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Q:What is meant by group conformity? In what ways can ‘Groupthink’ affect the behaviour of a group? (25 points)
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Group Conformity (10 marks):
Group conformity refers to the tendency of individuals to align their attitudes, beliefs, and behaviours with the norms of the group to which they belong. People conform because they want acceptance, fear rejection, or assume the group’s judgement is correct. Conformity ensures cohesion and cooperation but may limit creativity. For example, in procurement, a junior buyer may adopt the team’s approach to negotiations, even if they personally believe another method could achieve better results.
Groupthink and its Effects (15 marks):
‘Groupthink’, a term developed by Irving Janis, occurs when the desire for consensus overrides realistic appraisal of alternatives. Members suppress doubts, ignore risks, and fail to voice disagreements to maintain harmony. This can seriously affect group behaviour in several ways:
Illusion of invulnerability– Groups may become overconfident and underestimate risks. For example, a procurement team might agree to single-source a supplier without considering supply chain risks.
Suppression of dissent– Members may withhold concerns to avoid conflict. This stifles creativity and prevents better solutions from being considered.
Pressure for uniformity– Individuals may feel obliged to agree even when they disagree. A buyer may stay silent when senior managers push for a supplier contract, even if they know the supplier has performance issues.
Biased decision-making– Groups may ignore warning signs or alternative perspectives, leading to flawed decisions. In procurement, this could mean overlooking ethical issues in a supplier relationship to maintain harmony with stakeholders.
Reduced accountability– Responsibility is shared across the group, so individuals may feel less accountable for poor decisions.
Groupthink can therefore lead to poor decision-making, increased risk, and lost opportunities. It is particularly dangerous in high-stakes environments like procurement, where mistakes in supplier selection or contract negotiation can damage cost, quality, and reputation.
Conclusion:
Group conformity means individuals adapt to group norms to gain acceptance, while groupthink is a negative consequence where consensus is prioritised over critical evaluation. For managers, recognising the risk of groupthink is vital. By encouraging open discussion, appointing a “devil’s advocate,” and welcoming diverse views, leaders can ensure group decisions are both inclusive and effective.
Q:Describe 5 characteristics of a role that would make it intrinsically motivating to a potential employee. (25 points).
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Intrinsic motivation comes from within the individual and relates to personal satisfaction, growth, and achievement, rather than external rewards such as pay. TheJob Characteristics Model (Hackman and Oldham)identifies several features of a role that can make it intrinsically motivating.
The first isSkill Variety. A role that allows employees to use a range of skills and abilities prevents boredom and makes the job more stimulating. For example, a procurement professional who undertakes supplier negotiations, contract management, and market analysis will find their role more engaging than one limited to routine administration.
The second isTask Identity. This means being able to complete a whole piece of work from start to finish. Employees are more motivated when they can see a clear outcome. In procurement, this could be managing a sourcing project end-to-end, from supplier selection through to contract award.
Thirdly,Task Significanceadds motivation by making employees aware of the impact of their work on others. If individuals see that their role contributes to organisational goals or wider society, they gain intrinsic satisfaction. For example, a buyer working on sustainable sourcing projects may feel motivated by contributing to environmental and ethical improvements.
The fourth isAutonomy. When employees have control over how they perform their work, they feel trusted and empowered. In procurement, this could mean giving staff flexibility in how they manage supplier relationships or structure negotiations, rather than micro-managing every step.
Finally,Feedbackis a key factor. Employees are motivated when they receive clear information on their performance, either from managers, colleagues, or the work itself. For example, a procurement professional who gets recognition for achieving cost savings or reducing supplier risks will feel intrinsically rewarded.
In summary, roles that offerskill variety, task identity, task significance, autonomy, and feedbackare more likely to be intrinsically motivating. For managers, designing jobs with these characteristics is essential for creating engaged and high-performing teams, particularly in procurement where complex, meaningful, and responsible work opportunities can drive motivation.
Q:Discuss 5 ways in which a Procurement Manager may approach conflict. You may refer to the Thomas Kilmann model in your answer (25 points).
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Conflict is common in organisations and in procurement, where competing priorities, supplier issues, and internal pressures often clash. TheThomas-Kilmann Conflict Modelidentifies five different approaches managers may use to handle conflict, depending on the situation and the desired outcome.
The first approach isCompeting (high concern for task, low concern for people). Here the manager asserts their own position to achieve quick results, even at the expense of relationships. For example, a procurement manager may insist on enforcing compliance with tendering rules despite stakeholder resistance. This is effective in crises but can harm morale if overused.
The second isAccommodating (low concern for task, high concern for people). In this style, the manager prioritises relationships by giving way to the other party’s needs. For instance, a procurement manager might accept a stakeholder’s preferred supplier to maintain goodwill, even if it is not the cheapest option. This preserves harmony but risks poor business outcomes if used too often.
The third approach isAvoiding (low concern for both task and people). Here, the manager withdraws from the conflict or postpones action. This may be appropriate when the issue is minor or when emotions are high, giving time for reflection. However, in procurement, avoiding conflict with a poor-performing supplier may worsen problems over time.
The fourth isCollaborating (high concern for both task and people). This involves working with others to find win-win solutions. For example, a procurement manager may work with finance and operations to balance cost, quality, and sustainability objectives in supplier selection. This is often the most effective approach but requires time and trust.
Finally,Compromising (medium concern for task and people)involves each side giving up something to reach a middle ground. For instance, a procurement manager may agree to split supplier contracts between two stakeholders’ preferences. This provides quick solutions but may leave all parties partially dissatisfied.
Conclusion:
A procurement manager can approach conflict through competing, accommodating, avoiding, collaborating, or compromising. Each has strengths and weaknesses. The best managers adapt their style depending on the importance of the issue, the urgency of the decision, and the relationships involved. In procurement, collaboration often delivers the most sustainable results, but flexibility across all five approaches is key.
Q:How can following the CIPS code of conduct ensure a procurement professional remains unbiased and acts ethically? (25 points).
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TheCIPS Code of Conductsets out the ethical standards expected of procurement professionals. By adhering to this code, buyers are guided to remain impartial, transparent, and fair in all their decisions, ensuring that supplier selection and procurement practices are ethical and free from bias.
Firstly, the code requires professionals to act withintegrity. This means avoiding conflicts of interest, declaring personal relationships with suppliers, and making decisions based on facts and evidence rather than personal preferences. For example, a buyer cannot award a contract to a supplier owned by a friend without declaring the relationship.
Secondly, the code emphasisestransparency and fairness. Procurement professionals must ensure all suppliers are treated equally and given the same information during tendering processes. This prevents favouritism or hidden advantages for certain suppliers.
Thirdly, the code demandsprofessional competence. This includes basing supplier decisions on objective evaluation criteria such as cost, quality, risk, and sustainability, rather than subjective or biased views. By applying standard evaluation models, professionals avoid unconscious bias.
Fourthly, the code promotesaccountability. Procurement professionals are expected to keep proper records of decisions and provide audit trails. This reduces the opportunity for unethical practices such as bribery or corruption and ensures decisions can be justified.
Finally, the code supportssustainability and social responsibility. By considering environmental, ethical, and social factors in procurement, professionals act in the best interests of society and avoid discriminatory or exploitative practices.
Conclusion:
By following the CIPS Code of Conduct, procurement professionals remain unbiased by avoiding conflicts of interest, ensuring fairness, and using objective criteria. They also act ethically by maintaining transparency, accountability, and responsibility to wider society. This builds trust with stakeholders, improves supplier relationships, and protects the reputation of both the individual and their organisation.
Q:What is meant by intrinsic and extrinsic motivation? (10 points). Describe one theory of motivation (15 points).
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Intrinsic and extrinsic motivation (10 points):
Motivation refers to the internal drive that influences people’s behaviour and performance.
