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CIPS L4M5 Exam - Topic 11 Question 21 Discussion

Actual exam question for CIPS's L4M5 exam
Question #: 21
Topic #: 11
[All L4M5 Questions]

A procurement professional is negotiating with a supplier on cleaning service. She realises that there are huge cost-saving opportunities if the supplier agrees to reduce its mark-up and unnecessary employee benefits. Supplier's mark-up and employee benefits are examples of which of the following?

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Suggested Answer: D

A key consideration when seeking to negotiate prices is to establish what proportion of the spend is addressable by procurement action such as negotiation. Addressability of spend is influenceable through negotiations or application of other saving effort or leverage with suppliers.

LO 2, AC 2.1


by Ernest at May 04, 2022, 03:23 AM

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Gilma
4 months ago
Spend cube is the right term for analyzing costs, not this!
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Marylin
4 months ago
Isn't it risky to cut benefits? Seems like a bad idea.
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Theron
4 months ago
Wow, I didn't realize employee benefits could be so flexible!
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Leeann
4 months ago
I disagree, it's more about the spend waterfall in this case.
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Devora
5 months ago
Definitely addressable spend! Those mark-ups are negotiable.
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Edwin
5 months ago
Hmm, I'm not sure if the Intune profile is the only thing I need to do. The question mentions a few different components like Azure AD DS and the on-premises domain that might need to be considered.
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Kerrie
5 months ago
I'm a bit confused on this one. Purging the cache based on response headers is a new concept for me. I'll need to review the Azure Front Door documentation to make sure I understand the different cache purge options.
upvoted 0 times
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Han
5 months ago
This seems like a straightforward question about the inputs to the business analysis approach. I'm pretty confident I can figure this out.
upvoted 0 times
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