CIPS L5M6 Exam - Topic 1 Question 2 Discussion

Actual exam question for CIPS's L5M6 exam

Question #: 2
Topic #: 1

[All L5M6 Questions]

Category Management and Strategic Sourcing are terms which are interchangeable. Is this statement TRUE?

AYes -- they are synonyms and used interchangeably within most organisations

BYes -- Strategic Sourcing is a type of Category Management

CNo -- Category Management is a process most effectively applied when using a recognised framework and supporting tools

DNo -- Category Management is a tactical form of sourcing

Show Suggested Answer

Suggested Answer: C

Although some organisations mistakenly use Category Management and Strategic Sourcing interchangeably, they are not the same. Strategic Sourcing is a philosophy or approach to procurement, while Category Management is a structured process, applied most effectively through recognised frameworks like Kraljic or Kearney's 7-step model. Category Management is strategic, not tactical, and focuses on long-term value creation, supply market management, and alignment with organisational objectives. A direct quote from L5M6 states: ''Category Management is a process and is applied most effectively when using a recognised framework and supporting tools.'' This clarity ensures that organisations do not reduce Category Management to short-term sourcing exercises. Instead, it emphasises cross-functional collaboration, innovation, and market analysis to achieve sustainable value.

by Hayley at Oct 03, 2025, 10:44 AM

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Joesph

2 months ago

Definitely C! Frameworks matter in Category Management.

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France

2 months ago

I think B makes sense, but C has a point too.

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Walton

3 months ago

Wait, are we sure about that? Seems confusing.

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Gilberto

3 months ago

Totally agree, Category Management is more structured.

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Cassie

3 months ago

They are not the same thing!

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Christoper

3 months ago

I lean towards D because I recall that Category Management is often described as more tactical, while Strategic Sourcing is strategic. They seem to serve different purposes.

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Janet

4 months ago

I'm not entirely sure, but I think B could be a possibility since Strategic Sourcing might fall under the broader umbrella of Category Management.

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Frankie

4 months ago

I feel like I saw a question similar to this in practice exams, and I think the answer is C. Category Management seems to require a specific framework, which makes it different from Strategic Sourcing.

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Lauryn

4 months ago

I remember discussing how Category Management focuses on managing groups of related products, while Strategic Sourcing is more about the overall sourcing strategy. So, I think they aren't interchangeable.

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Gayla

4 months ago

This is a tricky one. I feel like Strategic Sourcing and Category Management are related, but not exactly interchangeable. The wording in option C about using a recognized framework makes sense to me. I'm going to go with that as my final answer.

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Raina

4 months ago

Okay, let me break this down. Strategic Sourcing is about developing a holistic sourcing strategy, while Category Management is a specific process for managing different spend areas. So I don't think they are exactly the same thing. I'm leaning towards option C as the correct answer.

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Joseph

5 months ago

I'm a bit confused on this one. I know Category Management involves a structured approach to managing different spend categories, but I'm not sure how that relates to Strategic Sourcing. Hmm, I'll have to think this through carefully.

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Glory

5 months ago

I think the key here is to understand the difference between Category Management and Strategic Sourcing. Option C seems to suggest they are distinct concepts, while the other options imply they are more closely related.

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