

[All L4M4 Questions]

Guillerme is a Category Manager within the procurement department of a Manufacturing company. In his Category there are 200 items he procures, and he has recently undertaken an ABC analysis of these. Which of the following items would be C category items?

Ahigh value items

Bone-off purchases

Ctail spent

Dstrategic sourcing

Show Suggested Answer

Suggested Answer: D

A risk of pre-planning an audit is the supplier has time to prepare for it. It's a good thing in that they can get their paperwork in order but the downside is they can overprepare so you don't get a realis-tic representation of what they're doing. One way they can do this is coaching staff in what to say to the auditors.

by Devon at Oct 24, 2024, 06:04 PM

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Jaclyn

4 months ago

Aha, I've got it! C) tail spend is the right answer. Wait, did Guillerme get a raise for doing all this analysis? If not, he should probably start looking for a new job!

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Graciela

3 months ago

Definitely C) tail spend.

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Mitsue

3 months ago

I think it's C) tail spend too.

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Leatha

3 months ago

C) tail spend

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Dean

4 months ago

This is a tricky one, but I think C) tail spend is the way to go. Guillerme must be thrilled to be a Category Manager - better him than me, handling all that paperwork!

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Cruz

3 months ago

I wonder how Guillerme prioritizes his time with so many items to manage.

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Sarina

4 months ago

Yeah, it's definitely a challenging role to handle all the paperwork and negotiations.

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Chu

4 months ago

Guillerme must have his hands full managing all those items!

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Heidy

4 months ago

I agree, C) tail spend items are usually low value and low volume.

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Bettye

5 months ago

I was about to choose B) one-off purchases, but then I remembered that those are usually high-value, low-volume items. C) tail spend is the correct answer.

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