CIPS L4M8 Exam (page: 3)
CIPS Procurement and Supply in Practice
Updated on: 31-Mar-2026

Viewing Page 3 of 40

What are the four quadrants within the Kraljic portfolio matrix?

  1. See Explanation section for answer.

Answer(s): A

Explanation:

At the early stages In procurement and supply cycle, buyers begin segmenting current supplies in the categories, depending on their level of integration into the organization. To help get this done, the buyer may use the Kraljic portfolio matrix. The kraljic portfolio matrix segment suppliers into four categories, which are;
1) Routine 2) Bottleneck 3) Leverage 4)strategic supplier ·
Refer to the question column for response



What are the four quadrants within the Kraljic portfolio matrix?

  1. See Explanation section for answer.

Answer(s): A

Explanation:

At the early stages In procurement and supply cycle, buyers begin segmenting current supplies in the categories, depending on their level of integration into the organization. To help get this done, the buyer may use the Kraljic portfolio matrix. The kraljic portfolio matrix segment suppliers into four categories, which are;
1) Routine 2) Bottleneck 3) Leverage 4)strategic supplier



Which products or services should not be considered for outsourcing, according to Carter's out- sourcing matrix

  1. See Explanation section for answer.

Answer(s): A

Explanation:

Carters outsource matrix is a useful tool that procurement professionals uses to decide which products or services has a high or low contribution to the organization operation performance and its strategic importance. The matrix segments products/services into four quadrants. These are Eliminate, outsource, strategic alliance and retain.
According to Carters outsource matrix, all product/services that has a high strategic importance should not be outsourced. They should rather be retained in house or carefully chose suitable sup- pliers and go into strategic alliance.
Refer to the question column for response



Which products or services should not be considered for outsourcing, according to Carter's out- sourcing matrix

  1. See Explanation section for answer.

Answer(s): A

Explanation:

Carters outsource matrix is a useful tool that procurement professionals uses to decide which products or services has a high or low contribution to the organization operation performance and its strategic importance. The matrix segments products/services into four quadrants. These are Eliminate, outsource, strategic alliance and retain.
According to Carters outsource matrix, all product/services that has a high strategic importance should not be outsourced. They should rather be retained in house or carefully chose suitable sup- pliers and go into strategic alliance.



Explain how procurement should decide whether to make or buy a product or service.

  1. See Explanation section for answer.

Answer(s): A

Explanation:

Make or buy decision are about whether a products or services should be made within the organization or bought-in from an external supplier.
For a procurement professional to establish which method (make or buy) offers the best value, the item in question must be thought through if it is core to the organization and which option will add more value to the organization, as regards achieving its strategic goals. If it is core the procurement professional decide to make it and if it is not core the product or services can be bought in.
Refer to the question column for response



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