CIPS Exam L4M8 Topic 8 Question 51 Discussion

Actual exam question for CIPS's L4M8 exam

Question #: 51
Topic #: 8

[All L4M8 Questions]

Describe four factors that could damage reputation within the supply chair

AExplanation:
The reputation of all the organizations within a supply chain is linked. A Company's reputation is an intangible asset that can contribute to the failure of an organization if damaged. Factors that could damage organizational reputation within the supply chain are;
1. Quality: if the product or service quality is poor the organization may not satisfy it customers and this can lead to a loss of reputation in the market. For example, a residential building construction company contracting a supplier that would do a bad job which in three months may require home owners to reinstall new doors.
2. Sustainability: if the organization is not replenishing that which it is extracting, it will some day run out of business or probably loss loyal customers. For example a drilling company that spills hydrocarbon as it drills.
3. Fit for purpose: if an organization produce a product or carry out services that are not fit for purpose, it may run at loss for there will be so much rejection and rework. This can lead to customers switching to another organization which product or services are fit for their purpose.
4. Contract management: an organization will have to manage its suppliers and the contracts to ensure they are delivering what they were contracted to do. A poor contract management is a waste in the process of delivery that can lead to reputational loss.

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by Hannah at Dec 10, 2024, 01:01 PM

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Jesus

2 months ago

These are all great points. I particularly like the examples provided - they really help illustrate how these factors can play out in the real world. Gotta keep that supply chain reputation squeaky clean!

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Patrick

10 days ago

User 3

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Mona

1 months ago

User 2

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Bethanie

1 months ago

User 1

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Reena

2 months ago

Ha! Can you imagine a construction company using a supplier that puts in doors that fall apart in 3 months? That's a surefire way to get a bad reputation fast. And a drilling company that spills oil? Talk about a PR nightmare!

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Peter

20 days ago

And imagine the environmental impact of a drilling company spilling oil during operations.

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Nan

28 days ago

Yeah, poor quality products can really damage a company's reputation in the market.

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Rachael

1 months ago

That construction company really messed up by choosing a bad supplier for their doors.

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Lashawnda

2 months ago

The 'fit for purpose' factor is an interesting one. It's not just about quality, but also about meeting the customer's specific needs. And good contract management is crucial to ensuring everything runs smoothly.

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Trevor

1 months ago

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Gracie

1 months ago

User 1

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Mozell

2 months ago

I believe contract management is also crucial. If suppliers are not delivering as per the contract, it can lead to reputational loss.

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Alesia

2 months ago

I think this question covers some really important aspects of supply chain reputation. Quality and sustainability are definitely key factors that can make or break an organization's reputation. The example of the home construction company and the drilling company really drive the point home.

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Viki

13 days ago

Managing contracts with suppliers is also essential to prevent reputational loss.

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Hana

15 days ago

The example of the drilling company spilling hydrocarbon shows how sustainability is important for long-term success.

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Tasia

29 days ago

Yes, poor product quality can lead to customer dissatisfaction and damage the organization's reputation.

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Annamaria

1 months ago

Quality and sustainability are crucial for maintaining a good reputation in the supply chain.

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Mariko

2 months ago

I agree with you, Paulina. If customers are not satisfied with the product, they will switch to another organization.

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Paulina

2 months ago

I think poor quality is a major factor that could damage reputation in the supply chain.

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