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
When developing a supplier partnership, a buyer can take either a strategic or reactive approach.
What would be a reason for a reactive approach?
- A . You discover that the supplier has a high profit margin
- B . The buyer wishes to create a new product and requires input from a supplier
- C . Sudden changes in the marketplace
- D . It will allow for consolidation in the supply chain
C
Explanation:
The correct answer is ‘Sudden changes in the marketplace’ C this is a reason a buyer would be reactive. Reactive is when something happens to you and it forces you to act in a certain way. The other options would be strategic rather than reactive. P. 163
Which of the following are features of a partnership sourcing relationship compared with a traditional adversarial relationship? Select TWO that apply.
- A . Emphasis on quality with zero defects
- B . Emphasis on the lowest price
- C . Emphasis on inspection of incoming supplies
- D . Emphasis on short-term relationship
- E . Emphasis on long-term relationship
A, E
Explanation:
Partnerships emphasize mutual goals such as quality improvement and long-term collaboration, contrasting with adversarial relationships that focus on cost and short-term gains.
Which of the following would you use to qualify new suppliers? Select THREE.
- A . commitment
- B . clean
- C . collection
- D . cost
- E . call
A, B, D
Explanation:
This is based on a real exam question- it’s looking to see if you can remember Carter’s 10 Cs. These are; cash, cost, consistency, culture, clean, communication, competency, capacity, commitment and control. (p.12 in the text book)
Varying levels of commitment is one reason why many partnerships fail.
Why is this?
- A . It can lead to a lack of trust
- B . One party doesn’t fulfil their KPIs
- C . Sufficient time and resources are put in
- D . Less profit is made.
A
Explanation:
The correct answer is ‘It can lead to a lack of trust’ C this is a quote from p.162. The other answers are all incorrect; in a partnership KPIs are joint between the partiesC so there wouldn’t be a situation where one party doesn’t fulfil their KPIs. Commitment doesn’t necessarily have a direct correlation with profit so that answer is incorrect. ‘Sufficient time and resources are put in’ is a positive thing, so can’t be a reason who a partnership fails.
Which of the following are characteristics that differentiate between a partnership relationship and traditional contracting relationships? Select THREE.
- A . Lower costs
- B . No tender process
- C . Early supplier involvement
- D . Supplier KPIs
- E . No defined end period
B, C, E
Explanation:
The correct answers are; no tender process, early supplier involvement and no defined end-period. A partnership wouldn’t automatically mean lower costs, and in a partnership the KPIs are usually a joint performance measurement rather than set to the supplier. For more information on the difference between partnerships and contractual relationships see p.124-5
A garden centre has recently purchased some lollypop sticks to use as plant labels. The staff have written the name of the plant on the lollypop stick and put it next to the plant. This helps them identify which plant is which. However, after a couple of weeks, the lollypop sticks have become mouldy and the writing has faded. Staff are now struggling to identity their plants. The Manager of the garden centre is considering returning the lollypop sticks and asking for a full refund as they were not fit for purpose.
Can the Manager do this?
- A . Yes- the lollypop sticks have gone mouldy- this is unacceptable
- B . Yes- so long as the manager kept the receipt
- C . No- as this was not the lollypop sticks intended purpose
- D . No- the manager cannot prove that the product is faulty
C
Explanation:
The correct answer is ‘no- as this was not the lollypop sticks intended purpose’. When deciding if something is fit for purpose, you must consider its intended and common purpose. In this case it would be for making lollypops. As the garden centre is using them for something other than their intended purpose, they can’t complain if it doesn’t work. Fit for purpose is discussed on p.65 p.s. there’s a QUESTIO N N O : like this in the real exam C it’s just not lollypop sticks ; )
Which of the following are advantages of partnering?
- A . Supply chain consolidation
- B . Continual improvement
- C . Hard to displace
- D . Prioritization of transactions
A, B
Explanation:
Partnering supports supply chain consolidation and continual improvement by fostering collaboration and shared objectives. These benefits align with the strategic goals of building resilient and efficient supply chains.
A local government procurement team is undertaking a full review of their current internal working processes. The team of buyers currently have a partnership-style relationship with their routine suppliers.
Is this the best relationship style to use?
- A . No, as there are many suppliers available
- B . No, as these are critical items to the buying organization
- C . Yes, as they present a great deal of risk to the organization
- D . Yes, as these are low-value items
A
Explanation:
Routine suppliers typically supply low-value, low-risk items. Maintaining partnerships in such cases is inefficient since alternative suppliers are readily available. Adopting a transactional or adversarial relationship would be more appropriate.
A competitive advantage can be gained by doing what?
- A . Increasing your prices
- B . Engaging in market research
- C . Building better relationships with primary stakeholders
- D . Completing formal tenders for all buying requirements
C
Explanation:
The correct answer is ‘Building better relationships with primary stakeholders’. This is a direct quote from the start of chapter 2.2: ‘building better relationships with primary stakeholders such as employees, customers, suppliers and communities could lead to increased shareholder wealth by developing a competitive advantage’. The other three options wouldn’t give you a competitive advantage; increasing prices would do the opposite, engaging in market research won’t give you a competitive advantage unless you do something with that research such as implement a change to your business, and completing formal tenders for everything would be a waste of time and resources- there’s no need to tender for low value, low risk items. See p.80
National Hospital Trust (NHT) has entered into a partnership relationship with a major facilities management provider. The two organizations have agreed on the approach to undertake regular reviews and audits. The audit approach will include which of the following?
- A . Category management and supplier rationalization
- B . Specification development and management
- C . Lessons learned and continuous improvement
- D . Macro and micro environmental analysis
C
Explanation:
Regular reviews focusing on lessons learned and continuous improvement ensure the partnership remains effective and aligned with objectives. This supports ongoing collaboration and operational excellence.