Massive Halloween Special Limited Time 65% Discount Offer - Ends in 0d 00h 00m 00s - Coupon code: dpm65

L4M5 Questions and Answers

Question # 4

Which of the following can help both parties to break the vicious cycle of blame when a relationship needs repairing? Select TWO that apply.

A.

Both parties understand each other's goals

B.

Focusing onpositions

C.

Conflict management skills

D.

Constant shadowing and oversights

E.

Emotional-based assessment

Full Access
Question # 5

Which of the following should be adopted to minimise the conflict between parties in commercial negotiation?

A.

The rule of law

B.

Ground zero

C.

Ground beam

D.

Ground rules

Full Access
Question # 6

Which of the following are most likely to turn buying organisation into an unattractive customer in supplier's perspective? Select TWO that apply.

A.

Demands for kickback

B.

Reduced paperwork in procurement processes

C.

Adopting clear and concise CSR policies

D.

Unclear tender award criteria

E.

Using SRM technology

Full Access
Question # 7

Which of these personal power bases stems from the manager's position in the organisation and the authority that lies in that position?

A.

Coercive power

B.

Legitimate power

C.

Expert power

D.

Reward power

Full Access
Question # 8

Which of thefollowing should be the final step of a negotiation process if both parties cannot reach an agreement?

A.

Reflecting on performance

B.

Tempting TOP to reopen the negotiation

C.

Asking TOP for another concession

D.

Celebrating publicly about the deal

Full Access
Question # 9

A procurement professional is preparing for a negotiation of purchasing non-critical commodity products. He knows that the product can be easily replaced by other substitutes in the market. The negotiation for these products is typified by which of the following?

A.

The buyer should focus on wider costs and risk elements

B.

The approach must be collaborative

C.

There will be only limited negotiation

D.

There will be regular structured negotiations

Full Access
Question # 10

IHL has beensupplying to XYZ Ltd for months. XYZ Ltd procurement manager Diana realises that the IHL's input prices are dropping and this is a good time to re-negotiate the price of the contract. She invites IHL representative to XYZ headquarter to make a bargain on the current price. At the opening stage of the negotiation, Diana requests a 10% reduction in price with an increase in volume purchased.

Is Diana's action appropriate in the opening phase?

A.

Yes, because the negotiation should be done as quick as possible

B.

Yes, because Diana's proposal is a fair trade for both parties

C.

No, because Diana should state exactly the increasing quantity

D.

No, because Diana has put the markers down too soon

Full Access
Question # 11

A procurement manager is preparing fora negotiation with an important supplier. He plans to withhold some crucial information so that his company gains the upper hand in the negotiation. Is this correct when considering using integrative approach to the negotiation?

A.

No, this approach requires honest and open discussion

B.

Yes, the supplier must know what buyer wants and how to provide that even when the buyer is silent on these matters

C.

Yes, the buying organisation must maximise its gain, even at the detriment of the other party

D.

No,holding back information will prompt the supplier gain higher negotiation power

Full Access
Question # 12

Which of the following is the true statement?

A.

External stakeholders such as suppliers can largely influence an organisation's procurement negotiations

B.

Internal stakeholder support will be important for both negotiation and contract performance

C.

All connected stakeholders have a low level of impact on procurement negotiations

D.

Commercial negotiation objectives should be driven by just the instincts of procurement

Full Access
Question # 13

The trust is built based on the other party's professional qualifications or proven or certified technical capability or experience is known as...?

A.

Goodwill trust

B.

Contractual trust

C.

Irrevocable Trust

D.

Competence trust

Full Access
Question # 14

XYZ Ltd decides to go to market for a cleaning contract to service a number of offices. It knows that it will get a price which may, ormay not, be better than the one it is currently paying. To gain leverage in the marketplace, the organisation decides to add other related services to the scope, such as gardening, security and maintenance, which increase the value of the contract. This is an example of which forms of spend consolidation?

A.

Purchasing consortia

B.

Volume consolidation across categories

C.

Volume pooling

D.

