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ISM LEAD - Leadership and Transformation in Supply Management

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Total 165 questions

MNO Company's code of conduct severely restricts employee volunteer and charitable activities. MNO's supply manager is concerned that these restrictions could conflict with the ISM Principles of Sustainability and Social Responsibility. What should the supply manager do to address these concerns?

A.

As there is no legal mandate for community action, the supply manager should not be concerned.

B.

The supply manager should request an opinion from human resources on whether employee rights are being violated.

C.

The supply manager should offer examples of how the company can help the community and seek to ease limitations.

D.

The supply manager should follow a positive course by encouraging staff to be active in their neighborhoods.

XYZ is a US firm engaging in work on a project within a country identified as a war zone. The organization must purchase basic necessities such as bottled water for consumption in the office and out in the field. The local supplier of these commodities requires a surcharge for protection of the bottled water when it is delivered to the buying organization’s site. Given this situation, which of the following is the BEST course of action for XYZ to take?

A.

Report the supplier to the local authorities so the appropriate action can be taken, and notify the United States Embassy of the supplier

B.

Acquiesce to the supplier’s demand for the surcharge, irrespective of the organization's basic principles embodied in its policies and procedures

C.

Adapt as necessary to the environment while maintaining the organization's basic principles embodied in its policies and procedures

D.

Refuse to do business with any supplier that does not follow the established standards expected of a buyer-supplier relationship in the United States

TUV, Ltd. is a firm based in the United Kingdom. TUV engages a contractor in Malaysia to construct new production and testing facilities located within Malaysia’s capital city. Midway through the project, TUV's supply manager realizes that there is no formal retention policy in place for safety records. Given this situation, which of the following is the MOST appropriate course of action for the supply manager to take?

A.

Adopt the record retention program TUV currently uses for domestic operations

B.

Direct the contractor to develop a records retention program for the entire project

C.

Use the contractor's program for a similar international project

D.

Convene a meeting between TUV and the contractor to develop a joint program

Which of the following is MOST appropriate as a supply management mission statement?

A.

"Supplymanagement's primaryroleisto obtain the lowest cost for goods and services."

B.

"Supplymanagement’s primaryroleisto consider global goods and services."

C.

"Supplymanagement's primaryroleisto manage the cycle from planning to contract management for goods and services."

D.

"Supplymanagement's primaryroleisto obtain goods and services in response to internalneeds."

A supply management employee's performance has deteriorated, and the employee now exhibits disregard for organizational policies and procedures. The department manager decides to take progressive disciplinary measures. However, before proceeding, the manager wants to be sure that these actions are defensible. Which of the following would provide the BEST support for the manager's position?

A.

Documenting and responding immediately to the employee's next offense

B.

Ensuring that the employee has a positive example to emulate

C.

Beginning with verbal reprimands and moving to written warnings only if necessary

D.

Documenting that the employee was aware of the rules prior to the infraction

A cross-functional team for a specialty art materials manufacturer is analyzing several hobby painting sets, each made at a different location. The supply manager asks the team to discuss packaging needs. As brainstorming progresses, a few team members comment that many paint jars look quite similar, and one member asks whether distinctive labels could be used to differentiate various types of paint. This change is implemented, saving costs through larger volumes and minimized shortages. Which of the following BEST describes what process the supply manager has facilitated?

A.

Aggregation

B.

Internal negotiations

C.

Contribution to profit

D.

Synergy

An employee with a disability has been having erratic, unexplained absences from work. The department supervisor counsels the employee, explaining that the absences are affecting productivity and performance. The employee responds by claiming protection under the U.S. Americans with Disabilities Act (ADA). Which of the following is TRUE with regard to this situation?

A.

Neither the employee's absences nor work performance is protected by the ADA.

B.

The employee's absences are protected by the ADA, though work performance is not.

C.

The employee's absences are protected by the ADA, but only if they are directly related to thedisability.

D.

The employee's absences and work performance are protected by the ADA.

Representatives from various departments at a research center meet to discuss the renovation of a lab. The firm’s supply manager has been asked to facilitate the discussion. In preparation, the supply manager outlines each department's role and asks for their priorities. This information is used to show the departments how much they have much in common and how they can assist each other in achieving their goals. Which of the following tools is the supply manager using?

A.

Consensus

B.

Reciprocity

C.

Commitment

D.

Authority

Which of the following factors influencing department effectiveness are MOST directly under supply management's control?

A.

Supplier performance

B.

Staff capabilities

C.

Future supply needs

D.

Organizational objectives

A manufacturing company has been experiencing a number of human resource problems. Many employees feel they are underutilized given their skill sets. The firm

is concerned that if it loses some key leaders, it will be at risk. The company is looking to attract and retain more employees that embody the company's values. Given all these factors, which of the following is the BEST course of action for the firm to take?

A.

Create a corporation-wide succession plan

B.

Establish a mentor program

C.

Employ an outside recruitment firm

D.

Conduct a gap analysis of all job functions