Question 1

Which of the following best explains 'outcome-oriented contract'?

Accepted Answer

A)  How the contractor should deliver the work. 
B)  Specification of desired outcomes of contractor work. 
C)  Where the contractor should deliver the work. 
D)  Specification of required inputs. 
A)  How the contractor should deliver the work. 
B)  Specification of desired outcomes of contractor work. 
C)  Where the contractor should deliver the work. 
D)  Specification of required inputs.

Question 2

Which of the following is an example of a large infrastructure project?

Accepted Answer

A)  A roof repair. 
B)  An office redecoration. 
C)  Building a port. 
D)  Re-surfacing the car park. 
A)  A roof repair. 
B)  An office redecoration. 
C)  Building a port. 
D)  Re-surfacing the car park.

Question 3

Which of the following is a cause of 'agency problem'?

Accepted Answer

A)  Sub-contractors failure to meet milestone deadlines. 
B)  Conflict of interest between buyer and seller due to engineering and planning problems. 
C)  Conflict of interest between buyer and seller due to risk allocation. 
D)  Conflict of interest between buyer and seller due to poor quality performance. 
A)  Sub-contractors failure to meet milestone deadlines. 
B)  Conflict of interest between buyer and seller due to engineering and planning problems. 
C)  Conflict of interest between buyer and seller due to risk allocation. 
D)  Conflict of interest between buyer and seller due to poor quality performance.

Question 4

Which of the following best explains 'construction-only contract'?

Accepted Answer

A)  Contractor designs and provides in accordance with the client's requirements, plant and/or other works. 
B)  Contractor constructs the project in accordance with the design provided by the client. 
C)  Contractor delivers project or work turnkey. 
D)  Contractor completes work at own risk and gets paid long-term payments after delivery. 
A)  Contractor designs and provides in accordance with the client's requirements, plant and/or other works. 
B)  Contractor constructs the project in accordance with the design provided by the client. 
C)  Contractor delivers project or work turnkey. 
D)  Contractor completes work at own risk and gets paid long-term payments after delivery.

Question 5

Which of the following should be incorporated into the general information on supplier selection?

Accepted Answer

A)  Number of employees of suppliers. 
B)  Turnover of suppliers. 
C)  Contract value. 
D)  How bids are evaluated. 
A)  Number of employees of suppliers. 
B)  Turnover of suppliers. 
C)  Contract value. 
D)  How bids are evaluated.

Question 6

Which of the following is a cause of 'agency problem'?

Accepted Answer

A)  Sub-contractors failure to perform due to poor quality performance. 
B)  Conflict of interest between buyer and seller due to information asymmetry. 
C)  Detailed project engineering and planning problems. 
D)  Sub-contractors failure to perform due to poor quality performance. 
A)  Sub-contractors failure to perform due to poor quality performance. 
B)  Conflict of interest between buyer and seller due to information asymmetry. 
C)  Detailed project engineering and planning problems. 
D)  Sub-contractors failure to perform due to poor quality performance.

Question 7

Which of the following best explains 'basic design and engineering'?

Accepted Answer

A)  Activities needed to formulate a concept. 
B)  Activities needed to develop technical specification of the work. 
C)  Activities need to evaluate a project. 
D)  Activities need to implement a technical specification. 
A)  Activities needed to formulate a concept. 
B)  Activities needed to develop technical specification of the work. 
C)  Activities need to evaluate a project. 
D)  Activities need to implement a technical specification.

Question 8

Which of the following best explains 'contract for design-procure-construct (EPC)'?

Accepted Answer

A)  Contractor designs and provides in accordance with the client's requirements, plant and/or other works. 
B)  Contractor constructs the project in accordance with the design provided by the client. 
C)  Contractor delivers project or work turnkey. 
D)  Contractor completes work at own risk and gets paid long-term payments after delivery. 
A)  Contractor designs and provides in accordance with the client's requirements, plant and/or other works. 
B)  Contractor constructs the project in accordance with the design provided by the client. 
C)  Contractor delivers project or work turnkey. 
D)  Contractor completes work at own risk and gets paid long-term payments after delivery.

