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CIPS Updated L4M3 Exam Questions and Answers by sulayman

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CIPS L4M3 Exam Overview :

Exam Name: Commercial Contracting
Exam Code: L4M3 Dumps
Vendor: CIPS Certification: CIPS Level 4 Diploma in Procurement and Supply
Questions: 233 Q&A's Shared By: sulayman
Question 28

Cleveland Insurance (Cleveland) offers a range of insurance services. The main software used in the call centre is a customer relationship management (CRM) system. Cleveland perceived an urgent need to replace the existing CRM system to deal with the increasing number of customers and services.

Urgent Digital Ltd (Digital) is one of the bidders of Cleveland’s ITT for designing, building and managing the new CRM system. Its bid team is led by Hank Irvine, its technical director. Hank realises that winning the Cleveland contract (valued at approximately £50M) will enhance his career. During discussions with Cleveland, Hank offers certain assurances regarding timescales for the project. He has not carried out any investigations into the viability of the timescales. Hank has little idea whether the timescales can be met.

Cleveland decides that Digital’s bid meets with its requirements, especially given the assurances in timescale offered by Hank, and decides to proceed with it, subject to a formal contract. Eventually, a formal contract is signed by both parties. The initial assurances given by Hank about the timing of the project are never going to be achieved and are at best grossly exaggerated.

Cleveland brought the case to the court and sought rescission of contract with Digital. Is Cleveland’s claim appropriate in this case?

Options:

A.

Yes, because Cleveland needs to seek rescission first before claiming for damages

B.

Yes, because both parties agreed with rescission of their contract

C.

No, because the work had been carried out which could not be returned

D.

No, because the contract does not include any provision on rescission

Discussion
Question 29

Streaming Ltd is a music streaming provider based in the UK. The company is looking for extending its presence in the US. To achieve this, the company needs to outsource the data centre service to a local company. To monitor the performance, the procurement manager would like to introduce a service level agreement (SLA) to the data centre service provider. Which of the following should be included in the SLA?

1. System availability

2. The mean time to recover from system failure

3. The actual number of on-time service delivery

4. Dispute resolution procedure

Options:

A.

1, 3 and 4 only

B.

1, 2 and 4 only

C.

1, 2 and 3 only

D.

2, 3 and 4 only

Discussion
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Question 30

Maximum Score 1

The nature of the "Battle of the forms" is when both buyer and supplier are attempting to ...

Options:

A.

Secure their own terms and conditions

B.

Create a collaborative relationship

C.

Create a performance specification

D.

Form a joint contract

Discussion
Question 31

Maximum Score: 1

A service contract for cleaning is due for expiry after a five year duration. Which of the following are good sources of data to create a specification for the new invitation to tender?

    Incumbent supplier

    Maintenance services

    Alternative suppliers

    Management information

Options:

A.

1, 2 and 3 only

B.

2, 3 and 4 only

C.

1, 3 and 4 only

D.

1, 2 and 4 only

Discussion
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