Under the Equalities Act 2010, which of the following is not a protected characteristic?
Correct Answer: D
Comprehensive and Detailed Explanation From Exact Extract of Documents: The Equalities Act 2010 provides legal protection against discrimination in the UK. The L5M5 study guide (p.35) lists the protected characteristics, which include disability, pregnancy and maternity, age, race, sex, sexual orientation, gender reassignment, marriage/civil partnership, and religion/belief. Weight is not included as a protected characteristic. For procurement, understanding equality legislation is vital to ensuring suppliers uphold fair treatment of employees and do not discriminate unlawfully. Organisations must embed these protections into contracts and supplier codes of conduct. Reference: Managing Ethical Procurement and Supply (L5M5) Study Guide, p.35
L5M5 Exam Question 32
Nicolas is the Head of Procurement at Penny Dolittle Manufacturing Company. He is introducing an ESG agenda to the company's procurement strategy, especially regarding sustainability. Nicolas believes an advantage of this is that it will drive innovation. Is he correct?
Correct Answer: A
Comprehensive and Detailed Explanation From Exact Extract of Documents: The L5M5 study guide (p.182) states that sustainability reporting and the adoption of ESG (Environmental, Social, Governance) principles can stimulate organisational change and innovation. By measuring and reporting on sustainability, companies often seek new technologies, processes, and supply models to improve performance and meet ESG commitments. Reporting is not mandatory in all cases, so option B is incorrect. While sustainability may improve reputation and sometimes costs, these are not the key focus of this question. CIPS guidance stresses that sustainability reporting can drive innovation-procurement can encourage suppliers to develop new sustainable practices, products, and approaches. Reference: Managing Ethical Procurement and Supply (L5M5) Study Guide, p.182
L5M5 Exam Question 33
Roogy Ltd, a UK SME, considers implementing its own environmental standard instead of a global one. What is the advantage of this?
Correct Answer: B
Comprehensive and Detailed Explanation From Exact Extract of Documents: The L5M5 study guide (p.281) states that the advantage of a company creating its own internal environmental standard is that it is generally cheaper than obtaining a recognised certification like ISO14001. This can be more suitable for smaller firms with limited budgets. However, it is not necessarily easier for customers to understand (A), nor does it automatically ensure compliance with regulations (C). It is not inherently greenwashing (D) unless it is misleading. Procurement professionals should balance cost savings against credibility when considering internal versus recognised environmental standards. Reference: Managing Ethical Procurement and Supply (L5M5) Study Guide, p.281
L5M5 Exam Question 34
Which of the following are benefits of sustainable business practices? Select TWO
Correct Answer: A,B
Comprehensive and Detailed Explanation From Exact Extract of Documents: The L5M5 study guide (p.7) highlights key benefits of sustainability, including increased productivity, reduced waste (A), and gaining competitive advantage (B) in the marketplace. Sustainable practices often improve efficiency, reduce resource consumption, and build stronger reputations, which attract customers and investors. Options C and D are incorrect, as weakened performance and higher spending are not benefits; instead, sustainability enhances resilience and long-term cost savings. Procurement professionals must position sustainability not as a cost burden but as a driver of efficiency, innovation, and brand strength. Reference: Managing Ethical Procurement and Supply (L5M5) Study Guide, p.7
L5M5 Exam Question 35
Which of the following is not considered to be an alternative form of dispute resolution?
Correct Answer: D
Comprehensive and Detailed Explanation From Exact Extract of Documents: Alternative Dispute Resolution (ADR) mechanisms are encouraged in procurement as they save time, reduce costs, and preserve business relationships. The key ADR methods listed in the L5M5 study guide (p.188) include mediation, adjudication, and conciliation. These methods are designed as alternatives to litigation, which involves courts, legal judgments, and lengthy processes. Litigation is not an ADR method; it is the traditional approach, often more adversarial and costly. Procurement professionals are encouraged to adopt ADR whenever possible, as it helps maintain collaborative supplier relationships while resolving conflicts effectively. Reference: Managing Ethical Procurement and Supply (L5M5) Study Guide, new edition p.188