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To be eligible for the CIPS L4M5 certification exam, candidates must have completed the CIPS L4M1 (Procurement and Supply Environments) and CIPS L4M2 (Procurement and Supply Operations) certification exams. Additionally, candidates must have a minimum of three years of relevant work experience in procurement or supply chain management. L4M5 Exam is structured to test the candidate's ability to apply negotiation concepts to real-world scenarios and assess their competence in conducting complex negotiations.

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CIPS Commercial Negotiation Sample Questions (Q208-Q213):

NEW QUESTION # 208
Which of the following are internal factors when a supplier is making its pricing decision?

A. 3 and 4 only (Risk management and The stage in the product life cycle)
B. 1 and 4 only (Price elasticity of demand and The stage in the product life cycle)
C. 2 and 3 only (Environmental legislation and Risk management)
D. 1 and 2 only (Price elasticity of demand and Environmental legislation)

Answer: A

NEW QUESTION # 209
Leitax is a consumer electronics firm with headquarters in the US and with a global sales presence. The company maintains seven to nine models in its product portfolio, each of which has multiple SKUs. Product life ranges from fifteen to nine months and is getting shorter. The demand planning and master planning processes at the company were ill-defined. Data relevant to forecasting were usually inaccurate, incomplete, or unavailable and the lack of objectives and monitoring mechanisms for the demand planning process meant that process improvement could not be managed. Support for supply management was equally ill-defined, as master production schedules were sporadic and unreliable and suppliers had learned to mistrust them. Leitax's newly appointed Supply chain director, Jessica realises that the "buy-in" of different functional groups was critical to the improvement of demand planning. She invites relevant stakeholders to a meeting so that they can express their opinions openly. What tactic is Jessica using?

A. Persuasion
B. Consultation
C. Pressure
D. Coalition

Answer: D

Explanation:
There are nine commonly used influence tactic:
1. Rational persuasion includes using facts, data, and logical arguments to try to convince others that your point of view is the best alternative. This is the most commonly applied influence tactic.
2. Legitimating
3. Personal appeals
4. Exchange
5. Ingratiation
6. Pressure refers to exerting undue influence on someone to do what you want or else something undesirable will occur.
7. Coalitions refer to a group of individuals working together toward a common goal to influence others.
8. Inspirational appeals
9. Consultation refers to the influence agent's asking others for help in directly influencing or planning to influence another person or group.
In the scenario, there is a problem with demand forecasting and supply chain planning in Leitax. The new Supply chain director invites the stakeholders to a meeting to find the solution. She is using coalition tactics.
Reference:
- CIPS study guide page 163-168
- Cross-Functional Alignment in Supply Chain Planning: A Case Study of Sales and Operations Planning
- 13.3 The Power to Influence - Organizational Behavior (umn.edu)
LO 3, AC 3.2

NEW QUESTION # 210
When planning a negotiation for sourcing internationally, which of the following divergent positions, and therefore potential conflict areas, should be prepared for? Select TWO that apply:

A. Timing and location
B. How the negotiation will be closed out
C. Cultural differences
D. Team makeup
E. Team size

Answer: A,C,E

Explanation:
Reference: CIPS L4M5 Study Guide, Section 3.1 - Planning and Preparation for Negotiation

NEW QUESTION # 211
Which of the following are most likely to be abilities of a person with high emotional intelligence? Select TWO that apply.

A. Controlling one's own emotions
B. Reasoning and problem solving
Abstract thinking
C. Complex idea comprehension
D. Perceiving how others feel

Answer: A,D

Explanation:
Explanation
Emotional Quotient is the set of skills that enables us to make our way in a complex world - the personal, social and survival aspects of overall intelligence, the elusive common sense and sensitivity that areessential to effective daily functioning. It has to do with the ability to read the political and social environment, and landscape them; to intuitively grasp what others want and need; what strengths and weaknesses are; to remain unruffled by stress; andto be engaging. The kind of person others want to be around and follow.
EQ seeks to measure emotional intelligence and is centred on abilities such as the following:
- Identifying emotions
- Evaluating how others feel
- Controlling one's own emotions
- Perceiving how others feel
- Using emotions to facilitate social communication
- Relating to others
On the other hand, cognitive ability is defined as a general mental capability involving reasoning, problem solving, planning, abstract thinking, complex ideacomprehension, and learning from experience (Gottfredson,
1997).
LO 3, AC 3.3

NEW QUESTION # 212
A procurement manager is preparing for a 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. Yes, the supplier must know what buyer wants and how to provide that even when the buyer is silent on these matters
B. No, holding back information will prompt the supplier gain higher negotiation power
C. Yes, the buying organisation must maximise its gain, even at the detriment of the other party
D. No, this approach requires honest and open discussion

Answer: D

Explanation:
Integrative negotiation is a negotiation strategy in which the involved parties work together to find a solution that satisfies the needs and concerns of each. This process often involves group brainstorming and creative thinking for individuals to suggest different ideas that benefit both parties.
Compromising is often common in integrative negotiation, and both sides may need to give up certain needs to reach a solution. Honesty can also promote successful integrative negotiation because it can lead to a comprehensive understanding of the issue and what each party needs to be satisfied with the result.
Reference:
CIPS study guide page 29-31
Integrative Negotiation: Definition, Tips and Examples | Indeed.com

NEW QUESTION # 213
......

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L4M5 Valid Exam Syllabus & Latest L4M5 Exam Practice

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CIPS Commercial Negotiation Sample Questions (Q208-Q213):

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