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Reference: https://www.cips.org/qualifications/diploma-in-procurement-supply/ethical-and-responsible-sourcing
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CIPS Ethical and Responsible Sourcing Sample Questions:
Tariffs and import duties imposed on a buying organisation for goods purchased from an international supplier provide benefit to ...
- A. The supplying organisation as they receive additional payment
- B. The domestic industry through reduced competition
- C. Local competitors through lower prices
- D. Consumers by having access to lower-priced goods
Correct Answer: B 🗳️
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'Phishing' is an activity that can occur when an employee within an organisation receives an email that appears to be from a genuine supplier but is false. These types of emails expose the organisation to the activities of expert cyber criminals. Which type of crime category does this activity fall within?
- A. Human rights
- B. Fraud
- C. Corruption
- D. Bribery
Correct Answer: B 🗳️
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What course of action should be taken when an audit of a supplier identifies evidence of human rights malpractice?
- A. Allow the supplier to complete current orders while pursuing alternatives
- B. Immediately raise the issue with the supplier and jointly develop a timely action plan before a repeat audit
- C. Immediately halt all orders and switch to an alternative source of supply
- D. Remove all business and inform press organisations to escalate to government authorities
Correct Answer: B 🗳️
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A prequalification questionnaire can allow a buyer to determine whether or not a potential supplier shares the same ethical values at an early stage of a procurement process. Obtaining confirmation that a supplier has not previously been convicted of breaches of modern slavery legislation belongs to which form of evaluation criteria?
- A. Social
- B. Economic
- C. Environmental
- D. Quality
Correct Answer: A 🗳️
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Which financial statement would be used for analysing an organisation's assets?
- A. Balance sheet (statement of financial position)
- B. Cash flow statement
- C. Profit and loss account (statement of financial performance)
- D. Credit rating reports
Correct Answer: A 🗳️
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