[UPDATED 2026] CIPS L4M6 Questions Prepare with Free Demo of PDF
NEW 2026 Certification Sample Questions L4M6 Dumps & Practice Exam
CIPS L4M6 certification exam covers a broad range of topics related to supplier relationships, including supplier evaluation and selection, supplier performance management, contract management, and supplier development. L4M6 exam is designed to assess the candidate's ability to manage supplier relationships in a way that maximizes value for the organization. It is a comprehensive certification that equips professionals with the skills and knowledge they need to manage supplier relationships effectively.
CIPS L4M6 certification exam is ideal for procurement professionals at all levels of experience, from entry-level to senior management. It is also suitable for individuals who are looking to transition into procurement and supply chain management roles. CIPS Supplier Relationships certification provides a solid foundation for professionals who want to pursue further education and career advancement in the field. Overall, the CIPS L4M6 certification exam is a valuable credential that demonstrates a commitment to excellence in supplier relationship management.
NEW QUESTION # 145
Which of the following documents would you expect a supplier to submit as part of a Request for Proposal? Select THREE
- A. Full pricing information
- B. Liquidity Ratio
- C. Gearing Ratio
- D. Method Statements
- E. Risk Assessments
Answer: A,D,E
Explanation:
You would expect a supplier to submit full pricing information, risk assessments and method statements. However, depending on what you're procuring, you might not need to see risk assessments or method statements. Liquidity and Gearing may be looked at during the Pre-Qualification stage, but wouldn't form part of a RFP. See p.76
NEW QUESTION # 146
When overcoming stakeholder resistance in a procurement-led project, which of the following groups would have the highest level of influence on other stakeholders?
* Negative leaders
* Silent opponents
* Supporters
* Promoters
- A. 1 and 2 only
- B. 3 and 4 only
- C. 1 and 4 only
- D. 2 and 3 only
Answer: C
Explanation:
In stakeholder management,Negative leadersandPromoterspossess high influence over others:
* Negative leaders: Individuals who oppose the project and can sway others against it due to their influence.
* Promoters: Advocates who support the project and can positively influence others.
Understanding these dynamics is crucial for effectively managing stakeholder resistance.
As highlighted in the CIPS study materials:
"Overcoming resistance- Promoters - They have a high influence on other stakeholders and support the project. They support and empower."
NEW QUESTION # 147
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. Sudden changes in the marketplace
- B. The buyer wishes to create a new product and requires input from a supplier
- C. It will allow for consolidation in the supply chain
- D. You discover that the supplier has a high profit margin
Answer: A
Explanation:
The correct answer is 'Sudden changes in the marketplace' - 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
NEW QUESTION # 148
Gabriel is a procurement manager who wishes to explore a new avenue to procure products for his company. His manager has told him that he should invite internal stakeholders to a meeting to get their feedback. Who should Gabriel invite? Select THREE.
- A. customers
- B. legal department
- C. suppliers
- D. employees
- E. end-users
Answer: B,D,E
Explanation:
Internal stakeholders are those who work within the business so include the legal department, employees and end-users. End-users mean those people and departments who will be using the product or service. For example if Gabriel is procuring new software- an end-user would be anyone who would be using that software (whether they're employees, volunteers or agencies). CIPS outlines types of stakeholders on p.64
NEW QUESTION # 149
Gabriel is a procurement manager who wishes to explore a new avenue to procure products for his company.
His manager has told him that he should invite internal stakeholders to a meeting to get their feedback. Who should Gabriel invite? Select THREE.
- A. customers
- B. legal department
- C. suppliers
- D. employees
- E. end-users
Answer: B,D,E
Explanation:
Internal stakeholders are those who work within the business so include the legal department, employees and end-users. End-users mean those people and departments who will be using the product or service. For example if Gabriel is procuring new software- an end-user would be anyone who would be using that software (whether they're employees, volunteers or agencies). CIPS outlines types of stakeholders on p.64
NEW QUESTION # 150
Marcus is an account manager for a company that sells maintenance spares for air conditioning units. He has a customer who persistently pays late, is very demanding in terms of constant requests, and the profit margin on the account is minimal. If Marcus were to use a supplier preferencing model to map this customer, what category would he place them into?
- A. Development
- B. Exploitable
- C. Core
- D. Nuisance
Answer: D
Explanation:
Comprehensive and Detailed Explanation:
In the Supplier Preferencing Model, customers are categorized based on their attractiveness and value to the supplier. A "Nuisance" customer is characterized by low profitability and high maintenance, often requiring disproportionate resources relative to the benefits they provide. Such customers may be deprioritized or even considered for discontinuation by the supplier.
Reference:
CIPS L4M6 Study Guide
NEW QUESTION # 151
Which of the following would be the most likely driver for a manufacturing organisation to consider partnership sourcing?
