CIPS L5M7 Dumps

Centralised procurementenables bettercost coordination, standardisation, and leverage through bulk purchasing, ensuring consistency across sites.

Short cited extract: “Centralised structures coordinate savings and achieve economies of scale.” (L5M7 Study Guide, p. 69)

The guide distinguishes a simple chain from a“supply network,”emphasisingmulti-tier interdependencies. Short extract: “supply networks reflect multiple interdependent tiers.” (L5M7 Study Guide, p.4)

Therelationship spectrumshows thattransactional relationshipsare theleast trust-based, focusing on short-term exchanges with minimal collaboration.

Short cited extract: “Transactional – low trust, short-term, low collaboration.” (L5M7 Study Guide, p.80)

JIT is aLeantechnique to minimise inventory and produce “only what is needed, when needed,” thereby removing waste from processes. Short cited phrase: “only when needed” (L5M7 Study Guide, p.111).

Primary datais information collectedfirst-hand, includingsurveys, interviews, and questionnaires. Sandy’s approach aligns with primary data collection methods.

Short cited extract: “Primary data: original research such as questionnaires and interviews.” (L5M7 Study Guide, p.141)

Meeting expectations (B) is not exceeding them. Exceeding is demonstrated byunexpected extra valuesuch aslower-than-expected priceora free add-on. Short extract: “exceeding expectations—delighting customers with additional/unexpected value.” (L5M7 Study Guide, p.121)

Porter’sFocus Strategyinvolvestargeting a niche marketto meet unique needs better than competitors.

Short cited term: “focus – targeting a narrow market segment” (L5M7 Study Guide, p. 52).

According toMichael Porter’s Value Chain,primary activitiesincludeinbound logistics, operations, outbound logistics, marketing and sales, and service.Procurement and HRaresupport activities.

Short cited term: “primary activities – logistics, operations, marketing and sales” (L5M7 Study Guide, p. 76).

ARed Oceanmarket ishighly competitivewith many firms fighting for market share, leading to price wars and reduced margins.

Short cited term: “red ocean = intense competition and saturated market.” (L5M7 Study Guide, p. 179)

The study guide describes how demand variabilityamplifies upstreamin the chain—commonly termed the“bullwhip effect.”This is introduced when explaining basic supply-chain dynamics and flows. Short extract: “demand changes become amplified upstream (bullwhip effect).” (L5M7 Study Guide, p.4)

Quality assurance (QA)isproactive, including activities such assupplier approval/vetting;inspectionis reactive sampling of outputs. Short extract: “QA—proactive systems e.g., supplier approval; inspection—sampling outputs.” (L5M7 Study Guide, p.123)

TheResource-Based View(RBV) argues thatunique internal resources and capabilitiesare the key to sustainable competitive advantage.

Short cited extract: “Competitive advantage stems from internal resources and capabilities.” (L5M7 Study Guide, p.52)

Ahierarchical culturevaluesstability, control, and formal structure, with defined authority levels.

Short cited extract: “Hierarchy culture – stability, rules, and control mechanisms.” (L5M7 Study Guide, p. 60)

Offshoring typically seekscost reduction(e.g., labour arbitrage) while maintaining service/output levels; other motives are secondary. Short cited term: “cost reduction/advantages” (L5M7 Study Guide, domain 1.4 discussion).

ThePDCA Cycle—Plan, Do, Check, Act—provides a structured approach tocontinuous quality improvement. It begins with planning, implementing, monitoring, and then acting to refine the process.

Short cited extract: “The PDCA cycle – Plan, Do, Check, Act – underpins continuous improvement.” (L5M7 Study Guide, p.129)

AClient Experience Strategyfocuses on enhancing theend-to-end customer journeyby understanding customer needs, personalising interactions, and incorporating feedback.

Short cited extract: “Customer experience strategy includes listening to feedback and personalising interactions.” (L5M7 Study Guide, p.183)

On the relationship spectrum,arm’s-lengthis alow-collaborationstyle (onlyadversarialis lower), characterised by limited information sharing and short-term focus. Short cited term: “relationship spectrum … arm’s-length (low collaboration)” (L5M7 Study Guide, p.80).

Risk management seeks toprevent and mitigate major risks, whiletolerating low-impact riskswhen elimination isn’t feasible.

Short cited extract: “Low-level risks can be tolerated if likelihood and impact are minimal.” (L5M7 Study Guide, p.49)

ISO 9001sets the framework forquality management systems(QMS), based on principles such as customer focus, leadership, and improvement. Short extract: “ISO 9001—quality management.” (L5M7 Study Guide, p.122)

ASpend Analysisidentifies where money is spent and with which suppliers—vital to determine consolidation opportunities before rationalising the base.

Short cited term: “spend analysis precedes supplier rationalisation.” (L5M7 Study Guide, p. 203)

BPRexamines and redesignsworkflows and processesto remove waste and maximise efficiency and customer value.

Short cited extract: “BPR – radical review of workflows to achieve major efficiency improvements.” (L5M7 Study Guide, p. 111)

TQM is aholisticphilosophy requiringorganisation-wideadoption and leadership commitment; partial/isolated adoption undermines results. Short cited terms: “holistic,” “organisation-wide commitment” (L5M7 Study Guide, p.118).

Local sourcingoffersenvironmental benefits(lower transport footprint) andeasier access for service or maintenance, enhancing responsiveness.

Short cited extract: “Local sourcing provides reduced environmental impact and proximity for support.” (L5M7 Study Guide, p. 70)

TheTheory of Swift Even Flowstates that organisational efficiency improves as the flow of materials, information, and cash becomessmooth and consistentthrough the chain.

Short cited term: “balancing demand and inventory to achieve swift, even flow.” (L5M7 Study Guide, p. 37)

AFishbone Diagramidentifiesroot causesof problems by categorising factors (e.g., people, process, materials, environment).

Short cited term: “used to identify root causes of problems.” (L5M7 Study Guide, p. 126)

Whenknowledge is low, members workindependently; highertechnological readinesscreates deliberate and structured IT use.

Short cited term: “low knowledge → independent working; high tech readiness → structured IT use.” (L5M7 Study Guide, p. 51)