Question 9

Which of the following best explains 'agent opportunism'?

Accepted Answer

A)  Where the agent is flexible in terms of contract pricing. 
B)  Where the agent is flexible in relation to delivery dates. 
C)  Where the agent will act primarily out of self-interest. 
D)  Where the agent is fully compliant with the contractual requirements. 
A)  Where the agent is flexible in terms of contract pricing. 
B)  Where the agent is flexible in relation to delivery dates. 
C)  Where the agent will act primarily out of self-interest. 
D)  Where the agent is fully compliant with the contractual requirements.

Question 10

Which of the following is a dimension of contract management?

Accepted Answer

A)  Tendering. 
B)  Contracting. 
C)  Goods flow. 
D)  Evaluating. 
A)  Tendering. 
B)  Contracting. 
C)  Goods flow. 
D)  Evaluating.

Question 11

Which of the following is a stage of contract management?

Accepted Answer

A)  Independent evaluation. 
B)  Political approval. 
C)  Deciding to decide. 
D)  Pre-contractual. 
A)  Independent evaluation. 
B)  Political approval. 
C)  Deciding to decide. 
D)  Pre-contractual.

Question 12

Which of the following best describes the concept of bounded rationality in the context of contracts?

Accepted Answer

A)  Complete information available to decision takers. 
B)  All options appraised. 
C)  Objectivity. 
D)  Different contractual perspectives due to incomplete information and self-interest. 
A)  Complete information available to decision takers. 
B)  All options appraised. 
C)  Objectivity. 
D)  Different contractual perspectives due to incomplete information and self-interest.

Question 13

Which of the following best explains 'conflict system'?

Accepted Answer

A)  Contractual relationship where parties pursue different objectives. 
B)  Contractual relationship where parties pursue the same objectives. 
C)  Contractual relationship where parties dispute the contract details. 
D)  Contractual relationship where one party fails to meet their contractual requirements. 
A)  Contractual relationship where parties pursue different objectives. 
B)  Contractual relationship where parties pursue the same objectives. 
C)  Contractual relationship where parties dispute the contract details. 
D)  Contractual relationship where one party fails to meet their contractual requirements.

Question 14

Which of the following best explains 'value chain perspective'?

Accepted Answer

A)  Contracts are closed based on recognizing interests of key supply chain partners. 
B)  Contracts are open to any seller in the supply chain. 
C)  Contracts are closed based upon the client's key interests and requirements. 
D)  Contracts are based on interests of seller only. 
A)  Contracts are closed based on recognizing interests of key supply chain partners. 
B)  Contracts are open to any seller in the supply chain. 
C)  Contracts are closed based upon the client's key interests and requirements. 
D)  Contracts are based on interests of seller only.

Question 15

In the key elements of the contracting process which element comes before project execution and after detailed project engineering and planning?

Accepted Answer

A)  Basic design and engineering. 
B)  Claims. 
C)  Sending out the invitation to tender. 
D)  Subcontracting and procurement. 
A)  Basic design and engineering. 
B)  Claims. 
C)  Sending out the invitation to tender. 
D)  Subcontracting and procurement.

Question 16

Which of the following best explains an 'order-to-pay' system?

Accepted Answer

A)  A system allowing project support staff to order materials and services using the company's corporate purchasing agreements. 
B)  A system allowing orders to be placed with any supplier. 
C)  A cash ordering system. 
D)  A system where project support staff pay for their own orders then claim the expenditure back from their employers. 
A)  A system allowing project support staff to order materials and services using the company's corporate purchasing agreements. 
B)  A system allowing orders to be placed with any supplier. 
C)  A cash ordering system. 
D)  A system where project support staff pay for their own orders then claim the expenditure back from their employers.

Question 17

Which of the following is a stage of contract management?

Accepted Answer

A)  Research. 
B)  Contract negotiations. 
C)  Concept. 
D)  Independent evaluation. 
A)  Research. 
B)  Contract negotiations. 
C)  Concept. 
D)  Independent evaluation.

