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CIPS L3M6 Exam Actual Questions
Socially Responsible Warehousing and Distribution (Page 7 )

Updated On: 7-Jul-2026
Page 7 of 43
PDF with 210 Questions

When monitoring CSR in the supply chain, procurement teams should focus on investigating low-risk suppliers first, not ones from industries that are known to face particular challenges, for example, fuels, energy and power, chemicals, plastics, and food.

  1. TRUE
  2. FALSE

Answer(s): B

Explanation:

Effective CSR monitoring prioritizes high-risk suppliers, particularly those in industries like fuels, energy, chemicals, plastics, and food, which are prone to environmental, labour, or ethical challenges. Focusing on low-risk suppliers first would be inefficient and fail to address critical vulnerabilities. The CIPS L3M6 module advocates a risk-based approach to supply chain monitoring, targeting areas with the greatest potential for CSR issues.


Reference:

CIPS L3M6 Study Guide, Section on Risk-Based CSR Monitoring.



When monitoring CSR in the supply chain, the risks are higher in countries where legislation is lacking or poorly implemented.

  1. TRUE
  2. FALSE

Answer(s): A

Explanation:

Countries with weak or poorly enforced legislation (e.g., on labour, environmental protection, or anti-corruption) present higher CSR risks in the supply chain. This increases the likelihood of human rights abuses, environmental damage, or unethical practices going unchecked. The CIPS L3M6 module stresses the importance of due diligence in such regions to mitigate these elevated risks.


Reference:

CIPS L3M6 Study Guide, Section on CSR Risks in Global Supply Chains.



Applying CSR principles in the supply chain can attract and retain employees.

  1. TRUE
  2. FALSE

Answer(s): A

Explanation:

Implementing CSR principles, such as fair labour practices and environmental responsibility, enhances an organization's appeal as an employer. Employees are increasingly drawn to companies with strong ethical values, improving attraction and retention rates. The CIPS L3M6 module notes this as a key benefit of CSR, contributing to a motivated and loyal workforce.


Reference:

CIPS L3M6 Study Guide, Section on Benefits of CSR in Supply Chains.



Major areas of focus are gender, race and ethnicity, culture, ability, sexual orientation, age, and socio-economic status.

  1. TRUE
  2. FALSE

Answer(s): A

Explanation:

These areas--gender, race and ethnicity, culture, ability, sexual orientation, age, and socio-economic status--are critical aspects of diversity and inclusion, which are integral to CSR and social sustainability. The CIPS L3M6 module highlights these as focal points for organizations to ensure equitable practices and address social responsibilities effectively.


Reference:

CIPS L3M6 Study Guide, Section on Diversity and Social Sustainability.



The globally conscious consumer tends to be the younger generation.
What percentage are under the age of 40?

  1. 53%
  2. 58%
  3. 63%
  4. 68%

Answer(s): D

Explanation:

Research cited in the CIPS L3M6 module indicates that globally conscious consumers--those prioritizing sustainability and ethics--are predominantly younger, with approximately 68% being under 40. This reflects a generational shift toward valuing CSR, influencing purchasing decisions and pressuring organizations to adopt sustainable practices.


Reference:

CIPS L3M6 Study Guide, Section on Consumer Trends and CSR.



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