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Question 13/41
What is the mainadvantagefor a supplier using a pain-share contract?
Correct Answer: B
Pain/gain share arrangements distribute both upside (gain) and downside (pain) between buyer and supplier, promoting fairness and shared accountability. This shared-risk structure encourages collaboration and continuous improvement.
Reference:CIPS L5M15 -Risk and Reward Sharing in Contracts.
Reference:CIPS L5M15 -Risk and Reward Sharing in Contracts.
- Question List (41q)
- Question 1: Which of the following is anegativebody-language signal?...
- Question 2: Research by Meredith Belbin into team roles and predicting s...
- Question 3: InHerzberg's Two-Factor Theory, which of the following facto...
- Question 4: Which of the following isnotan example of an environmental K...
- Question 5: In a negotiation that centres onBehavioural Negotiation tact...
- Question 6: In which part of the relationship cycle is a supplier likely...
- Question 7: Haggling and coercive behaviour can lead to a win-win outcom...
- Question 8: Which stage of team development is typically characterised b...
- Question 9: Principled Negotiation is an approach that attempts to achie...
- Question 10: The pain/gain share approach is used to incentivise contract...
- Question 11: Why is it important to build rapport during a negotiation?...
- Question 12: Josh plans to use a Myers-Briggs assessment for junior candi...
- Question 13: What is the mainadvantagefor a supplier using a pain-share c...
- Question 14: DSA is expanding its procurement team and wants recruits wit...
- Question 15: Mohammed is a Procurement Manager who believes push influenc...
- Question 16: Which of the following aredisadvantagesof entering into a st...
- Question 17: When assessing risks of a potential negotiation, you should ...
- Question 18: Holding a meeting is the best way to communicate outcomes of...
- Question 19: Which of the following isnota personality characteristic in ...
- Question 20: What was the principal conclusion of the Hawthorne experimen...
- Question 21: What is meant by "marginal gains"?...
- Question 22: Robert and Debbie want to formalise a business relationship ...
- Question 23: In which circumstances may a buyer suggest that a negotiatio...
- Question 24: A manager identifies an issue and discusses it with the team...
- Question 25: Which of the following areincentivesto increase supplier per...
- Question 26: Using praise or flattery in a negotiation is the use of whic...
- Question 27: Which of the following are examples ofreciprocated concessio...
- Question 28: Which of the following tactics would be considered ahardtact...
- Question 29: Peter is negotiating with a supplier and is not concerned ab...
- Question 30: Which of the following behaviours can lead to a breakdown in...
- Question 31: The win-lose approach to negotiation is also sometimes known...
- Question 32: Alan needs to communicate the outcome of a negotiation to hi...
- Question 33: The negotiation tactic in which a person enters with preconc...
- Question 34: Khalid has finished a negotiation and needs to communicate t...
- Question 35: When you have awareness of a skill but are not yet proficien...
- Question 36: Bob is preparing for a negotiation with an important potenti...
- Question 37: Daniel is the lead negotiator for a deal with a potential su...
- Question 38: Kelly is a lead negotiator preparing for a meeting with a su...
- Question 39: Procurement or contract risk can come in many forms. A STEEP...
- Question 40: Under what circumstances would you useparallel workingwith t...
- Question 41: Which of the following areadvantagesof videoconferencing?Sel...
