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CIPS L6M9 Exam Questions
- Topic 1: Understand and apply leadership skills and behaviors appropriate for strategically improving the procurement and supply chain function: This section of the exam measures the skills of Supply Chain Managers and covers understanding leadership behaviors that enhance procurement processes. It assesses how to strategically improve supply chain functions, focusing on a key skill like "Strategic Decision Making".
- Topic 2: Understand operations strategy and its contribution to overall business success: Targeting Operations Directors, this section evaluates understanding of operations strategy's impact on organizations, including aligning with business goals, market requirements, and resource management.
- Topic 3: Assess the strategic value of resource planning and control: This part targets Resource Planners, focusing on evaluating strategic resource planning concepts such as forecasting, scheduling, monitoring, and controlling resources effectively within the operational framework.
Free CIPS L6M9 Exam Actual Questions
Note: Premium Questions for L6M9 were last updated On Apr. 06, 2026 (see below)
Andrea is the Chief Financial Officer at Big Corporation and is completing a Variance Analysis. She has reviewed the production costs of creating item B, and this month's costs show a variance to budget of -200. What does this mean?
A negative variance to budget means that the company spent 200 less than expected, which is a positive outcome. While it may seem counterintuitive, a negative variance in this context indicates cost savings rather than overspending. Option D is incorrect because the organisation has saved 200, not gained it. (See p.198)
Which of the following are benefits of optimising the supply chain? Select ALL that apply.
Optimising the supply chain brings benefits such as increased flexibility, higher profit margins, better demand forecasting, and waste reduction.
Use of AI and technology (D) is incorrect because it is a method to achieve supply chain optimisation, not a benefit itself.
(LO 1.1, See p.3)
A jewelry manufacturer has recently acquired the mining company that supplies the precious metals used in its jewelry production.
What is this an example of?
Backward vertical integration occurs when a company acquires a supplier or producer that is further upstream in the supply chain. In contrast, forward vertical integration happens when a company buys a retailer or distributor further downstream.
Note: Forward horizontal and backward horizontal integration do not exist---these are trick options. (See LO 1.2, p.42)
Greg is the manager at a car wash and is trying to work out the break-even point of his business. Which of the following pieces of information will he need to consider to understand his break-even point? Select ALL that apply.
Greg needs to know his fixed costs, variable costs, and price per car wash to determine his break-even point.
For example, if:
Fixed costs (rent, bills) = 100/day
Variable cost per car wash (soap, sponges) = 5
Price per car wash = 10
The break-even point is when revenue = costs, which means washing 20 cars per day (10 20 = 200 revenue, covering fixed and variable costs).
Number of customers (C) is incorrect, as this is calculated from the break-even formula, not an input.
Number of employees (E) is incorrect, as it is not a direct factor in the break-even calculation (only their wages as part of fixed costs).
(LO 1.3)
Strategic stocking decisions are likely to change under what circumstances? Select ALL that apply.
Strategic stocking decisions change when external factors shift, such as a competitor going out of business (leading to increased demand) or a vulnerability in raw material supply (e.g., a bad harvest). Short lead times and low demand do not necessarily change stocking decisions but rather influence how stock is currently managed. (See p. 159)
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