Intrinsic motivationcomes from within the individual and is linked to personal satisfaction, enjoyment, achievement, or a sense of purpose. For example, a procurement professional may feel motivated by solving complex supplier challenges or contributing to sustainability goals.
Extrinsic motivationcomes from external rewards such as pay, bonuses, promotions, or recognition. For instance, a buyer might be motivated by achieving cost savings to receive a financial bonus.
Both types of motivation are important in the workplace. Intrinsic motivation sustains long-term commitment, while extrinsic rewards provide short-term incentives. Effective managers balance both to maximise performance.
One theory of motivation (15 points):
A widely used theory isHerzberg’s Two-Factor Theory. Herzberg identified two sets of factors that influence motivation:
Hygiene factors– these do not motivate if present, but if absent, they cause dissatisfaction. Examples include salary, working conditions, policies, supervision, and job security. For example, if procurement staff lack proper tools or fair pay, they may feel dissatisfied, but simply improving pay will not necessarily make them highly motivated.
Motivators– these are intrinsic to the job and lead to satisfaction and motivation. They include achievement, recognition, responsibility, personal growth, and meaningful work. For instance, giving a buyer responsibility to lead a supplier negotiation or recognising their success increases intrinsic motivation.
Herzberg’s theory highlights that managers cannot rely on pay and policies alone. They must remove dissatisfaction by ensuring fair hygiene factors and then boost engagement by providing motivators. In procurement, this could mean ensuring fair contracts, proper systems, and clear processes (hygiene factors), while also giving staff opportunities for training, career progression, and recognition (motivators).
Conclusion:
Intrinsic motivation is about internal satisfaction, while extrinsic motivation relies on external rewards. Herzberg’s theory shows that managers should address hygiene factors to avoid dissatisfaction but must focus on motivators to truly drive performance. For procurement and supply leaders, combining both ensures staff remain engaged, loyal, and productive.
Q:Describe 5 stages of the lifecycle of a group (25 points).
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The lifecycle of a group is often described usingTuckman’s Five Stages of Group Development. This model explains how groups evolve over time, moving from initial formation to effective performance. The five stages are as follows:
1. Forming:
At this stage, the group is coming together for the first time. Members are polite, cautious, and uncertain of their roles. There is little conflict, but people look to the leader for guidance. For example, a new procurement project team might be established to source a new supplier. At this point, roles are unclear, and members rely on the manager to set objectives.
2. Storming:
As individuals begin to assert themselves, conflict often emerges. Differences in working styles, personalities, or priorities can lead to tension. In procurement, this might involve disagreements between finance and operations about whether to prioritise cost savings or quality. The leader’s role here is to manage conflict and keep the team focused on objectives.
3. Norming:
Once conflicts are resolved, the group begins to establish shared norms, values, and ways of working. Roles and responsibilities become clearer, and collaboration improves. In a procurement context, the team may agree on supplier evaluation criteria and work more cohesively to achieve sourcing outcomes.
4. Performing:
The group is now fully functional and works effectively towards its goals. Members trust each other, communication flows well, and productivity is high. For example, the procurement team may now run tendering processes efficiently, negotiate with suppliers, and deliver strong results with minimal supervision.
5. Adjourning (or Mourning):
When the task is complete, the group disbands. This can cause feelings of loss for members who valued the team, but it also creates an opportunity to reflect on lessons learned. In procurement, this could involve completing a sourcing project, closing supplier contracts, and disbanding the cross-functional team after a lessons-learned review.
Conclusion:
The five stages of group development – forming, storming, norming, performing, and adjourning – describe how teams evolve over time. Understanding this lifecycle helps managers support their teams at each stage, managing conflict in storming, reinforcing collaboration in norming, and maximising results during performing. In procurement, applying Tuckman’s model ensures that cross-functional teams move quickly from formation to high performance, delivering greater value to the organisation.
Q:Discuss the importance of the following when entering a negotiation with a new supplier: curiosity, creative thinking, reflective analysis (25 points).
