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ISM LEAD Exam Syllabus Topics:

Topic	Details
Topic 1	Strategy Development: This section covers creating and carrying out long-term supply management plans to meet organisational objectives.
Topic 2	Risk and Compliance: This domain covers identifying, assessing, and mitigating potential threats while ensuring adherence to regulations in supply management.
Topic 3	Systems Capability and Technology: This domain covers developing talent and expanding skill sets among the supply management group members.

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ISM Leadership and Transformation in Supply Management Sample Questions (Q73-Q78):

NEW QUESTION # 73
To promote contracts it has established for discounted office supplies, VWX's supply management department spends significant time and resources creating a consolidated online catalog for use by all divisions. A large portion of these resources are put toward a catalog aggregator tool, which consolidates supplier catalogs into a single format. After several years of use, VWX's internal customers find the combined catalog hard to search, and say it does not provide enough information on the items they need to purchase. Currently, all of the office supply contractors produce their own online catalogs, which can be tailored to client requirements.
To encourage a greater volume of purchases through discounted contracts, which of the following is the BEST course of action for VWX's supply manager to take?

A. Work with the internal customers to discuss alternatives and develop a plan
B. Urge top management to mandate usage of the combined catalog by all personnel
C. Negotiate for a lower software license cost for the catalog aggregator tool
D. Increase awareness and training for the combined catalog

Answer: A

Explanation:
To address the issues with the combined catalog and encourage greater use of discounted contracts, the best course of action for VWX's supply manager is to engage with internal customers to discuss alternatives and develop a plan. This approach aligns with leadership and transformation management principles that stress the importance of stakeholder engagement and collaborative problem-solving. By understanding the specific needs and challenges faced by internal customers, the supply manager can develop a more user-friendly and informative solution. Reference from transformation management documents emphasize the value of involving end-users in the decision-making process to ensure that solutions are practical and effective. This collaborative approach not only addresses the current dissatisfaction but also builds a stronger relationship between the supply management department and its internal customers.

NEW QUESTION # 74
A cross-functional team for a specialty art materials manufacturer is analyzing several hobby painting sets, each made at a different location. The supply manager asks the team to discuss packaging needs. As brainstorming progresses, a few team members comment that many paint jars look quite similar, and one member asks whether distinctive labels could be used to differentiate various types of paint. This change is implemented, saving costs through larger volumes and minimized shortages. Which of the following BEST describes what process the supply manager has facilitated?

A. Aggregation
B. Contribution to profit
C. Synergy
D. Internal negotiations

Answer: A

Explanation:
* Understanding the Scenario: The cross-functional team identifies that using distinctive labels for different types of paint can save costs by increasing order volumes and minimizing shortages.
* Definition of Aggregation: Aggregation in supply chain management refers to combining orders for similar items to achieve cost savings through economies of scale.
* Implementation: By standardizing the labels and increasing order volumes, the team is effectively aggregating their purchasing needs, leading to lower per-unit costs and reduced risk of shortages.
* Cost Savings: Aggregation leverages larger order quantities to negotiate better pricing and terms with suppliers, thus contributing to cost savings and operational efficiency.
* Reference: Supply chain management literature, such as "Supply Chain Management: Strategy, Planning, and Operation" by Sunil Chopra and Peter Meindl, highlights aggregation as a key strategy for achieving cost savings and efficiency in procurement.

NEW QUESTION # 75
In a closed-loop recycling process, waste material is

A. reduced to a by-product and sold
B. utilized to make new products
C. disposed of by the generator, who is ultimately responsible
D. disposed of in accordance with environmental regulations

Answer: B

Explanation:
In a closed-loop recycling process, waste material is utilized to make new products. This method of recycling aims to create a sustainable system where materials are continuously repurposed, reducing the need for new raw materials and minimizing waste.
Closed-Loop Recycling: This refers to the process where waste materials are collected, recycled, and used again to produce the same or similar products. The loop is "closed" because the materials are continuously cycled through the system.
Environmental Impact: Utilizing waste materials to create new products reduces the environmental impact by lowering the demand for virgin materials and decreasing the amount of waste sent to landfills.
Sustainability: This process supports sustainability goals by promoting resource efficiency and reducing the carbon footprint associated with the production of new materials.
Reference:
Stahel, W.R. (2016). The Circular Economy: A User's Guide. Routledge.
Ghisellini, P., Cialani, C., & Ulgiati, S. (2016). A review on circular economy: the expected transition to a balanced interplay of environmental and economic systems. Journal of Cleaner Production, 114, 11-32.

NEW QUESTION # 76
A manufacturing company wants to do a better job of tracking prices and evaluating trends. It wishes to employ an index within contracts to determine yearly increases or decreases. In this situation, the company would be BEST served by consulting which of the following?

A. Bureau of Labor Statistics
B. Chicago's Business Barometer
C. CAPS research
D. Automotive News

Answer: A

Explanation:
To track prices and evaluate trends effectively, the manufacturing company would be best served by consulting the Bureau of Labor Statistics (BLS).
BLS Data: The BLS provides comprehensive data on various economic indicators, including the Producer Price Index (PPI) and Consumer Price Index (CPI), which are essential for tracking price trends and inflation.
Index Use: These indices can be used within contracts to determine yearly price adjustments based on changes in the economic environment, ensuring fair and transparent pricing mechanisms.
Reference:
Bureau of Labor Statistics. (2021). Producer Price Index (PPI). [Online]. Available: https://www.bls.gov/ppi/ Bureau of Labor Statistics. (2021). Consumer Price Index (CPI). [Online]. Available: https://www.bls.gov/cpi/

NEW QUESTION # 77
Which of the following refers to a list of functions and characteristics required for successful performance of a job?

A. Job design
B. Job specifications
C. Job description
D. Job analysis

Answer: B

Explanation:
Job specifications refer to a list of functions and characteristics required for successful performance of a job. This includes the necessary skills, qualifications, and experience needed to perform the job effectively. Leadership and transformation management documents often discuss the importance of clear job specifications in ensuring that employees have a clear understanding of what is expected of them and that the right candidates are selected for each role. By defining the specific requirements for a job, organizations can better match candidates to roles, leading to improved performance and job satisfaction. Reference in leadership literature emphasize the critical role of job specifications in talent management and organizational effectiveness.
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NEW QUESTION # 78
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