Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam - PDF document

consistency, capability, control, cost, cash, clean, communication, culture,commitment), the supplier’s financial standing (e.g. liquidity and gearing), referencesmarket analysis than a re-buy.Tutor Notes: 26 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam 8)Bid Evaluation9)Contract Award and Implementationspecification?This stage may include early supplier involvement Paragraph 2 C Market Analysis 25 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam 9)Contract Award and Implementation- Organisations may have different processesfor different values (e.g. large purchases may need senior management approval, butmeetings with the supplier, motivating / incentivising the supplier, working with themon performance issues, ensuring KPIs are met.12. Explain 5 stages of the sourcing cycle that occur in the pre-contract stage (25points) 24 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam -Other factors you could have chosen to talk about include commissioning costs anddisposal costs11. Describe the main stages of the CIPS Procurement and Supply Cycle (25 points)Anwser ? - Include as many of the stages as you can, but it’s not vital to rememberused by procurement professionals which tracks a procurement exercise frominception to close. It’s helpful as it ensures procurement exercises are done correctly 23 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam incurred from acquisition to disposal. This includes operational, maintenance, anddisposal costs, providing a holistic perspective on the true financial impact of an assetsubstantial operational savings over the machine's lifespan, even though this mayresult in a higher up-front purchase price 22 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam stakeholder who had interest in one project would be interested in another.Tutor Notesdisadvantage of Mendelow’s Matrix is that it doesn’t take into consideration thestakeholder’s position on the project C whether they’re for it or against it. Therefore,10. Sarah has recently been hired as the new Head of Procurement at Alpha Ltd, amanufacturer of small electronics such as hairdryers and alarm clocks. Alpha Ltd has 21 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam the study guide. However, the question is open so you could choose to describeanother tool such as Edgar’s Stakeholder Position Analysis if you so wished. YouMapping this allows an organisation to see the variety and decide on an appropriatemanagement style for each stakeholder group. 20 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam external stakeholders. Their satisfaction and loyalty are crucial for the company'ssuccess.responsible business practices.Tutor Notes9. What is meant by Stakeholder Mapping? Describe a tool that can be used by aProcurement Professional to map the stakeholders at their organisation (25 points) 19 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam managing stakeholder relationships is a fundamental aspect of effectiveorganizational governance and decision-making and there are several different typescritical internal stakeholders. Their engagement, satisfaction, and productivity impactthe overall performance. 18 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam Recognizing these distinctions empowers organizations to tailor their procurementstrategies to the specific challenges and dynamics associated with goods, services,construction projects tend to be huge sums of money-Where the budget comes from: goods and services may be operational expenditure8. Provide a definition of a stakeholder (5 points) and describe 3 categories ofstakeholders (20 points). 17 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam Goods are generally homogeneous, meaning they are always the same. For example,steel purchased for manufacturing purposes will always be the same. In contrast,property of the buyer upon delivery and payment. In contrast, services do not involvea transfer of ownership as there is no physical entity to transfer. In construction the 16 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam packaging and salaries. Some say they’re direct costs and some say they’re indirectcosts. Honestly, it’s a hotly debated subject and I don’t think there is a right or7. Describe the main characteristics of, and differences between, procuring goods,services and construction works (25 points)isn’t 100% clear on how many characteristics and differences you need to name, sotry and keep an equal split between the two areas. You would probably need 15 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam -Indirect C these are items that the company needs, but don’t go into the endproduct. For example, cleaning products and MRO supplies for the machinescupboard, using these as and when they are required-Non- stock items - items that are not stored and used right away. An example would 14 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam Essay Plan :Remember to include examples for each of the six categories of spend. This is 13 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam -A good rule of thumb for case study questions is make sure you reference the casestudy once per paragraph.money (taxes), so they must demonstrate that the organisation is using this moneywisely. This might be an interesting fact to put into an essay on VFM.6. Explain, with examples, the three different ways one can categorise procurementspend: direct vs indirect, capital expenditure vs operational expenditure and stock vs 12 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam Value EngineeringThis is looking at the components of a product and evaluating the value of eachnext year. His findings may discover a way to provide a higher quality camera at noadditional cost or that some components don’t add value and can be eliminated. 11 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam materials and the benefits that these will bring to the organisation.-Added value is part of the syllabus for Learning Outcome 1.2 starting from p.19 but‘other sources of added value’ on p.35 rather than talking about the 5 rights ofprocurement. My list at the top is more exhaustive than the one in the study guide.5.Bob is a procurement manager at ABC Ltd. He has been asked to ensure all futurepurchases achieve ‘value for money’ for the organisation. What is meant by ‘value 10 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam lightbulbs). If procurement don’t update specifications, then there is a risk that itemsare bought that don’t meet the correct standards. Added value in this regard couldcould be made once there are only 50 face masks left.Managing Supplier Relationships 9 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam o quality C conformance and performance specso quantity C fulfilling retail orders, large order quantities leading to discount4. Explain what is meant by added value (5 points). Describe 4 ways the ProcurementDepartment can add value for their organisation (20 points)additional features at no additional cost to the customer or the provision of anextended warrantee. 8 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam determining the right quantity. For example a confectionary manufacturer will need toorder the right number of eggs to make cakes- they will need to consider how manydemand. The use of forecasting is therefore extremely useful; particularly if there arepeaks in demand for a product, such as toys at Christmas. Moreover, organizations 7 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam therefore aim to have 4-5 sentences per Right.-I would recommend using headings for this type of essay- clearly putting your essaycompromise on quality. Let's say a company is buying office furniture. They might gofor a supplier that offers a good balance between cost and quality, ensuring they get 6 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam proactive ordering, anticipating future needs and trends. For instance, a companyemploying SCM might engage in demand forecasting, allowing for better plan- ningmore integrated approach. For example, an SCM team might work closely withproduction to ensure materials are aligned with manufacturing schedules, fostering3. Describe what is meant by the 5 Rights of Procurement (25 points)Answer: How to approach the question 5 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam -Sustainable Sourcing - Definition, Examples, Benefits & Best Practices (brightest.io)-https://youtu.be/fs1rDgBQy1M2.Describe the main differences between a traditional procurement approach andsupply chain management approach to buying (25 points)working (silo working vs cross-functional working) Paragraph 4 C the relationshipswith suppliers (transactional vs collaborative) 4 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam advantages, and disadvantages associated with implementing a complex supplychain, such as the Tiered Supply Chain model.a manageable and responsive supply network.-One of the advantages of a Tiered Supply Chain is the streamlined management of 3 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam 1.What is ‘supply chain management’? Outline the drivers, advantages anddisadvantages of using this approach within the Procurement Department of anof detail C one paragraph per section will be enough.Proposed Essay Structure 2 / 27 Boost Your Abilities with L4M1 Materials - Confidently Approach the L4M1 Exam