Volume redistribution

Full Access
Question # 15

According French and Raven's base model, which of the following are sources of personal power that can be used in commercial negotiation? Select THREE that apply.

A.

Purchasing spend power

B.

Expert power

C.

Competitive power

D.

Trademark power

E.

Coercive power

F.

Legitimate power

Full Access
Question # 16

There are no commitments in hypothetical questions. Is this statement true?

A.

No, because the party who makes hypothetical questions cannot withdraw their proposals

B.

No, because hypothetical questions are made explicitly to the other party

C.

Yes, because hypothetical questions generate a specific response

D.

Yes, because hypothetical questions only mention possible situations

Full Access
Question # 17

An automotive company purchases high quality steel to produce components. The steel is an important raw material and the contract value is enormous. They sources the steel from oversea and contact some potential suppliers. One of the potential suppliers invites the procurement team to their premise for a new business opportunity. Should the procurement team accept the invitation?

A.

No, because negotiating over telephone is enough to collect information on supplier's capability

B.

Yes, because the visit would increase the buyer's bargaining power

C.

Yes, because this is an opportunity to assess the supplier's capacity

D.

No, because the travel would incur unnecessary costs

Full Access
Question # 18

Commercial negotiation ends at the award of a contract. Is this statement true?

A.

Yes, because there are no rooms for negotiation after the contract is awarded

B.

Yes, because the supplier will comply with legally binding obligations

C.

No, because improvements can be achieved through post-award negotiation

D.

No, because real commercial negotiation begins after the contract is awarded

Full Access
Question # 19

Which of the following are most likely to be fundamentals of Fisher & Ury's principled negotiation?

1. Depersonalise the argument

2. Focuson positions

3. Generate creative options

4. Using subjective criteria

A.

2 and 3 only

B.

2 and 4 only

C.

1 and 3 only

D.

1 and 4 only

Full Access
Question # 20

A senior buyer analyses the supply market and he realises that his organisation is treated asExploit according to supplier's perspective model. What does he need to do?

A.

Adopt opaque processes

B.

Increase the spend value

C.

Raise the transactional costs to do business

D.

Pay the suppliers on time

Full Access
Question # 21

End users are the only stakeholders that are involved in the preparation of a negotiation. Is this statement true?

A.

Yes, because end-users have greaterexpert power

B.

Yes, because only end-users understand their demand

C.

No, because end-users are external stakeholders

D.

No, because budget holders also play an important role

Full Access
Question # 22

When is the best time to adopt accommodating style according to Thomas-Kilmann conflict mode instrument?

A.

When both buyer and supplier want to find anintegrative solution as their concerns are too important to be compromised

B.

When buyer needs to gather more information to gain more advantages in later negotiations

C.

When preserving harmony and avoiding disruption with supplier are especially important

D.

When buyer and supplier have equal power but are strongly committed to mutually exclusive goals

Full Access
Question # 23

Collaborative approach in negotiation not only can fully satisfies the concerns of both, but also ensure that neither party will seek to be opportunistic in later time during the life of the contract. Is this statement true?

A.

Yes, because all parties must have exactly the same goals in integrative negotiation

B.

No, because any party may leverage its own advantage during the contract

C.

Yes, because both parties have well understood each other's goals when they engage in collaborative negotiation

D.

No, because the parties will always find a compromise solution in integrative approach

Full Access
Question # 24

Jane is planning for a forthcoming negotiation with a key supplier. She has learned what are important to the supplier and what are important to her company from previous contracts between them. In order to avoid negotiation deadlocks, she has set up several concession plans. But Jane has little experience in dealing with suppliers and doesn't know when to trade these concessions. When is the best time in a negotiation to trade concessions?

A.

In the testing phase

B.

In the proposing phase

C.

At bargaining stage

D.

At opening stage

Full Access
dumpsmate guaranteed to pass
24/7 Customer Support

DumpsMate's team of experts is always available to respond your queries on exam preparation. Get professional answers on any topic of the certification syllabus. Our experts will thoroughly satisfy you.

Site Secure

mcafee secure

TESTED 27 Oct 2021