Free CIPS L5M7 Exam Questions

Become CIPS Certified with updated L5M7 exam questions and correct answers

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Total 122 Questions | Updated On: May 24, 2026

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Question 1

What is the primary motivation for offshoring?

A : eaper holidays

B : ploit other countries' resources

C : t costs

D : prove cultural competence

Answer: C

Question 2

ABC produces electronics and operates in a highly competitive industry in which new products are launched frequently. ABC has to be on top of new fashions and trends and be able to produce new, innovative forms of electronics in order to survive in the marketplace. Which of the following supply chain strategies should ABC employ?

A : an

B : t in Time

C : ponsive

D : ile

Answer: D

Question 3

Which of the following is an example of a closed-loop supply chain?

A : farm supplying milk to a diary manufacturer

B : The extraction of diamonds from a mine which are sold to a jewellery manufacturer

C : sale of second-hand cars at a retail outlet

D : retailer which accepts old phones to be given back to the manufacturer

Answer: D

Question 4

Tom is a Procurement Manager and he is looking to complete a project of Supplier Rationalisation. Which of the following would be useful Tom to complete first in order to direct the project?

A : troduce Six Sigma

B : tal Quality Management

C : AT analysis

D : end Analysis

Answer: D

Question 5

Which of the following are advantages of using local sourcing? Select TWO

A : higher costs

B : less environmental impact

C : cheaper

D : exibility for support and maintenance

E : higher quality

Answer: B,D

Page: 1 / 25

Total 122 Questions | Updated On: May 24, 2026

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