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CIPS Managing Ethical Procurement and Supply (L5M5) Sample Questions:

1. The ILO's fundamental principles and rights at work are binding on which countries?

A) Only countries with high labor standards
B) Only developed countries
C) Only those that have ratified the ILO conventions
D) All member states of the ILO

2. A homeowner planning to purchase a new air conditioner notices an energy rating label on each model. This rating scheme provides details on the unit's energy efficiency, cooling capacity, and environmental impact. How does this information assist the buyer in making a decision?

A) It guarantees that the air conditioner will last for a specific number of years
B) It ensures that the most expensive air conditioner is always the best choice
C) It provides clear information on energy efficiency and expected electricity consumption
D) It ensures that all air conditioners have the same level of performance

3. Which framework is designed to promote ethical labor practices and social responsibility in global supply chains, addressing issues such as worker rights, health and safety, and fair wages?

A) ETI (Ethical Trading Initiative)
B) OECD (Organization for Economic Co-operation and Development)
C) WIETA (Wine and Agricultural Ethical Trading Alliance)
D) SA8000

4. EcoTech Solutions, a small business based in Canada, is exploring the possibility of developing its own environmental management system rather than adopting a widely recognized standard. What are two potential advantages of this approach? Select any TWO

A) It could result in lower implementation costs
B) It ensures compliance with local regulations and requirements
C) This is a form of greenwashing
D) It may be simpler for customers to understand

5. Which of the following is an example where long-term availability of supplies is prioritized over short-term gains?

A) Cutting costs in the short term, ultimately leading to a reduced range and variety of suppliers in the market
B) Selling products manufactured to lower quality standards, resulting in lower unit prices
C) Reducing quality standards in the short term, accepting that customer rejections will increase in the long term
D) Choosing a new supplier that is initially more expensive than others in the market to expand the supply base and develop market capacity

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