CIPS L4M6 Practice Exams
Last updated on Oct 22,2026- Exam Code: L4M6
- Exam Name: Supplier Relationships
- Certification Provider: CIPS
- Latest update: Oct 22,2026
Which of the following are the stages of team development?
- A . Starting, forming, benchmarking, performing
- B . Forming, storming, norming, performing
- C . Beginning, working, reviewing, performing
- D . Introducing, forming, managing, performing
B
Explanation:
The stages of team development as defined by Tuckman include forming, storming, norming, and performing. These stages reflect how teams evolve and mature through collaboration and problem-solving.
Mendelow’s Stakeholder Matrix categorises stakeholders into four groups and provides insight into how these stakeholders should be managed.
What is a limitation to using this Matrix to categorise stakeholders?
- A . Nowadays, Stakeholders fall into more than four categories
- B . The Matrix doesn’t consider the power these stakeholders have
- C . The Matrix doesn’t consider whether the stakeholder is for or against the activity
- D . The categories are hard to remember
C
Explanation:
The correct answer is ‘The Matrix doesn’t consider whether the stakeholder is for or against the activity’. For a list of other limitations of using Mendelow’s Stakeholder Matrix see p.82
Which of the following are advantages for the buyer of early supplier involvement with the buyer’s product development team?
- A . 1 and 2 only
- B . 1 and 3 only
- C . 2 and 3 only
- D . 2 and 4 only
D
Explanation:
Early supplier involvement ensures the supplier understands process timelines and allows the buyer to leverage supplier capabilities. This improves product development efficiency and enhances outcomes.
Tim manages the procurement department at a large retailer. He wants to ensure that his team are achieving value for money in their procurement activities.
Which of the following should Tim set up?
- A . ITT
- B . Audit
- C . Framework
- D . Contract
B
Explanation:
Tim should do an audit. P.71 of the textbook says “to ensure that a procurement department is achieving value for money, an audit should be undertaken”
In a partnership who is responsible for decision making?
- A . The project steering committee
- B . Both the supplier and the buyer
- C . The buyer
- D . The supplier
B
Explanation:
The correct answer is both the supplier and the buyer- joint decision making is a key aspect of partnership relationships. A project steering committee decides on priorities, suggests improvements, conducts audits etc. See p.152
The Pareto Principle is sometimes also known as what?
- A . Five Forces
- B . JIT
- C . ABC Analysis
- D . Cost Engineering
C
Explanation:
Pareto is the 80:20 rule- this can be adapted to talk about supplier relationships, where instead of having 2 categories there are now 3 (A B and C). CIPS use the terms Pareto and ABC interchangeably. See p.16 for further information
Which of the following macro-environmental factors can affect supply chains?
- A . social, economic and cost
- B . environmental, ethical and cost
- C . political, economic and social
- D . environmental, ergonomic and social
C
Explanation:
STEEPLE is what is used to analyse the macro-environment; the factors are; social, technological, economic, environmental, political, legislative and ethical. Details of this can be found on p.43-44. Note in the exam they won’t necessarily be given in this order.
Kinky Boots Ltd provides high heeled shoes in large sizes. Their target market are Drag Queens. There are a couple of rival shoe manufacturers in this market and Kinky Boots Ltd offer the cheapest high heels.
What strategy is Kinky Boots Ltd employing in terms of competitive advantage?
- A . cost leadership
- B . differentiation
- C . cost focus
- D . differentiation focus
C
Explanation:
This is ‘cost focus’ – Kinky Boots is both focusing on being a cost leaser (by providing the cheapest products) and focusing on a niche market (drag queens). When these two strategies are combined it is called ‘cost focus’. There’s a couple of questions on Porter’s Generic Strategies in the exam- there’s a useful diagram of this on P.13
Which of the following are typical drivers for a partnership between the buyer and the supplier? Select the THREE that apply.
- A . The buyer has a high spend with the supplier
- B . There are many suppliers in the market
- C . The product is critical for the buyer
- D . The product is a commodity
- E . The product is technically complex
- F . The supplier provides the product to a buyer’s competitor
A, C, E
Explanation:
Drivers for partnership include a high spend with the supplier, criticality of the product, and technical complexity. These factors encourage collaboration for cost efficiency, quality improvement, and risk management. Partnerships are less likely when there are many suppliers or the product is a commodity, as competition and standardization reduce the need for close collaboration.
What is collaborative inertia?
- A . the concept that the value and performance of two companies combined will be greater than the sum of the separate individual parts
- B . A situation when the apparent output from collaboration is considerably less than expected
- C . When a partnership is unable to create new ideas
- D . Where a third party is invited to join a partnership.
B
Explanation:
The correct answer is ‘A situation when the apparent output from collaboration is considerably less than expected’. This is verbatim the definition given in the study guide on p.166 A synergy is the concept that the value and performance of two companies combined will be greater than the sum of the separate individual parts.