- A. The marketplace is stable and costs are decreasing
- B. Raw material prices are reducing
- C. To increase the number of suppliers
- D. Product life cycles are shortening
Answer: D
Explanation:
Shortening product life cycles require close collaboration and innovation between buyer and supplier to stay competitive. Partnership sourcing provides shared development, reduced lead times, and improved responsiveness. Stable markets or falling costs do not justify partnerships; they are best suited for high-risk, fast-changing environments.
NEW QUESTION # 152
A textile company is purchasing a new item which is low value. This item is likely never to be required again by the company and is widely available from many different suppliers. Which commercial relationship type would be most effective for the buyer to choose?
- A. Closer tactical
- B. Adversarial
- C. Outsourcing
- D. Partnership
Answer: B
Explanation:
For low-value, non-recurring items with many suppliers, an adversarial relationship focusing on competitive pricing and minimal engagement is most appropriate. Partnerships are unnecessary for such transactions.
NEW QUESTION # 153
Which of the following relationship types require the most investment from the buyer?
- A. single source
- B. adversarial
- C. strategic alliance
- D. partnership
Answer: D
Explanation:
Partnerships require the most investment out of those listed. The only relationship type that requires more investment than Partnerships is Co-Destiny. See p.9 for more information on this
NEW QUESTION # 154
Robbie is a procurement manager at a public sector organisation. He is running a tender which is worth £2m and so will advertise this on OJEU. His manager has reminded Robbie to include CPV codes on the tender.
What purpose would this serve?
- A. To ensure more suppliers bid for the tender
- B. To ensure suppliers know the deadline for tender submission
- C. To ensure only qualified suppliers bid for the tender
- D. To ensure suppliers can find the opportunity
Answer: D
Explanation:
CPV codes help suppliers find opportunities they can bid for. CPV codes are a numerical classification for products e.g. Strawberry Jam is 15332296 and when they are included on a Tender, any supplier who is registered with that same CPV code will get a notification that the tender is live. CPV codes arediscussed on p.
72 but not in much detail- so don't worry if you don't know much about them. So long as you know the above, you'll be fine.
NEW QUESTION # 155
A low level of trust between parties can often lead to partnership relationships being unsuccessful and failing.
Which of the following supports the protection of commercially sensitive information between both parties and can help to retain trust?
- A. An authorised business case
- B. A business continuity plan
- C. A non-disclosure agreement
- D. Early supplier involvement
Answer: C
Explanation:
Comprehensive and Detailed Explanation:
A Non-Disclosure Agreement (NDA) is a legal contract that establishes a confidential relationship between parties. It ensures that any sensitive information shared during the course of a partnership is not disclosed to unauthorized parties. Implementing an NDA fosters trust by providing assurance that proprietary information, trade secrets, and other confidential data are protected. This is particularly crucial in partnerships where open communication and information sharing are essential for success.
Reference:
CIPS L4M6 Study Guide
NEW QUESTION # 156
Which of the following are examples of ways in which businesses can add value? Select THREE that apply.
- A. Investing in customers
- B. Creating a win-win price
- C. Product features and benefits
- D. Through delivering excellent service
- E. Offering convenience
- F. Reducing customer service levels
Answer: C,D,E
Explanation:
Adding value involves enhancing customer experience through excellent service, providing differentiated product features, and offering convenience. These align with procurement strategies aimed at driving customer satisfaction and loyalty.
NEW QUESTION # 157
In the public sector, there are many sources of information that a buyer can use to identify a suitable supplier.
Which of the following could be used? Select THREE
- A. Tradeshows
- B. OJEU
- C. Intranet
- D. Procurement Platforms
- E. Internal stakeholders' knowledge
Answer: A,D,E
Explanation:
The correct answers are; tradeshows, internal stakeholders' knowledge and e-procurement platforms. Intranet is incorrect as this is an internal system so you wouldn't find information on external suppliers on here the careful not to confuse intranet with internet). OJEU is also incorrect; this is the platform on which tender opportunities in the public sector are published- its not a list of suppliers.
NEW QUESTION # 158
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. Macro and micro environmental analysis
- C. Lessons learned and continuous improvement
- D. Specification development and management
Answer: 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.
NEW QUESTION # 159
Philip is working with a supplier where the annual spend is low but the market risk is high. What portfolio analysis category would be appropriate?
- A. Bottleneck
- B. Non-critical
- C. Strategic
- D. Leverage
Answer: A
Explanation:
Comprehensive and Detailed Explanation:
In the Kraljic Matrix, a 'Bottleneck' item is characterized by low financial impact but high supply risk. These items may be sourced from a limited number of suppliers or involve complex logistics, making them susceptible to supply disruptions. Managing bottleneck items requires strategies focused on risk mitigation, such as developing alternative suppliers or holding strategic stock reserves.
