CIPS L4M8

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CIPS Procurement and Supply in Practice Sample Questions:

1. Which Incoterm applies here?
The supplier is responsible for delivering the goods to the buyer's premises include arranging any custom clearances that applies, bearing all risk up until this point.

A) FAS - Free Alongside Ship
B) DAT - Delivered At Terminal
C) DDP - Delivery Duty Paid
D) DAP - Delivered At Place

2. Looking at stage 8 of the procurement and supply cycle, what does TCA mean?

3. Explain FIVE Environmental. Social and Governance (ESG) considerations for TechSpark Global when developing its sourcing approach for the new mineral.
(25 marks)
TechSpark Global
TechSpark Global (TSG) is a global consumer electronics company. It supplies 80 markets across four global regions. It supplies directly to electronic goods retailers.
TSG's unique selling point is its strong commitment to sustainable and ethical manufacturing, and sourcing practices in the electronics sector.
TSG has recently identified a new high-efficiency rare earth mineral which significantly improves the performance and lifespan of solar panels. TSG intends to use this new mineral as the basis for a new product range of solar-powered portable chargers.
Potential strong consumer demand exists for these eco-friendly and high-performance chargers, and TSG anticipates fast market growth for the new product. However, the company is conscious that the new mineral's supply base is primarily in countries where ESG issues arise. These issues include labour rights and conditions, environmental degradation due to mining practices, and the safety regulations of mineral processing plants which may also be problematic.

4. Describe a current or recent trade war of which you are aware and explain the implication it has for world trade.

5. What matrix helps to define how to manage stakeholders?

Solutions: