2025 EXCELLENT LATEST REAL L5M5 EXAM HELP YOU PASS L5M5 EASILY

2025 Excellent Latest Real L5M5 Exam Help You Pass L5M5 Easily

2025 Excellent Latest Real L5M5 Exam Help You Pass L5M5 Easily

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Tags: Latest Real L5M5 Exam, New L5M5 Exam Review, Passing L5M5 Score, Latest L5M5 Braindumps Free, L5M5 Pass4sure Exam Prep

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CIPS Managing Ethical Procurement and Supply (L5M5) Sample Questions (Q116-Q121):

NEW QUESTION # 116
Progoti Motors, a Bangladeshi company, has purchased a new fleet of vehicles from Japan. Which TWO of the following would be included in the 'Total Landed Costs' of this purchase?

  • A. Transportation costs
  • B. Research and development costs
  • C. Import duties
  • D. Disposal costs
  • E. Recycling costs

Answer: A,C

Explanation:
According to the study guide, total landed cost includes the original product price, transportation costs, fees, customs and duty charges, currency exchange rates, and handling costs. Therefore, Choices B and C are correct. Landed costs typically do not include expenses unrelated to the production and sale of a single item or costs that are difficult to determine precisely. Choices A, D, and E fall into this category.
Reference:
LO-1.4; Page 107; Demand Management and the need for urgent orders


NEW QUESTION # 117
Social security is recognized internationally as a fundamental human right. When sourcing from developing countries, procurement professionals must be mindful of the limited social support available to low-income workers, as neglecting this issue could harm their organization's reputation. Which of the following is NOT a step toward expanding social security coverage for more people in developing countries?

  • A. Increase costs of formal sector benefits
  • B. Improve tax collection to finance the extension
  • C. Separate social security benefits from a person's employment status
  • D. Increase costs of informal economy benefits

Answer: A

Explanation:

Therefore Choice D is a not a way in which social security can be extended as we need to reduce costs of formal sector benefits. Reference: LO-1.3; Page 94; Wages and social security arrangements


NEW QUESTION # 118
Despite Mr. Benjamin being galling, he is the boss, and employees recognize that he has worked hard to earn his management position. When he gives orders, you comply because you acknowledge his authority. What type of power does Mr. Benjamin hold?

  • A. Referent Power
  • B. Legitimate Power
  • C. Expert Power
  • D. Network Power

Answer: B

Explanation:
Choice B- The correct answer is legitimate power, as it stems from a person's position within the organization. Mr. Benjamin's authority as a manager grants him the power to give orders, and employees are expected to comply due to his status and role.
Incorrect answer:
Choice A- Expert power is possessed by someone who has skills, knowledge or expertise in a certain area. In this situation Mr Benjamin does not have any expertise of any area.
Choice C-Nothing about strong interpersonal relationship skills is mentioned here which people with referent power have.
Choice D-Network power stakeholders usually have access to valuable connections or are central to a powerful group. So again nothing about these qualities are mentioned about Mr Benjamin.
Reference:
LO-1.4; Page 124; Responsible use of power relationships


NEW QUESTION # 119
A large electronics company uses third-party audits to ensure supplier compliance with labor standards. However, one supplier has raised concerns about undergoing multiple audits from different buyers, each with varying requirements. The supplier argues that this is diverting resources from making meaningful labor condition improvements.
Which issue is most relevant to the electronics company?

  • A. Risk of audit fraud
  • B. Box ticking
  • C. Audit fatigue
  • D. Hidden issues

Answer: C

Explanation:
Option A- The supplier's complaint about being overwhelmed by repeated audits from multiple buyers aligns with the concept of audit fatigue. This issue arises when frequent and overlapping audits burden suppliers, making it harder for them to implement sustainable improvements.
Incorrect answer:
Option B- This refers to a superficial approach to compliance, where suppliers focus on meeting the minimum requirements on paper rather than making meaningful, lasting improvements in working conditions. The scenario focuses on the supplier being overwhelmed by frequent audits, not on them meeting requirements superficially.
Option C- Risk of Audit Fraud arises when suppliers deliberately falsify records, misrepresent practices, or hide non-compliance to pass audits. There's no indication in the scenario that the supplier is misrepresenting their compliance or engaging in fraudulent activities.
Option D- This refers to problems that remain undetected during audits due to ineffective audit processes or deliberate concealment by suppliers. The scenario does not mention undetected issues or gaps in identifying non-compliance; the focus is on the supplier's challenges with repeated audits.
Reference:
LO-3.1; Page 273; Labor codes of conduct: Ethical Trading Initiative (ETI) and Social Accountability International's standard SA8000


NEW QUESTION # 120
Which ONE of the following best exemplifies a competitive advantage?

  • A. Delivering products faster and with more accessibility than competitors
  • B. Temporarily undercutting a competitor's already low prices
  • C. A business with a good reputation
  • D. Employee uniforms

Answer: A

Explanation:
Choice C- This option represents a competitive advantage. Faster delivery and better accessibility can enhance customer satisfaction and loyalty, leading to increased sales. Therefore C is the correct answer.
Incorrect answer:
Choice A- Reputation is not a competitive advantage. However, if a business does something very well then it may gain a strong reputation giving it a competitive advantage.
Choice B- This strategy is not a sustainable competitive advantage. While it may attract customers in the short term, it can lead to price wars and does not provide a long-term benefit. Eventually, competitors may match or undercut those prices, resulting in no lasting advantage.
Choice D- Employee Uniforms do not contribute to competitive advantage. They may enhance brand image or create a professional appearance but do not offer a distinct advantage that impacts costs or product attractiveness directly. Employee Uniforms mainly serve a functional role without directly impacting competitive strategies.
Reference:
LO-1.2; Page 62-63; Competitive advantage through global sourcing


NEW QUESTION # 121
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