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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?

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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.


Contribute your Thoughts:

Bettye
2 days 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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Micaela
4 days ago
C category items are the low-value, high-volume purchases. The answer is clearly C) tail spend.
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Denae
9 days ago
I'm not sure, but I think one-off purchases could also be C category items.
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Patria
12 days ago
I agree with Solange, tail spent items are usually considered C category.
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Solange
13 days ago
I think C category items would be tail spent.
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