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[General] L5M1 Premium Exam, Certification L5M1 Exam

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【General】 L5M1 Premium Exam, Certification L5M1 Exam

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CIPS Managing Teams and Individuals Sample Questions (Q24-Q29):NEW QUESTION # 24
Describe ONE model for classifying stakeholders. When communicating with different types of stakeholders, for example to notify them of an intended purchase of high value, how should this be managed by the Procurement Function of an organisation? (25 points).
Answer:
Explanation:
See the Explanation for Detailed Answer
Explanation:
One widely used model for classifying stakeholders is Mendelow's Power-Interest Matrix. This model categorises stakeholders based on their level of power (ability to influence decisions) and their level of interest (degree of concern in the issue). It helps managers decide how to engage with different stakeholders effectively.
High Power / High Interest - Key Players: These stakeholders must be closely managed and fully engaged. For example, the Finance Director or Hospital CEO when approving a high-value purchase. Procurement should provide detailed briefings, involve them in decision-making, and ensure their concerns are addressed.
High Power / Low Interest - Keep Satisfied: These stakeholders can influence outcomes but may not have strong interest in day-to-day procurement. For instance, regulatory bodies or legal advisors. Procurement should provide concise updates and ensure compliance to avoid dissatisfaction.
Low Power / High Interest - Keep Informed: These stakeholders care about the outcome but have limited influence. For example, end-users of medical equipment or nurses in a hospital setting. Procurement should communicate progress, seek feedback, and maintain transparency.
Low Power / Low Interest - Minimal Effort: These stakeholders require only basic information. For example, general staff not directly impacted by a procurement decision. Simple updates or summaries are enough to keep them engaged.
When communicating about a high-value purchase, the Procurement Function should tailor its communication strategy according to this classification. Key players (high power, high interest) must be involved early with full transparency, including risk assessments and supplier evaluations. Stakeholders with high interest but low power should be consulted to build trust and buy-in, while those with high power but low interest should receive enough information to stay satisfied. Procurement should also ensure consistent, professional communication that reflects the importance of the purchase and builds confidence in the process.
Conclusion:
Mendelow's Power-Interest Matrix provides a structured way to classify stakeholders. By adapting communication to each category - managing key players, keeping others satisfied or informed - the Procurement Function ensures effective stakeholder engagement, minimises resistance, and gains approval for high-value purchases.

NEW QUESTION # 25
Describe 4 reasons why groups may form within an organisation. (25 points).
Answer:
Explanation:
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Explanation:
Groups are an essential feature of organisational life. A group can be defined as two or more individuals who interact and work together to achieve a purpose. Groups may be formally created by management or may form informally through social interaction. There are several reasons why groups form in organisations.
The first reason is task and goal achievement. Formal groups are created to achieve organisational objectives that require collaboration. For example, in procurement, a cross-functional sourcing group may be formed to run a tender process involving operations, finance, and procurement staff. Individuals form these groups because working together helps them achieve outcomes that they could not accomplish alone.
The second reason is social and psychological needs. According to Maslow's hierarchy of needs, people seek belonging and relationships. Informal groups often form to meet these needs, providing friendship, support, and a sense of identity. In Star Fish Ltd, for instance, employees working remotely may form a social group using Teams or WhatsApp to stay connected and reduce feelings of isolation.
The third reason is safety and security. Groups can give members confidence and protection when facing uncertainty or change. For example, during organisational restructuring, employees may form informal groups to share information and support each other, making them feel less vulnerable. In procurement, staff may collaborate in groups to manage supplier risks or market volatility.
The fourth reason is power and influence. Groups provide individuals with a stronger collective voice. Trade unions are a formal example, but informal groups can also lobby management or resist unpopular changes. In procurement, buyers might form a group to influence senior managers on issues such as introducing sustainable sourcing practices. By forming groups, individuals can increase their bargaining power and impact decisions.
In conclusion, groups form for task achievement, to satisfy social needs, to provide security, and to increase power and influence. Managers must understand these dynamics because groups can both support organisational objectives and create challenges if informal groups resist change. Effective leaders harness the benefits of group formation while addressing the risks to ensure both cohesion and productivity.

