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ISM CPSM Bridge Sample Questions:

1. When coordinating and monitoring the movement of equipment and assets within the organization the short term resources owned by an organization including inventory and accounts receivable is/are?

A) Intangible assets of the supply management organization.
B) Deferred costs of the supply management organization.
C) Current assets of the supply management organization.
D) Fixed assets of the supply management organization.

2. An important instrument to ensure a supplier is not surprised about an organizations decision to exit the relationship is?

A) The suppliers participation in selection of a new supplier.
B) Communication from other suppliers.
C) Internet postings of the impending action.
D) Regular performance reviews.

3. In a risk analysis the BEST definition of the tactical category is?

A) Both risks and benefits are high and there is a high level of impact on organizational success.
B) Both the risk and potential benefits are low and there is low potential for impact on the organizational success.
C) The risk is low but potential benefits are high and there is a low level of supply market complexity.
D) The risk is high and potential benefits are low.

4. There are numerous International Commercial Terms the supply management professional should be familiar with. The Incoterm CFR Cost and Freight (named place) indicates what?

A) The seller places goods on the loading dock and the risk of loss is transferred to the buyer.
B) The seller delivers goods which are cleared for export to the buyers designated carrier and named location.
C) The buyer takes possession of the shipment at the point of origin and bears all costs and risks associated with the transportation.
D) The supplier quotes a price that includes the cost of goods and cost of transportation to a named destination.

5. The Institute for Supply management defines the process of planning, implementing, and controlling flow of raw materials and process inventory from point to point, origin to consumption as?

A) Logistics supply management.
B) Goods management operations.
C) Supply management operations.
D) Supply transference between organizations.

Solutions: