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CIPS L6M5 Exam Syllabus Topics:

Topic	Details
Topic 1	Understand program leadership approaches: This section measures the skills of Programme Leaders in understanding strategic cost management approaches. It covers budgetary control, value engineering, and cost transparency methods. A key skill measured is assessing strategic cost management techniques effectively.
Topic 2	Understand contracting for programmers: This section measures the skills of Contract Managers and focuses on comparing various contracting options for programs. It includes client-coordinated approaches, engineering procurement and construction (EPC) contracts, management contracting, and public-private partnerships. A key skill measured is the ability to evaluate different contract types effectively.
Topic 3	Understand the role of culture on achieving program success: This section measures the skills of Organizational Development Specialists in understanding organizational culture's impact on program success. It covers identifying culture types and levels within organizations. A key skill measured is critically assessing organizational culture's influence.

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Valid L6M5 - Strategic Programme Leadership New Cram Materials

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CIPS Strategic Programme Leadership Sample Questions (Q28-Q33):

NEW QUESTION # 28
In a fixed lump sum contract, this pricing mechanism does not allow for any changes in price. Is this statement TRUE?
Fixed lump sum contracts are widely used in construction and infrastructure projects.
Answer Options:

A. No - price variations are permitted if they are written into the contract
B. No - price changes are allowed as it is impossible to predict prices concretely in advance
C. Yes - the contractor assumes all risks should they exceed the budget
D. Yes - the price is fixed before the contract is signed

Answer: A

Explanation:
Fixed Lump Sum contracts allow limited price changes under specific conditions (p.55), such as client variation requests, force majeure, or inflation adjustments. Firm Fixed Price contracts, however, do not allow any changes. [P.55]

NEW QUESTION # 29
Which of the following statements about investment appraisal techniques are true? (Select all that apply.) Answer Options:

A. Payback analysis ignores cash flow after the business recovers its costs
B. Non-discounted cash flow methods focus on profit maximization
C. Internal Rate of Return (IRR) can be used with Net Present Value (NPV)
D. Return on Capital Employed (ROCE) is expressed as a percentage of the value of assets used to generate profit

Answer: A,C,D

Explanation:
Option B is correct - ROCE is expressed as a percentage (p.87).
Option C is correct - Payback Analysis only considers the break-even point (p.83).
Option D is correct - IRR and NPV are often used together (p.82).
Option A is incorrect - Profit maximization is not the primary focus of non-discounted cash flow methods. [P.82-87]

NEW QUESTION # 30
Glitter Kitten Ltd negotiates a contract with Paw Ltd (new supplier).
Q: What pricing mechanism is best for visibility into supplier costs and margins?
Answer Options:

A. Bottom-Up Pricing
B. Cost Reimbursable Contract
C. Activity-Based Costing
D. Open-Book Costing

Answer: D

Explanation:
Open-Book Costing (p.2.1) ensures visibility into supplier costs and margins, which matches the CEO's request.
Cost Reimbursable (B) covers unknown costs, but does not provide transparency.
Bottom-Up Pricing (C) estimates project costs from smaller parts.
Activity-Based Costing (D) assigns costs per activity, but does not guarantee supplier transparency. [P.2.1]

NEW QUESTION # 31
Which culture type is task-oriented, structured, and uses logic for decisions?
Answer Options:

A. Linear-Active
B. Proactive
C. Reactive
D. Multi-Active

Answer: A

Explanation:
A Linear-Active culture (p.176) focuses on logic, organization, and process-based decision-making.
Multi-Active (B) focuses on emotions and relationships.
Reactive (C) adapts to external changes.
Proactive (D) anticipates change, but does not define structure. [P.176]

NEW QUESTION # 32
Golden Rainbow Ltd has invested £4m in a new research project started three years ago. The CFO calculates that the average rate of return on the project is -6%. Is this possible?

A. no - a rate of return is always displayed as a positive number
B. yes - but this is likely to change to a positive figure shortly
C. no - a rate of return is expressed in years rather than as a percentage
D. yes - projects can have a negative rate of return

Answer: D

Explanation:
A negative rate of return indicates that the project is generating a loss of 6% per annum.

NEW QUESTION # 33
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