Question 18

Complex construction projects require which of the following?

Accepted Answer

A)  Management. 
B)  Professional contract management. 
C)  Suppliers. 
D)  Materials. 
A)  Management. 
B)  Professional contract management. 
C)  Suppliers. 
D)  Materials.

Question 19

Which of the following is not a requirement of complex construction projects?

Accepted Answer

A)  Professional contract management. 
B)  Multiple decision-takers. 
C)  Professional procurement. 
D)  Professional project management. 
A)  Professional contract management. 
B)  Multiple decision-takers. 
C)  Professional procurement. 
D)  Professional project management.

Question 20

Which of the following is a stage of contract management?

Accepted Answer

A)  Concept. 
B)  Independent evaluation. 
C)  Post-contractual. 
D)  Research. 
A)  Concept. 
B)  Independent evaluation. 
C)  Post-contractual. 
D)  Research.

Which of the following best explains 'outcome-oriented contract'?

Which of the following is an example of a large infrastructure project?

Which of the following is a cause of 'agency problem'?

Which of the following best explains 'construction-only contract'?

Which of the following should be incorporated into the general information on supplier selection?

Which of the following is a cause of 'agency problem'?

Which of the following best explains 'basic design and engineering'?

Which of the following best explains 'contract for design-procure-construct (EPC)'?

Which of the following best explains 'agent opportunism'?

Which of the following is a dimension of contract management?

Which of the following is a stage of contract management?

Which of the following best describes the concept of bounded rationality in the context of contracts?

Which of the following best explains 'conflict system'?

Which of the following best explains 'value chain perspective'?

In the key elements of the contracting process which element comes before project execution and after detailed project engineering and planning?

Which of the following best explains an 'order-to-pay' system?

Which of the following is a stage of contract management?

Complex construction projects require which of the following?

Which of the following is not a requirement of complex construction projects?

Which of the following is a stage of contract management?

The Role of Purchasing in the Value Chain

Industrial Buying Behavior: Decision-Making in Purchasing

The Purchasing Management Process

Buying Business Services

Public Procurement

Purchasing and Business Strategy

Outsourcing and Risk Management

Category Sourcing: Developing Effective Sourcing Strategies

Purchasing Innovation and Quality Management

Purchasing Logistics and Supply Chain Management

Purchasing Organization

Performance Measurement and Governance in Purchasing

Cost Approaches and Techniques

Purchasing, Corporate Social Responsibility and Integrity

Filters

Exam 5: Contract Management for Complex Projects

Which of the following best explains 'outcome-oriented contract'?

Which of the following is an example of a large infrastructure project?

Which of the following is a cause of 'agency problem'?

Which of the following best explains 'construction-only contract'?

Which of the following should be incorporated into the general information on supplier selection?

Which of the following is a cause of 'agency problem'?

Which of the following best explains 'basic design and engineering'?

Which of the following best explains 'contract for design-procure-construct (EPC)'?

Which of the following best explains 'agent opportunism'?

Which of the following is a dimension of contract management?

Which of the following is a stage of contract management?

Which of the following best describes the concept of bounded rationality in the context of contracts?

Which of the following best explains 'conflict system'?

Which of the following best explains 'value chain perspective'?

In the key elements of the contracting process which element comes before project execution and after detailed project engineering and planning?

Which of the following best explains an 'order-to-pay' system?

Which of the following is a stage of contract management?

Complex construction projects require which of the following?

Which of the following is not a requirement of complex construction projects?

Which of the following is a stage of contract management?

The Role of Purchasing in the Value Chain

Industrial Buying Behavior: Decision-Making in Purchasing

The Purchasing Management Process

Buying Business Services

Public Procurement

Purchasing and Business Strategy

Outsourcing and Risk Management

Category Sourcing: Developing Effective Sourcing Strategies

Purchasing Innovation and Quality Management

Purchasing Logistics and Supply Chain Management

Purchasing Organization

Performance Measurement and Governance in Purchasing

Cost Approaches and Techniques

Purchasing, Corporate Social Responsibility and Integrity

Filters