CLC 108

Which of the following phrases most accurately defines Strategic Sourcing?

A collaborative and structured process of analyzing an organization's spend and using the information to make business decisions about acquiring commodities and services more efficiently and effectively

Which of the following areas of performance does NOT need to be managed after a commodity sourcing strategy is implemented?

Historical Data Integrity

Which of the following statements is TRUE about establishing a Strategic Sourcing program governance structure?

It must reinforce the program's vision and objectives.

Which of the following skill sets is NOT required to support a successful Strategic Sourcing program?

Legislative Skills

Why is it important to examine a supply market's value chain as part of the Supply Market Analysis?

The value chain can provide insights into suppliers' cost structures, which can reveal potential sourcing strategies to help suppliers manage costs.

What is the goal of defining supply market segments as part of a Supply Market Analysis?

To select the market segments that are most relevant to the organization's sourcing needs

What is the main objective of conducting a high-level portfolio spend analysis as part of the Opportunity Assessment?

To understand broad spend categories and patterns for all commodities purchased by the organization

A Strategic Sourcing Program Management Office is preparing a memorandum outlining policy changes associated with the implementation of a new sourcing strategy for wireless devices. The memorandum is being sent to all contracting offices that manage wireless contracts.In addition, a training session is being organized to reinforce the policy changes with acquisition personnel from these offices. This type of outreach to stakeholders is an example of:

Change Management Communications

The "low-hanging fruit" that should be prioritized for the first wave of Strategic Sourcing efforts refers to:

Commodities with the highest savings potential and lowest barriers to implementation.

What two factors must be determined when building a Total Cost of Ownership (TCO) Model for a commodity?

Cost elements and cost drivers

What is the first step for profiling a commodity?

Define the Commodity

Which of the following is NOT one of the four key change management components that are necessary to ensure successful strategy implementation?

Efficiency

Which Strategic Sourcing program governing body is typically comprised of the organization's highest level procurement officials and provides high-level oversight?

Executive Steering or Governance Board

For each commodity, a single sourcing strategy should be selected as the "best fit" strategy.

False

Strategic Sourcing is a standard best practice in the private sector but has yet to be adopted by the public sector.

False

What key regulatory guidance must be followed when developing an Acquisition Strategy?

Federal Acquisition Regulations

How often should a Supply Market Analysis be reviewed and updated?

On an annual basis

Which of the following are potential sources of total cost of ownership (TCO) savings when applying Strategic Sourcing to a commodity? (Select all that apply.)

Per unit cost savings, Reduced volume and consumption, Improved process efficiencies, Better supplier management

Which of the following is an example of improved operating efficiencies that can potentially be realized through Strategic Sourcing?

Streamlining the process for submitting, approving, and processing purchase orders

Which of the following is the best measure of Strategic Sourcing success?

Value

Which of the following Strategic Sourcing program planning components describe what program success looks like?

Vision Statement