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CIPS L5M7 Practice Test Questions Answers

Exam Code: L5M7 (Updated 88 Q&As with Explanation)
Exam Name: Achieving Competitive Advantage Through the Supply Chain (L5M7)
Last Update: 22-Nov-2025
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Questions Include:

  • Single Choice: 69 Q&A's
  • Multiple Choice: 19 Q&A's

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    L5M7 Questions and Answers

    Question # 1

    Supplier vettingis a form of which type of quality management system?

    A.

    Quality inspection

    B.

    Lean

    C.

    Six Sigma

    D.

    Quality assurance

    Question # 2

    Freddie, a Procurement Professional, is reviewing supply chain risks. He believes all risks should be eliminated. Is this correct?

    A.

    Yes – all supply chain risks must be removed

    B.

    Yes – create risk assessments for each supplier

    C.

    No – prevent risks where possible but tolerate low-level risks

    D.

    No – awareness only is required

    Question # 3

    A strategy in which an organisation concentrates its resources on anarrow market or industry segmentis which ofPorter’s Generic Strategies?

    A.

    Cost Leadership

    B.

    Focus

    C.

    Differentiation

    D.

    Cost Certainty

    Question # 4

    In a supply chain, can adownstream supplierinfluence all aspects of quality includingcustomer perception?

    A.

    Yes – downstream suppliers have the most power in the chain

    B.

    Yes – customer perception is derived from the supplier’s inputs and specification

    C.

    No – customer perception is influenced by other functions such as marketing

    D.

    No – a downstream supplier has no control over quality at all

    Question # 5

    A supply chain that has evolved to includemultiple layers of interdependenceon members both upstream and downstream is commonly known as what?

    A.

    A Supply Network

    B.

    A Supply Net

    C.

    A Supply Web

    D.

    A Supply Stream

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