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CPSM-Exam-1 Exam Format | CPSM-Exam-1 Course Contents | CPSM-Exam-1 Course Outline | CPSM-Exam-1 Exam Syllabus | CPSM-Exam-1 Exam Objectives

Exam Name: CPSM Exam 1: Foundation of Supply Management

Certification: Part of the Certified Professional in Supply Management (CPSM) program

Administered By: Institute for Supply Management (ISM)

Exam Format: Multiple-choice questions

Number of Questions: 165 questions

Duration: 2 hours and 45 minutes (165 minutes)

Passing Score: Scaled score of 400 or higher (on a scale of 100 to 600)

Delivery Method: Computer-based testing at approved testing centers or online proctored exam



- Procurement

- Procurement processes and strategies

- Sourcing methods

- single sourcing

- multiple sourcing

- global sourcing

- Supplier identification and selection

- Procurement ethics and compliance

- Procurement technology and tools

- e-procurement

- ERP systems



- Request for Proposal (RFP)

- Request for Quotation (RFQ)

- Purchase Order (PO)

- Total Cost of Ownership (TCO)

- Make-or-Buy Decision

- Strategic Sourcing

- Spend Analysis



- Supplier Relationship Management

- Supplier evaluation and qualification

- Supplier performance management

- Supplier development and collaboration

- Supplier risk management

- Contract management and negotiation



- Key Performance Indicators (KPIs)

- Service Level Agreement (SLA)

- Supplier Scorecard

- Supplier Diversity

- Supplier Relationship Management (SRM)

- Contract Compliance



- Supply Chain Management

- Supply chain design and optimization

- Inventory management

- Just-in-Time

- Economic Order Quantity

- Logistics and transportation management

- Demand planning and forecasting

- Supply chain risk management



- Supply Chain Visibility

- Bullwhip Effect

- Lean Supply Chain

- Demand Forecasting

- Inventory Turnover Ratio

- Lead Time



- Legal and Contractual Issues

- Contract law basics

- Intellectual property rights

- Legal and regulatory compliance

- Dispute resolution mechanisms

- Ethical and sustainable procurement practices



- Uniform Commercial Code (UCC)

- Force Majeure

- Breach of Contract

- Indemnification

- Non-Disclosure Agreement (NDA)

- Incoterms

- FOB

- CIF

- DDP



- Cost and Financial Management

- Cost analysis and reduction strategies

- Budgeting and financial planning

- Total Cost of Ownership (TCO)

- Cost modeling and price analysis

- Financial statements and metrics



- Cost-Benefit Analysis

- Return on Investment (ROI)

- Fixed Costs vs. Variable Costs

- Direct vs. Indirect Costs

- Activity-Based Costing (ABC)

- Working Capital



- Risk Management

- Risk identification and exam

- Risk mitigation strategies

- Supply chain disruptions and contingency planning

- Cybersecurity risks in supply management



- Risk Appetite

- Risk Mitigation

- Business Continuity Planning (BCP)

- Force Majeure

- Risk Register

- Contingency Plan



- Quality Management

- Quality standards and certifications

- ISO 9001

- Quality control and assurance

- Continuous improvement methodologies

- Six Sigma

- Lean

- Supplier quality management



- Total Quality Management (TQM)

- Quality Assurance (QA)

- Quality Control (QC)

- Defect Rate

- Root Cause Analysis

- Continuous Improvement (Kaizen)



- Technology and Data Analytics

- Procurement and supply chain technologies

- ERP

- MRP

- SCM software

- Data analytics and reporting

- Automation and artificial intelligence in supply management

- Blockchain and its applications in supply chain



- Enterprise Resource Planning (ERP)

- Material Requirements Planning (MRP)

- Big Data Analytics

- Predictive Analytics

- Internet of Things (IoT)

- Blockchain



- Sustainability and Social Responsibility

- Sustainable sourcing practices

- Environmental and social responsibility in supply chains

- Ethical sourcing and fair trade

- Circular economy principles



- Corporate Social Responsibility (CSR)

- Carbon Footprint

- Green Procurement

- Circular Supply Chain

- Fair Trade

- Triple Bottom Line

- People

- Planet

- Profit



- Global Supply Management

- Global sourcing strategies

- International trade regulations and compliance

- Cultural considerations in global supply chains

- Currency and payment risks



- Incoterms

- EXW

- CIF

- DDP

- Tariffs and Duties

- Free Trade Agreements (FTA)

- Letter of Credit (LC)

- Exchange Rate Risk

- Global Sourcing



- Project Management

- Project planning and execution

- Stakeholder management

- Project risk management

- Project performance measurement



- Work Breakdown Structure (WBS)

- Critical Path Method (CPM)

- Gantt Chart

- Project Charter

- Stakeholder Analysis

- Project Lifecycle



- Communication and Negotiation

- Effective communication strategies

- Negotiation techniques and tactics

- Conflict resolution

- Cross-functional collaboration



- BATNA (Best Alternative to a Negotiated Agreement)

- Win-Win Negotiation

- Active Listening

- Stakeholder Engagement

- Conflict Resolution

- Persuasion Techniques

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