QUESTION: 45

Lina Rawlins is a senior buyer working for a medical equipment company. Lina is in charge of the company's largest supplier account, Great Barrington Gas (GBG), a medical equipment supplier. Recently, GBG's performance has declined, leading to an increasing number of rejected items. Lina is aware of the seriousness of this and has asked GBG to attend an urgent meeting. In the meeting, Lina asked the GBG representative, "Can you tell me exactly what you are doing to ensure quality?" What type of question is Lina asking?

Probing
Leading
Reflective
Hypothetical

Answer(s): A

Explanation:

Lina is asking a probing question to gather more detailed information on the actions GBG is taking to address quality issues. Probing questions are intended to delve deeper into a topic and elicit specific details, making them suitable for understanding underlying issues, as per CIPS's negotiation question types.

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QUESTION: 46

Langham Industries is seeking to expand its operations globally. The CEO has asked the procurement department to engage in a macroeconomic analysis for its potential new supply chain to meet organisational objectives and outcomes.
Which of the following would be a source of macroeconomic data?

Competitor analysis
Attending trade conferences
Published market indices
Online supplier forums

Answer(s): C

Explanation:

Published market indices are a source of macroeconomic data, as they reflect broader economic trends and provide insights into the overall market environment, which is essential for global expansion planning. Macroeconomic analysis focuses on high-level economic indicators, as recommended in CIPS's guidelines on sourcing macroeconomic data.

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QUESTION: 47

Tony is undertaking a negotiation with a strategic supplier and is frustrated by the lack of progress. He proposes using threats to get what he wants from the negotiations. Is this the correct course of action?

Yes, Tony will get what he requires from the negotiations
Yes, a long-term relationship is not required with the supplier
No, a long-term relationship built on trust is required with the supplier
No, it does not guarantee Tony will get what he requires from the negotiations

Answer(s): C

Explanation:

Using threats is generally inappropriate in strategic supplier negotiations where a long-term, trust- based relationship is required (C). Threatening tactics can damage the relationship and may result in resistance from the supplier. CIPS advocates for collaborative approaches in strategic relationships to foster mutual trust and achieve sustainable agreements.

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QUESTION: 48

During a negotiation, Jose Gomez, the salesperson for a strategic supplier, states that his sales director will not approve discounts against initial purchases. However, Jose offers a 5% discount on the aftercare package, which will provide the same monetary saving. Sally Pampas requires both the product and the aftercare package and has an objective to achieve a 5% discount off the purchase price. To achieve a win-win (integrative) negotiation, Sally should...

Ask Jose to apply a 15% discount against the purchase price
Accept the offer of a 5% discount against the aftercare package
Decline the offer and walk away from the negotiation
Ask Jose to apply the 5% discount against the purchase price

Answer(s): B

Explanation:

To achieve a win-win (integrative) negotiation, Sally should accept the 5% discount on the aftercare package (B), as it meets her objective for a total discount while respecting the supplier's limitations. This approach demonstrates flexibility and is in line with CIPS principles on integrative negotiations,

where both parties achieve value in different forms.

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Free CIPS L4M5 Exam Questions (page: 13)

QUESTION: 45

Explanation:

QUESTION: 46

Explanation:

QUESTION: 47

Explanation:

QUESTION: 48

Explanation:

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