Continuously gathering and analysing intelligence from sources such as professional, industry and trade journals, websites, conferences and exhibitions, published reports and online databases is called:
Continuously scanning the environment can bring rewards in the form of new supply companies, new products and services, awareness of supply firm or industry difficulties, etc.
Purchasing research is a very close answer to the correct one, but is likely to be more focussed, spe-cific.
If faced with a difficult choice as to which of two options in the exam is correct, think about what was included as part of your syllabus.
In this case, environmental scanning is the first entry in your Learning Outcome 3.1
Which one of the following is a document issued by a buyer to conduct an initial assessment of the suitability of a potential supplier for possible future use, either for a specific requirement or to add to a list of approved suppliers?
Pre-qualification QUESTION NO :naire is the correct answer.
A supplier quotation comes from the supplier side; both the RFQ and the ITT are intended to be more formally binding, including the price element, than what is described here.
A contract clause which entitles the buyer to hold back 5% of the final price for six months to en-sure everything is in order is known as a --------- clause:
'Retention' - from the word 'retain', meaning to 'keep in place', 'hold back', 'keep possession of' something (Concise Oxford Dictionary, fifth edition) . In this case, 5% of the contract price.
Which one of the following is a commercial document issued by a seller stating what the cost would be of supplying certain goods or services, normally in response to an enquiry by the buyer?
It's a supplier quotation.
Both the RFQ and the PQQ (sometimes known as 'SQ') are issued by the buying side, not the sell-ing side.
A commercial invoice doesn't tell you what the price 'would be' - it tells you what is owed after the event (usually - an exception being with prepayment in mind; or a 'proforma invoice' which is issued in some circumstances, especially internationally).
Which of the following would not be part of the not-for-profit sector?
A local independent supermarket would be a private sector organisation - that is one intended to make a profit. The others suggested here would all be not-for-profit.
Public sector organisations, although not created to make a profit, are generally referred to as 'public sector' - often funded from taxation - with 'not-for-profit' often being funded from members, do-nors, or other voluntary sources.
