L5M1_Sample_Questions_FV_Nov 2024
L5M1_Sample_Questions_FV_Nov 2024
Supply
Sample Questions
L5M1 Sample Questions Nov 2024 Leading global excellence in procurement and supply
(Q1)
Alarmset
Maria is the newly appointed procurement manager for Alarmset, a company that develops manufactures
and installs alarm systems.
Initially Maria’s experienced conflict with her team, but worked quickly to resolve these issues. The working
relationships improved with the team demonstrating their commitment by creating new ideas in both process
improvement and product development. Maria recognised the importance of maintaining a cohesive team.
She took the opportunity of involving all team members in decision-making and set up a weekly group lunch
that provided an opportunity for all team members to meet informally. The lunchtime sessions provided
Maria with the opportunity to update the team members on key developments in the organisation, as well as
new policies and strategies, and relationships with key stakeholders. The team were able to talk about issues
of concern and to get to know each other better. Every few months, she runs an offsite ‘away-day’ for the
group where each team member prepares an update on a relevant procurement topic and presents it to the
group.
Maria noticed that one of her team, Faizel, had started to arrive late to work and the quality of his work has
deteriorated. He appeared to be communicating less with other team members. Maria decided to talk with
him, and Faizel admitted that he had lost interest in his work. Faizel wanted a role where he would be able to
use and develop his financial skills, as he wasn’t able to in his current role as an assistant to one of the senior
buyers. Faizel also believes that Fran does not delegate enough responsibility to him. Maria promises to look
into the matter.
Alarmset has recently announced plans to expand into the growing market for assistive technology to help
elderly and disabled people live independently. New procurement staff may be required, but Maria also wants
to take the opportunity of enhancing the skills within her current team. Maria has set up an appointment with
the human resources manager to discuss an appropriate course of action.
Question One
Explain the ‘Human Relations’ approach to management using examples from the scenario to support your
answer.
[25 marks]
LO: 1
AC: 1.3
(Q2)
Question Two
Assess the main factors that are likely to influence job satisfaction within a procurement team. Use
appropriate theory to support your answer.
[25 marks]
2
LO: 2
AC: 2.4
(Q3)
Question Three
Using appropriate theory, explain the stages of team development and provide the key features of each stage,
supported by relevant examples.
[25 marks]
LO: 3
AC: 3.2
(Q4)
Gentec
Gentec supply circuit boards to consumer electronics manufacturers. Gentec purchase a wide range of
electronic components from multiple suppliers. Most of these components have three or four suppliers who
can meet Gentec’s requirements, although these products are quite specialised and can sometimes create
bottlenecks in supply.
Gentec currently operate on a purely transactional and arms-length relationship with all these suppliers.
Gentec try to generate as much competition as possible between the suppliers and share minimal forward
planning information, adopting a transactional competitive tendering approach with all suppliers.
Requirements for electronic components are re-tendered each time they are needed which is an
administratively challenging and relatively expensive approach. Gentec have maintained this low trust
approach with minimal engagement of their suppliers. Price is seen as the overriding objective and Gentec
believed that this transactional arms-length approach, with minimal stakeholder engagement, provided it
with the lowest possible prices.
When tender documents are issued, minimal information is shared as there is limited trust between Gentec
and its suppliers. Gentec issues specifications which suppliers are required to follow without raising any
questions. Unsuccessful suppliers are given no feedback. Suppliers are required to carry any development
costs required for components. The suppliers do not regard Gentec as a core customer as each individual
tender is for a fixed term and fixed amount with no longer term commitment.
Gentec have recently appointed a new supply chain manager, Michelle Stevens. Based on her previous
experience in other markets and with other supplier stakeholders, Michelle believes that an alternative
approach could be used with the suppliers of electronic components. This revised approach would attempt to
build and maintain trust with the suppliers to gain their long-term commitment and to align the objectives of
Gentec and its suppliers, who Michelle recognises are key stakeholders.
3
Question Four
Propose and justify ways in which Gentec can build and maintain trust with its suppliers, who are now
recognised by Michelle Stevens as key stakeholders.
[25 marks]
LO: 4
AC: 4.2