CIPS L5M5 Lead2pass & L5M5 Valid Test Format
CIPS L5M5 Lead2pass & L5M5 Valid Test Format
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Tags: L5M5 Lead2pass, L5M5 Valid Test Format, L5M5 Online Test, L5M5 Reliable Braindumps Pdf, L5M5 Guaranteed Questions Answers
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CIPS Managing Ethical Procurement and Supply (L5M5) Sample Questions (Q68-Q73):
NEW QUESTION # 68
EcoWear, a well-known apparel company committed to sustainability, has recently expanded its supply chain but failed to address key ESG issues, leading to the following concerns:
A supplier has been reported for using toxic dyes, causing environmental harm.
Another supplier has poor labor practices, resulting in worker strikes.
If these ESG issues remain unresolved, what are the most likely consequences for EcoWear? Select any TWO.
- A. Reputational Damage: The company may face backlash from consumers and advocacy groups, harming its brand reputation and customer loyalty
- B. Legal Benefits: EcoWear could benefit from reduced regulatory scrutiny and enjoy a more favorable legal environment
- C. Inability to secure or attract potential investments from banks
- D. Increased Sales: Consumers are likely to overlook the issues and continue purchasing EcoWear products, boosting sales
Answer: A,C
Explanation:
Choice A- Increased Sales is unlikely, as consumers are increasingly aware of ESG issues and may choose to avoid brands that don't align with their values.
Choice B- Legal Benefits is also unlikely, as failing to address ESG issues could actually increase regulatory scrutiny and legal risks.
Option C & D is the answer as per the study guide.
Reference: LO-1.1; Page 53; Impact of breaches of ethical codes or ESG standards on reputation and brand
NEW QUESTION # 69
Rashed's company is exploring the adoption of the EU's EMAS (Eco-Management and Audit Scheme). What are the key benefits of implementing EMAS?
1. It helps the organization improve its environmental performance and achieve sustainability goals.
2. It guarantees an immediate increase in sales and revenue.
3. It demonstrates compliance with environmental laws and regulations.
4. It offers no costs or resources required for implementation
- A. 1 and 2 only
- B. 3 and 4 only
- C. 2 and 4 only
- D. 1 and 3 only
Answer: D
Explanation:
Option 1- This is correct. EMAS encourages continuous improvement in environmental performance, which is central to the scheme's purpose.
Option 3- This is correct. One of the key benefits of EMAS is helping organizations demonstrate that they comply with environmental legislation, making it easier to meet legal requirements.
Incorrect answer:
Option 2- This is not correct. While EMAS can enhance reputation, it doesn't guarantee immediate sales or revenue growth.
Option 4- This is incorrect. There are costs involved in setting up and maintaining EMAS, such as for auditing and reporting.
Therefore, the answer is Choice B.
Reference:
LO-3.2; Page 279-280; The benefits and challenges of independent standards in securing ESG objectives in ethical and sustainable procurement and supply arrangements
NEW QUESTION # 70
Which of the following strategies can procurement professionals use to effectively manage language and cultural barriers in global sourcing?
1. Improving foreign language skills
2. Think and act with an open mind
3. Insisting that English is the only business language used
4. Ensuring proper documentation for all the imports to comply with regulations
- A. 2 and 4
- B. 2 and 3
- C. 4 and 1
- D. 1 and 2
Answer: D
Explanation:
Managing language and cultural barriers
O View culture within the language
O Choose location carefully
O Know and communicate business goals
O Check and monitor relationships
O Communicate well
O Improve foreign language skills
O Think and act with an open mind
O Have patience
O Be respectful
The correct answer is Option A.
Reference:
LO-1.3; Page 82-84; Language and culture
NEW QUESTION # 71
EcoSmart Solutions, a company specializing in sustainable construction materials, intends to make a sustainability claim for their product. They are aware of the ISEAL Alliance's guidelines for valid sustainability claims. Which of the following would be considered a valid sustainability claim according to ISEAL Alliance standards?
- A. The product is made using 100% recycled materials, with claims verified by third-party certification from a recognized sustainability standard
- B. The product reduces carbon emissions, but the claim is not supported by any third-party audits or verifications
- C. The product is marketed as "eco-friendly" based on internal environmental policies without any external certification
- D. The product claims to improve sustainability, but the claims are solely based on anecdotal evidence and not on any recognized environmental criteria or certification
Answer: A
Explanation:
Choice A- This is the correct answer. According to ISEAL Alliance guidelines, a valid sustainability claim must be supported by third-party certification from a credible and recognized sustainability standard, ensuring the claim is verifiable and transparent.
Incorrect answer:
Choice B- This is not a valid claim under ISEAL guidelines because third-party verification is necessary to substantiate any claims related to carbon emissions.
Choice C- This is not a valid claim under ISEAL guidelines. Claims need to be independently verified, and internal policies alone do not provide credibility to the sustainability claim.
Choice D- This is not a valid claim according to ISEAL standards. Claims should be based on verifiable evidence and supported by recognized sustainability standards.
Reference:
LO-3.2; Page 291; Role of industry standards and frameworks used by organizations in securing ESG considerations and ethical standards and Charter of Fair Trade and implications for procurement and supply
NEW QUESTION # 72
Which of the following best demonstrates how implementing ISO standards can result in direct cost savings?
- A. Cloud-based document management systems for paperless operations
- B. Artificial intelligence for predictive customer behavior analysis
- C. Gaining new customers by showcasing compliance with international standards
- D. Enhancing brand image and reputation in the global market
Answer: A
Explanation:
Option D- This is the correct answer, as cloud-based document storage systems reduce paper, printing, and storage costs. ISO standards often encourage sustainable practices like digitizing documents, which directly saves on operational costs related to printing and paper use.
Incorrect answer:
Option A- While AI can improve business efficiency and decision-making, it is more focused on optimizing customer engagement and marketing strategies. It does not directly lead to cost savings.
Option B- Improving brand image is a long-term strategic benefit but does not directly reduce costs. It may contribute to business growth but not immediate cost savings.
Option C- ISO certification can attract new customers and boost business credibility, but this is more about increasing revenue rather than reducing costs.
Reference:
LO-3.2; Page 277-278; The benefits and challenges of independent standards in securing ESG objectives in ethical and sustainable procurement and supply arrangements
NEW QUESTION # 73
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