NEW QUESTION # 26
Describe four types of culture that can exist within an organisation (20 points)
Answer:
Explanation:
See the Explanation for Detailed Answer
Explanation:
Organisational culture refers to the shared values, beliefs, norms and behaviours that shape "the way things are done" in a workplace. One of the most widely used models is Charles Handy's four types of organisational culture, which describe different ways in which organisations can operate.
The first is the Power Culture. In this type, authority is concentrated at the centre, usually with a strong leader or small group of individuals. Decisions are made quickly, and personal influence is key. This culture can be dynamic and decisive but may create dependency on the leader and limit employee autonomy. In procurement, a power culture might mean senior management unilaterally deciding supplier strategies without consulting the wider team.
The second is the Role Culture. Here, the organisation is highly structured with clear roles, rules, and procedures. Power comes from position rather than personality. Stability and order are prioritised, making it efficient in predictable environments. However, it can be rigid and resistant to change. In procurement, this culture might be seen in public sector bodies where strict compliance, policies, and audit controls dominate purchasing activities.
The third is the Task Culture. This type is project-oriented, with teams formed to solve problems or deliver objectives. Power is based on expertise, and collaboration is valued. It is flexible, innovative, and well-suited to dynamic environments, but can cause conflict if resources are limited. In procurement, task culture is often evident in cross-functional category teams formed to deliver strategic sourcing projects.
The fourth is the Person Culture. Here, the focus is on individuals rather than the organisation. Employees see themselves as more important than the structure, and autonomy is prioritised. This is rare in large organisations but can be found in professional partnerships such as law or consultancy firms. In procurement, a person culture may appear where highly specialised experts operate independently, sometimes resisting organisational control.
In conclusion, Handy's four types of culture - power, role, task, and person - each offer strengths and weaknesses. Effective managers must understand the prevailing culture in their organisation and adapt their leadership approach. In procurement and supply, recognising cultural influences is vital to building cohesive teams, aligning strategies, and driving ethical and sustainable practices.

NEW QUESTION # 27
Describe what is meant by a group 'norm', giving examples. (10 points). In what way can group norms affect performance? (15 points).
Answer:
Explanation:
See the Explanation for Detailed Answer
Explanation:
Definition of Group Norms (10 marks):
A group 'norm' refers to the shared standards of behaviour, values, and expectations that develop within a group. Norms guide how members act and interact, creating predictability and cohesion. They can be formal (set by rules and policies) or informal (emerging naturally over time).
Examples include:
A procurement team having a norm of punctuality for meetings.
A social norm where colleagues share supplier insights openly.
A negative norm, such as tolerating late submission of purchase orders, which may undermine performance.
Norms act as unwritten rules that shape group behaviour and influence the culture of the organisation.
Impact of Group Norms on Performance (15 marks):
Positive norms can enhance performance. For example, a norm of collaboration and knowledge sharing improves innovation and decision-making in procurement projects.
Negative norms can reduce performance. If the team develops a culture of cutting corners in supplier evaluation, this may damage compliance and reputation.
Norms create consistency and cohesion. Members know what is expected of them, reducing conflict and ensuring smoother teamwork.
Peer pressure reinforces norms. High-performing norms, such as meeting deadlines, encourage all members to contribute fully, while low-performing norms, like tolerating absenteeism, can lower standards across the team.
Norms influence motivation and morale. Supportive norms (e.g., recognising achievements) motivate employees, whereas destructive norms (e.g., ignoring contributions) lead to alienation and disengagement.
In procurement specifically, if the norm is strong ethical conduct, the team will collectively avoid corruption risks. If the norm is to focus only on cost savings, the team may neglect sustainability or supplier relationships.
Conclusion:
Group norms are the unwritten rules that shape behaviour within teams. They can have a powerful effect on performance, either enhancing collaboration and accountability or reducing standards and morale. Managers must actively shape positive norms through leadership, communication, and role-modelling to ensure that group behaviour supports organisational goals.

NEW QUESTION # 28
What is needed for a group to be effective? (15 points). Is it important that each person plays a different role within the group? (10 points).
Answer:
Explanation:
See the Explanation for Detailed Answer
Explanation:
Part A - What is needed for a group to be effective (15 points):
For a group to be effective, several conditions must be in place.
Firstly, the group must have clear objectives and purpose. Without shared goals, members may pull in different directions, leading to inefficiency.
Secondly, strong leadership is needed to guide the group, set direction, and balance concern for people with concern for tasks. Leadership provides motivation and resolves conflicts.
Thirdly, good communication ensures information is shared openly, problems are raised quickly, and collaboration is smooth. In procurement, this means buyers, finance, and operations align on sourcing decisions.
Fourthly, groups need defined roles and responsibilities. Clarity prevents duplication of work and ensures accountability. For example, one person may manage supplier contracts while another handles negotiations.
Finally, trust and cooperation are essential. When group members respect and support each other, they are more willing to share knowledge, take risks, and commit to decisions. Psychological safety is key to team performance.
Part B - Importance of different roles in a group (10 points):
It is important that each person plays a different role within the group. According to Belbin's Team Roles theory, groups are more effective when individuals contribute complementary strengths. Roles may include "Shapers" who drive action, "lants" who bring creativity, "Implementers" who turn plans into reality, and "Monitor Evaluators" who provide critical analysis.
If everyone in the group plays the same role, important skills may be missing. For example, a procurement team made up entirely of "Shapers" may generate energy but lack careful analysis, leading to poor supplier selection. Conversely, a balanced team ensures creativity, organisation, and delivery are all present.
Conclusion:
For a group to be effective, it needs clear goals, leadership, communication, defined roles, and trust. It is also important that members bring different strengths and roles, as this diversity improves problem-solving and ensures the group performs to its full potential.

NEW QUESTION # 29
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