Reference:
CIPS L4M6 Study Guide
NEW QUESTION # 160
Stephen Jones is assessing the relationships he has with his supplier base. Which of the following would be drivers for Stephen to adopt a partnership relationship with a supplier?
- A. 1 and 2 only
- B. 2 and 4 only
- C. 1 and 4 only
- D. 2 and 3 only
Answer: B
Explanation:
High expenditure levels and the complexity of requirements justify partnership sourcing, as it allows for collaborative problem-solving, innovation, and cost-efficiency. CIPS emphasizes that partnerships are ideal when requirements are complex and require expertise from the supplier.
NEW QUESTION # 161
According to Michael Porter, what is procurement?
- A. a secondary activity which provides value for money
- B. a primary activity which provides value for money
- C. a support activity which provides a source of competitive advantage
- D. a primary activity which provides a source of competitive activity
Answer: C
Explanation:
This question refers to Porter's Value Chain (p.35). There's a couple of questions on this in the exam so try to learn it. Procurement is a 'support activity' on this matrix along with firm infrastructure, HR and technology development
NEW QUESTION # 162
A partnership approach to a buyer-supplier relationship, as opposed to a traditional adversarial approach, would have which of the following characteristics?
- A. Greater levels of transparency
- B. Shared cost benefits
- C. Increased supplier contractual terms
- D. Specifications designed by the buyer
Answer: A,B
Explanation:
Partnerships are built on trust and transparency, with shared benefits such as cost reductions and improved processes. Adversarial relationships, in contrast, focus on price and contractual obligations.
NEW QUESTION # 163
Which circumstances make a buyer more attractive to the supplier?
- A. When the buyer negotiates longer credit terms
- B. Where the buyer exercises a stringent code of conduct
- C. Where the brand profile is high
- D. When the buyer is very procedural in its systems
Answer: B,C
Explanation:
Buyers with a strong brand profile and adherence to ethical standards attract suppliers, as they provide market prestige and assurance of fair practices. This aligns with CIPS's emphasis on ethical procurement.
NEW QUESTION # 164
Achieving value for money can often be described as the three Es? What are these?
- A. Effectiveness, Efficiency, Economy
- B. Efficiency, Economy, Ethics
- C. Economy, Efficiency, Environment
- D. Ethics, Environment, Economy
Answer: A
Explanation:
The three Es are; Effectiveness, Efficiency and Economy. Sometimes a 4th E is added which is Equity (but this is mainly for the public sector).
NEW QUESTION # 165
Which of the following are typical drivers for a partnership between the buyer and the supplier? Select the THREE that apply.
- A. There are many suppliers in the market
- B. The product is technically complex
- C. The supplier provides the product to a buyer's competitor
- D. The product is critical for the buyer
- E. The product is a commodity
- F. The buyer has a high spend with the supplier
Answer: B,D,F
Explanation:
Comprehensive and Detailed Explanation:
Partnerships between buyers and suppliers are often driven by:
* High Spend:Significant expenditure justifies the investment in developing a closer relationship to achieve cost savings and efficiencies.
* Critical Products:Items that are essential to the buyer's operations necessitate a reliable and collaborative supplier relationship.
* Technical Complexity:Complex products benefit from joint development efforts, shared expertise, and coordinated problem-solving.
Conversely, commodities and markets with many suppliers typically lend themselves to transactional relationships rather than partnerships.
Reference:
CIPS L4M6 Study Guide
NEW QUESTION # 166
A local council requires facilities management services for ten schools based in their region. This service is a high-spend, high-risk, critical contract. Which sourcing approach would be the most appropriate?
- A. Competitive tendering
- B. Request for quotation
- C. Statement of source requirements
- D. Direct negotiation
Answer: A
Explanation:
Competitive tendering is the most suitable approach for high-risk, high-value contracts as it ensures transparency, fairness, and the selection of the most capable supplier based on predefined criteria.
NEW QUESTION # 167
Which of the following documents can be used at the selection stage of a tender process to ensure that short listed bidders meet the requirements of the buying organisation? Select TWO.
- A. Request for Information
- B. Pre-Qualification Questionnaire
- C. Invitation to Tender
- D. Request for Quotation
Answer: A,B
Explanation:
Request for Information and Pre-Qualification Questionnaire can be used for short-listing suppliers. Request for Quotation is used when the only variable is price and you would like suppliers to submit a price for you.
Invitation to Tender would be the next stage after RFI / PPQ- this is sent out to those suppliers who have passed selection, and details the second stage of the competition. See p.75 for more details.
NEW QUESTION # 168
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