CIPS L6M2 practice materials Questions Answers

Exam Code:
L6M2
Exam Name:
Global Commercial Strategy Exam
Last Update:
Jun 01,2026

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CIPS L6M2 Questions for Level 6 Professional Diploma in Procurement and Supply Certification Exam 2026

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Questions & Answers PDF

• Question 1

  

  SIMULATIONEvaluate the following approaches to supply chain management: the Business Excellence Model, Top-Down Management Approach and Six Sigma

  Reveal Answer Answer: S,e,e, ,t,h,e, ,c,o,m,p,l,e,t,e, ,a,n,s,w,e,r Next Question

• Question 2

  

  SIMULATIONXYX is an airline whose profits have been severely affected due to not being able to operate during atwo-year pandemic. Cash reserves at the organisation are at an all time low and XYZ are looking into sources of short-term funding for working capital. Discuss four sources and suggest which one XYZ should use.

  Reveal Answer Answer: S,e,e, ,t,h,e, ,c,o,m,p,l,e,t,e, ,a,n,s,w,e,r Next Question

• Question 3

  

  SIMULATIONUsing Porter’s 5 Forces, describe the business environment of a company of your choice

  Reveal Answer Answer: S,e,e, ,t,h,e, ,c,o,m,p,l,e,t,e, ,a,n,s,w,e,r Next Question

• Question 4

  

  SIMULATIONXYZ is a toilet paper manufacturer based in the UK. It has 2 large factories employing over 500 staff and a complex supply chain sourcing paper from different forests around the world. XYZ is making some strategic changes to the way it operates including changes to staffing structure and introducing more automation. Discuss 4 causes of resistance to change that staff at XYZ may experience and examine how the CEO of XYZ can successfully manage this resistance to change

  Reveal Answer Answer: S,e,e, ,t,h,e, ,c,o,m,p,l,e,t,e, ,a,n,s,w,e,r Next Question

• Question 5

  

  SIMULATIONXYZ is a high fashion clothing designer and wishes to complete a benchmarking exercise. Discuss priority dimensions to be measured in the benchmarking exercise and propose a strategy for completing the exercise

  Reveal Answer Answer: S,e,e, ,t,h,e, ,c,o,m,p,l,e,t,e, ,a,n,s,w,e,r Next Question

• Question 6

  

  SIMULATIONDiscuss how XYZ, a global beverage manufacturing organisation, could use the Boston Consultancy Group Framework to impact upon strategic decision makingIntroductionThe Boston Consulting Group (BCG) Matrix is a strategic tool used by organizations to analyze their product portfolio and allocate resources effectively. It classifies products into four categories—Stars, Cash Cows, Question Marks, and Dogs—based on market growth rate and market share.As a global beverage manufacturing organization, XYZ can use the BCG Matrix to evaluate its product range, identify growth opportunities, and make informed strategic decisions.

  • Explanation of the BCG MatrixThe BCG Matrix is divided into four quadrants:
  • Example for XYZ:Star: A fast-growing energy drink brand in emerging markets. Cash Cow: A flagship cola product with stable market demand.Question Mark: A new functional health drink with uncertain market acceptance. Dog: An underperforming diet soda variant with declining sales.
  • How XYZ Can Use the BCG Matrix for Strategic Decision-MakingXYZ can use the BCG Matrix to make resource allocation and investment decisions based on product performance.
  • Advantages of Using the BCG Matrix for XYZ✅ Resource Allocation – Helps prioritize investment in high-growth products.✅ Strategic Focus – Identifies which products to grow, maintain, or phase out.✅ Market Adaptation – Helps XYZ adjust its beverage portfolio based on changing consumer trends. Example: If XYZ’s energy drink (a Star) is experiencing high growth, more marketing and production investment may be justified.
  • Limitations of the BCG Matrix❌ Ignores Market Competition – A product may have a high market share, but competition could still impact profitability.❌ Simplistic Assumptions – Not all products neatly fit into one category; market dynamics are complex.❌ Focuses on Growth and Share Only – It does not consider external factors like profit margins, customer loyalty, or brand strength.Example: A Question Mark product might have potential, but if consumer preferences shift, it may never become a Star.
  • Application of the BCG Matrix in the Beverage Industry
  • XYZ can apply the BCG Matrix by reviewing its entire product portfolio across different geographic markets.
  • Conclusion
  • The BCG Matrix is a valuable strategic tool for XYZ to analyze its product portfolio, prioritize investments, and make informed market-based decisions. However, it should be used alongside other strategic models (e.g., PESTLE, VRIO) to ensure a comprehensive business strategy.

  Reveal Answer Answer: S,e,e, ,t,h,e, ,c,o,m,p,l,e,t,e, ,a,n,s,w,e,r Next Question

• Question 7

  

  SIMULATIONDescribe 5 strategic decisions a company can make and how these decisions could impact upon competitive advantage.

  Reveal Answer Answer: S,e,e, ,t,h,e, ,c,o,m,p,l,e,t,e, ,a,n,s,w,e,r Next Question

• Question 8

  

  SIMULATIONExplain the characteristics of strategic decisions. At what level of a business are strategic decisions made and why?

  Reveal Answer Answer: S,e,e, ,t,h,e, ,c,o,m,p,l,e,t,e, ,a,n,s,w,e,r Next Question

• Question 9

  

  SIMULATIONDiscuss how the following can impact upon supply chain operations and business strategy:

  • Discrimination, equality and diversity
  • Redundancy and dismissal
  • Working time and payment

  Reveal Answer Answer: S,e,e, ,t,h,e, ,c,o,m,p,l,e,t,e, ,a,n,s,w,e,r Next Question

• Question 10

  

  SIMULATIONXYZ is a large manufacturing organisation which employs 200 skilled staff in its factory in Bolton. It has a large global supply chain with raw materials sourced from Asia and Africa. Discuss five areas of policy that can affect the people working in the supply chain

  Reveal Answer Answer: S,e,e, ,t,h,e, ,c,o,m,p,l,e,t,e, ,a,n,s,w,e,r Next Question

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