L5M6 Category Management Exam Free Dumps

dumps2025-10-31T10:15:31+08:00

L5M6 is one elective test for CIPS Level 5 Advanced Diploma in Procurement and Supply certification. L5M6 exam focuses on developing the knowledge and skills to manage and improve supply chains effectively, including integration, collaboration, risk management, and performance evaluation. Learning Category Management L5M6 exam information is a required step. There are 46 questions in real L5M6 exam, and you have 1.5 hours to answer all the questions. We provide the latest Category Management L5M6 exam dumps, which can ensure you pass the test easily. Free Category Management L5M6 exam dumps are available below.

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1. According to Porter’s Five Forces, supplier power is strong in industries where which of the following is true? [Select THREE]

No substitutes are available

Supplier’s customers are fragmented

Switching costs are low

Forward integration is possible

The product is undifferentiated

2. Which of the following approaches to cost is the least transparent?

Price management

Price acceptance

Cost down

Cost out

3. SIC codes are sets of four-digit codes used to classify what?

Business departments

Spend categories

Countries

Industries

4. A list of direct costs within a manufacturing organisation could be found on which of the following?

Profit and Loss Account

SWOT Analysis

Bill of Materials

Specification

5. Which of the following industries is the only one that does not have a specific SIC code?

Agriculture

Finance

Retail

Services

6. Workshops, safety facilities, and design engineers are indirect costs associated with which industry?

Construction

Retail

Services

Agriculture

7. Which category of spend item would be most suitable to purchase through an e-auction?

Bottleneck

Leverage

Strategic

Non-critical

8. ABC Ltd wishes to ensure compliance across its supply chain.

Which of the following are steps that can be taken to ensure compliance with regulations and standards including CSR? [Select TWO]

Only work with large suppliers who have a CSR policy

Make ethics and compliance a priority when qualifying new suppliers

Communicate the company’s values across the supply chain

Do not work with suppliers in low-cost countries

9. Volatile inflation rates are a risk that can affect any business.

Which STEEPLED factor would this fall under?

Political

Ethical

Socio-Cultural

Economic

10. In a marketplace where there is a large number of suppliers, which of the following is true?

There is low rivalry

There is a low barrier to entry

Buyer power is strong

Buyer power is weak

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11. High exit barriers in a marketplace mean that rivalry between suppliers is low. Is this statement TRUE?

Yes C rivalry is low as buyer power is strong

Yes C rivalry is low as supplier power is strong

No C rivalry between existing suppliers is high

No C high exit barriers mean no new suppliers will enter the marketplace

12. Joe is a Category Manager at an automobile company.

Which of the following would be the best way to decide on categories in this industry?

Alphabetically

By spend

By supplier

By part

13. On the BCG Matrix, what is a cash cow?

High market share, high market growth

High market share, low market growth

Low market share, low market growth

Low market share, high market growth

14. Callie is a Category Manager at a car parts manufacturer. She discovers through a SWOT analysis that many other customers are increasing short-term demand for raw materials.

Which category does this fall under?

Strengths

Weaknesses

Opportunities

Threats

15. Why would a company use a Technology Roadmap?

To decide between two different software providers

To assist in marking a tender for IT equipment

To help decide which technology to invest in the future

To mitigate risks of cyber-attacks

16. Bill is collecting data on a mobile phone category item.

Which of the following can he find from the phone’s ‘line item’ details? [Select TWO]

Quantity ordered

Price

Functionality

Components

17. What is a General Ledger?

An IT system that conducts tenders electronically

An IT system that prepares information for financial reporting

A catalogue of products to buy and/or sell

A list of approved suppliers

18. ABC Ltd is a manufacturer of hi-tech IT equipment in an industry set to grow substantially over the next 10 years.

What type of industry is this?

Bull industry

Bear industry

Dog industry

Cow industry

19. Frankie Burgers operates in the UK and USA. One supplier holds a monopoly, but the item supplied is low cost.

According to the Kraljic Matrix, which type of item is this?

Leverage

Strategic

Routine

Bottleneck

20. “Survival of the fittest” is a concept in supplier relationships.

Which of the following does it describe?

Low focus on pricing, low focus on relationships

Low focus on pricing, high focus on relationships

High focus on pricing, high focus on relationships

High focus on pricing, low focus on relationships

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21. Tulipa Ltd is a manufacturer of vegan frozen food. It saw significant market growth for three years, but in the last two years market share has remained stable despite no new entrants.

Which stage in the lifecycle is the vegan frozen food market?

Birth

Growth

Maturity

Decline

22. Peak Pricing is also known as which other type of pricing model?

Penetration pricing

Dynamic pricing

Limit pricing

Price skimming

23. The process of designing a product with a trusted supplier in order to eliminate costs that may appear at the delivery stage is known as which cost management strategy?

Cost acceptance

Cost engineering

Cost down

Cost out

24. What form of procurement is Category Management?

Strategic

Tactical

Reactional

Planned

25. What is the purpose of a Category Board?

To select the Category Manager

To approve spending over a certain amount

To develop and implement a category strategy

To mitigate all risks

26. What are the three main enablers of successful Category Management?

People

Place

Tools

Environment

Technology

27. Total Cost of Ownership [TCO] is important in Category Management. Steve is sourcing machine parts and IT systems.

Which of the following should Steve consider as part of TCO? [Select THREE]

Purchase Price

Location of the Items

Supplier Relationship

Maintenance and Downtime

Training

28. In A.T. Kearney’s 7 Step Model of Strategic Sourcing, which of the following should be done first?

Selection of implementation path

Supplier portfolio generation

Competitive supplier selection

Continuous benchmarking of supply market

L5M6 Category Management Exam Free Dumps

L5M6 Category Management Exam Free Dumps

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