ISM LEAD Actual Free Exam Questions & Community Discussion

A company's human resources manager feels that the HR department can obtain indirect services efficiently and that centralizing their purchases through supply management adds no value. Which is of the following is the BEST response supply management can make to these claims?

A supply department is transitioning from a traditional procurement structure to a more strategic sourcing model. This change is expected to provide new opportunities for skilled supply chain professionals. Which of the following would be the BEST approach in preparing for leadership in such an organization?

A supply manager for XYZ Inc. unknowingly sources a defective component, triggering a mass recall of the end product. One of XYZ's competitors has a representative appear on a television program, and the representative states that XYZ knowingly used the defective component, thus endangering the end customer. Based on this information, on what grounds can XYZ seek legal action against this competitor?

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

A company determines it may be subject to potential loss of intellectual property in several supplier contracts. This can be BEST described as what type of risk?

MNO, Inc. hires a contractor to renovate its office space. The firm pays a deposit for new countertops for the office's cafeteria, but the contractor states that it will not be able to install the new countertops by the agreed upon date. The space needs to be completed on time for a planned grand opening event. Which of the following is the BEST course of action for MNO to take?

A firm's supply manager surveys stakeholders to rate the performance of supply management along several key factors and to determine what factors matter most to the stakeholders. The results of the survey (with scale values ranging from 1 for Low to 5 for High), are as follows:
Factors Rating Priority
Speed of order processing 4 2
Supply management knowledge 4 3
Quality 2 4
On-time delivery 4 3
Supplier innovation 4 4
Product and market awareness 2 5
Cost control 4 2
Which of the following conclusions is MOST strongly supported by the survey results?

An organization institutes a program whereby employees visit a local high school to meet with students and introduce them to careers in business. This firm is likely to be one that has a

A center-led supply management organization is BEST described as having which of the following types of decision-making structures?

CDE, Inc. designates a team comprised of finance and procurement professionals to develop and implement a "No PO/No Pay" policy for the organization. The goal is for the firm to have 100% purchase order (PO) usage. The team spends twelve months re-structuring processes, defining metrics, and conducting employee training sessions on the policy. However, six months after launch, the level of PO adoption shows only a modest increase from 9% to 12%. Which of the following could the team have done to BEST ensure greater success in this initiative?