CIPS L4M4 Exam - Topic 2 Question 25 Discussion

Actual exam question for CIPS's L4M4 exam

Question #: 25
Topic #: 2

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, 05:04 PM

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Mary

7 months ago

High value items should definitely not be in C!

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Lindsey

8 months ago

Yup, tail spend fits the C category perfectly!

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Leslee

8 months ago

Wait, are one-off purchases really considered C items?

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Skye

8 months ago

Totally agree, it's all about the tail spend!

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Tasia

8 months ago

C category items are usually low value, right?

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Sharika

9 months ago

I definitely recall that C items are not strategic or high value, so I think option C makes the most sense here.

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Rima

9 months ago

I’m a bit confused because one-off purchases could also fit into the C category, right? But I feel like tail spend is more accurate.

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Carrol

9 months ago

I remember practicing a similar question where C items were described as low-value items, so I would go with option C.

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Georgiann

9 months ago

I think C category items are usually the ones with the least value, like tail spend, but I'm not entirely sure.

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Billye

9 months ago

Okay, I've got this. The C category items are the ones with the lowest value or "tail spent" in the ABC analysis. I feel confident about that now.

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Carisa

9 months ago

I'm a bit unsure about this one. Is the C category the "high value items" or the "tail spent"? I want to make sure I understand the concept of ABC analysis before selecting an answer.

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Fausto

9 months ago

Ah, this is a classic ABC analysis question. The C category items are the ones with the lowest value or "tail spent" - that's the one I'm going with.

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Marsha

9 months ago

Okay, let me think this through. The C category items are the low-value ones, so that would be the "tail spent" option. I just need to double-check that to make sure I have the right answer.

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Marvel

9 months ago

Hmm, this ABC analysis question seems straightforward. I think the C category items would be the ones with the lowest value or "tail spent" based on the options provided.

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Jaclyn

1 year 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

1 year ago

Definitely C) tail spend.

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Mitsue

1 year ago

I think it's C) tail spend too.

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Leatha

1 year ago

C) tail spend

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Dean

1 year 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

1 year ago

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

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Sarina

1 year ago

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

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Chu

1 year ago

Guillerme must have his hands full managing all those items!

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Heidy

1 year ago

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

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Bettye

1 year 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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