CIPS L5M2 Actual Free Exam Questions & Community Discussion

  • Exam Code/Number: L5M2
  • Exam Name/Title: Managing Supply Chain Risk
  • Certification Provider: CIPS
  • Corresponding Certification: CIPS Level 5 Advanced Diploma in Procurement and Supply
  • Exam Questions: 117
  • Updated On: Jul 07, 2026
Fudgylicious Inc is a manufacturer of confectionary based in the United Kingdom. In one of its factories an employee has an accident during his shift which resulted in him breaking a leg and requiring surgery. Will the employer's Professional Indemnity insurance cover the cost of the operation?
Correct Answer: A Vote an answer
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Risk Management is a process with several steps. Which of the following is the last step of the cycle?
Correct Answer: C Vote an answer
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Which of the following is a component of the Sarbanes-Oxley Regulations?
Correct Answer: C Vote an answer
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Which of the following is not an internal risk for a business who imports raw materials from abroad?
Correct Answer: C Vote an answer
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Which of the following is an example of hedging?
Correct Answer: A Vote an answer
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A black swan event is what type of occurrence?
Correct Answer: B Vote an answer
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Portobello is an Italian manufacturing company that produces canned tomato sauces. It imports a lot of its tomatoes from Latin America as there isn't the capacity to grow that many tomatoes in Italy. One of the major risks posing Portobello is that the tomatoes must be transported via cargo ship, and there is a risk that the ship may sink, or be delayed by bad weather. Portobello has taken out insurance to cover the cost of the tomatoes should this happen. What technique has Portobello used?
Correct Answer: B Vote an answer
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Logistics Risks are caused by...
Correct Answer: D Vote an answer
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Standard Deviation is the measure of the variation between the values in a range of data. From which of the following could you calculate Standard Deviation?
Correct Answer: C Vote an answer
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In an emergency situation, put the following phases into chronological order as to when they would be activated 1) disaster recover plan 2) incident response 3) business continuity plan
Correct Answer: A Vote an answer
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