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New L4M2 Exam Study Guide | Latest CIPS L4M2 New Exam Prep: Defining Business Needs

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NEW QUESTION 54
Which of the following is the disadvantage of embedding standards in a specification?

• A. Standards are too flexible and may cause ambiguity in the specification
• B. Embedding standards into specification requires enormous time and effort
• C. Standards are too static and discourage innovation
• D. Standards do not improving buyer's bargaining power

Answer: C

Explanation:
"Standards are often produced by professional bodies (maybe national or international bodies). Standards tend to be stable for a period of time, therefore, they are likely to be static and discourage innovation." Reference:
LO 3, AC 3.1

NEW QUESTION 55
Synergy Ltd is a fast-growing tool and hardware retailer. The company's customer services team has been using Excel worksheets to manage customer relationships. When the company is expend-ing its market presence, this way of working leads to poorer customer services as the database is scattered around in spreadsheet, leading to patchy and inconsistent conversations with customers. The company decides to purchase a CRM system. What requirement should Synergy's procurement team take into account in the specification for CRM system?

• A. The relative size of the potential suppliers to Synergy
• B. The form and reference number of the purchase order
• C. The ability to import bulk data from Excel spreadsheets
• D. Total number of the supplier's employees

Answer: C

Explanation:
The purpose of this Question:
to actionable requirements before communicating with the suppliers. The scenario suggests that Synergy Ltd's customer services team is using Excel spreadsheets, they lack a centralised customer database. This leads to problems in communications with customers.
A CRM system can solve the communication problem. But a Question: 100
will the previous data be imported? If the CRM system can support bulk import from Excel tables, it will save a lot of time.
Reference:
LO 1, AC 1.1

NEW QUESTION 56
Product development consists of various stages, including planning and analysis, design develop-ment, pre-production, production and maintenance. At which stages the opportunities for cost re-duction will be the greatest?
1. Planning stage
2. Pre-design stage
3. Detail design stage
4. Production stage
5. Logistics support stage

• A. 1 and 2 only
• B. 1 and 4 only
• C. 2 and 3 only
• D. 2 and 5 only

Answer: A

Explanation:
Writing a specification and then procuring and using the product or service has a number of stages. The further on in the process you are, the less potential there is for cost reductions. Therefore, opportunities for cost reduction will be greatest in the two first stages: planning stage and pre-design stage.
LO 3, AC 3.1

NEW QUESTION 57
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