MNP2601- Purchasing And Supply Management (MNP2601)
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MNP2601
EXAM
PACK 2023
,MNP3701 PAST PAPER
SOLUTIONS &
SUMMARY OF
COMMON SECTIONS
SOLUTIONS FOR JUNE / JULY 2020
SOLUTIONS FOR JUNE / JULY 2021
SOLUTIONS FOR OCT / NOV 2021
COMMON EXAM SECTIONS - SUMMARY NOTES
,JUNE / JULY 2020 SOLUTIONS
SECTION A
Q 1.1 [c] Bottleneck: Page 221 of the Textbook
Q 1.2 [a] When a supplier produces a new part for an aircraft
: Page 476 of the Textbook
Q 1.3 [c] The supplier is reluctant to share information on costs or processes
: Page 345 of the
Textbook
Q 1.4 [b] When the specification or requirements are clear to the seller
: Page 502 of the
Textbook
Q 1.5 [a] Commodities: Page 416 of the Textbook
SECTION B
2.1
1. BEE Ownership and Control Status Page 50 of the study guide - As stated in the Case
Study this was a requirement
2. Scheduling and Control System Page 269 of the textbook - Does the supplier’s scheduling
system support a purchaser’s delivery requirements? What lead time does the supplier’s
scheduling and control system require?
2.2
1. Process and Technology Capability Page 266 of Textbook - the DoH requirement has changed
from 3000 to 4500 per month
2. Total Quality Performance, Systems and Philosophy - Page 266 of the Textbook (this will address
quality issues highlighted)
3. E-Commerce Capability - Page 270 and 271 of the textbook (better forms of communication
available - supplier communicated by email and phone which is unreliable)
2.3 Characteristics on Page 13 of Study Guide
1. Form Cross Functional Development Teams Page 341 of textbook
2. Measure Supplier Performance on Page 324 of the textbook
2.4 Page 309 of the Textbook - Quality standards, such as ISO 9001:2008 and ISO 14001:2004, are
designed to create and maintain process consistency in the production of goods and services. In
turn, these standards can provide the user or customer with greater confidence that purchased
goods and services will satisfactorily meet its requirements -
, SECTION C
Title
Table of contents
Introductions
Main Discussions:
Probable Pricing Strategies
1. Price Volume Model Page Page 421 of textbook - Makro, Jumbo, Builders Trade Depot?
2. Competition Pricing Model Page 425 of Textbook - Game, Dion Wired, Builders Warehouse,
Builders Express, Builders Superstore
3. Market Share Model - Cambridge Food, Rhino
Supply Base Risks - Page 350, Exhibit 9.11
1. Political - Walmart’s offshore expansion has not inspired more American interest in investing in
South Africa, because of the local government’s stringent foreign investment laws.
2. Market - Makro and pick n Pay have become very competitive considering the loyalty cards, eg,
discounts are given on products if volumes are increased
Sourcing - there are also issues with language, communication, and time differences. There are many
African languages spoken throughout Africa
4. Financial - When shipping pipelines are lengthened,
inventory carrying costs become greater, for example, inventory investment, storage
and warehousing costs, material handling, loss and damage, taxes, obsolescence, and lost
opportunity costs. This is being experienced globally due to the Covid-19 Pandemic. Currency
fluctuations is also a concern
Supplier Company - Here, the buyer
should be concerned with the supplier’s current financial stability and future liability. Covid-19 has
caused increased instability in many countries
Suggestions
Page 353, Exhibit 9.12
Conclusion
List of sources consulted/bibliography
Declaration
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