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An organisation is keep to include Social Outcomes in it's assessment for Value for Money for a new tender.
Which of the following should be considered?

  1. use of local labour to deliver the contract
  2. CO2 emissions of the supplier's delivery vehicles
  3. supplier's ESG policy
  4. accreditations such as Fair Trade

Answer(s): A

Explanation:

Social value is about benefitting the local community / society. Therefore of those options listed, use of local labour is the most appropriate to consider.



Phishing is a type of fraud that is commonly associated with which industry?

  1. Agriculture
  2. Mining
  3. IT
  4. Construction

Answer(s): C

Explanation:

Phishing is a type of fraud where IT users are sent a link (usually by email) which exposes them to activities of expert cybercriminals.



If a company is concerned with ethical sourcing and has concerns about issues such as corruption and modern day slavery within the supply chain, what course of action should they take?

  1. Only work with known suppliers
  2. Complete Due-Diligence on all new suppliers
  3. Only work with suppliers who have a published Anti-Slavery policy
  4. Complete formal tenders to find the best suppliers

Answer(s): B

Explanation:

Completing Due Diligence checks will help guard against concerns about unethical business practices.
Not all companies will have a published Anti-Slavery policy- this is only required for large companies. Known suppliers might have issues that you don't know about so you should always do due-diligence checks on everyone you work with
Formal tenders won't sort out ethical issues unless specifically addressed within the tender and strong contract management is put in place afterwards.



ABC Ltd works with supplier XYZ Ltd who uses a variety of subcontractors. ABC has recently learned of an ethical breach being committed by one of XYZ's subcontractors.
What should ABC do?

  1. Recommend remedial action
  2. Seek compensation
  3. Terminate the contract
  4. Research alternative suppliers

Answer(s): A

Explanation:

ABC should do a 'root cause analysis' to find out where the issue has come about, and why. From there, once they know what the breach is and how serious it is, they can suggest corrective action. They can't jump straight to terminating the contract or seeking damages as it's not the supplier itself but rather the subcontractor. Also that would be really hasty considering we don't know what the issue is and what the market conditions are like. That supplier may be the only one who can provide the product. We also don't know if the supplier knows about the issue themselves.






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