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When entering negotiations with a new supplier, a procurement professional must use a variety of interpersonal and cognitive skills to achieve the best outcome. Three important qualities arecuriosity, creative thinking, and reflective analysis.
Curiosity (8–9 marks):
Curiosity means asking questions, exploring options, and seeking to understand the supplier’s position. In a negotiation, curiosity allows the buyer to uncover the supplier’s motivations, constraints, and priorities. For example, asking why a supplier has higher costs may reveal underlying logistics challenges, which could be solved collaboratively. Curiosity builds rapport, demonstrates interest, and helps procurement move beyond price to explore value-added benefits such as quality improvements or sustainability initiatives.
Creative Thinking (8–9 marks):
Creative thinking is about generating new solutions and finding alternatives to traditional approaches. In negotiation, this may involve looking for win-win outcomes rather than focusing only on cost. For example, instead of demanding lower prices, procurement could propose longer contracts, volume commitments, or joint innovation projects that benefit both parties. Creative thinking expands the scope of negotiation and helps develop more sustainable supplier relationships.
Reflective Analysis (8–9 marks):
Reflective analysis involves reviewing past experiences and learning from them to improve decision-making. Before negotiating, procurement professionals can reflect on what has worked or failed in previous negotiations. During the negotiation, reflective analysis helps assess whether strategies are effective and adapt accordingly. After the negotiation, reflection allows continuous improvement in approach. For example, a buyer may reflect on why a past supplier negotiation failed due to being too aggressive, and adjust by using more collaborative tactics with the new supplier.
Conclusion:
Curiosity helps procurement gather insights, creative thinking enables innovative solutions, and reflective analysis ensures continuous improvement. Together, these skills allow procurement professionals to build trust, secure better value, and establish strong long-term relationships with new suppliers.
Q:What is needed for a group to be effective? (15 points). Is it important that each person plays a different role within the group? (10 points).
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Part A – What is needed for a group to be effective (15 points):
For a group to be effective, several conditions must be in place.
Firstly, the group must haveclear objectives and purpose. Without shared goals, members may pull in different directions, leading to inefficiency.
Secondly,strong leadershipis needed to guide the group, set direction, and balance concern for people with concern for tasks. Leadership provides motivation and resolves conflicts.
Thirdly,good communicationensures information is shared openly, problems are raised quickly, and collaboration is smooth. In procurement, this means buyers, finance, and operations align on sourcing decisions.
Fourthly, groups needdefined roles and responsibilities. Clarity prevents duplication of work and ensures accountability. For example, one person may manage supplier contracts while another handles negotiations.
Finally,trust and cooperationare essential. When group members respect and support each other, they are more willing to share knowledge, take risks, and commit to decisions. Psychological safety is key to team performance.
Part B – Importance of different roles in a group (10 points):
It is important that each person plays a different role within the group. According toBelbin’s Team Roles theory, groups are more effective when individuals contribute complementary strengths. Roles may include “Shapers” who drive action, “Plants” who bring creativity, “Implementers” who turn plans into reality, and “Monitor Evaluators” who provide critical analysis.
If everyone in the group plays the same role, important skills may be missing. For example, a procurement team made up entirely of “Shapers” may generate energy but lack careful analysis, leading to poor supplier selection. Conversely, a balanced team ensures creativity, organisation, and delivery are all present.
Conclusion:
For a group to be effective, it needs clear goals, leadership, communication, defined roles, and trust. It is also important that members bring different strengths and roles, as this diversity improves problem-solving and ensures the group performs to its full potential.
Q:Tania has recently been appointed the new manager of the Procurement Department at a toilet paper manufacturer. She will line manage a team of 8, who all perform different tasks and have a varying level of ability and knowledge. She has noticed that there has been no formal training provided to the team and that some people have been asked to complete tasks they do not feel comfortable with. Overall, performance and morale are both low. Discuss the importance of 1) embedding learning into the culture and 2) role congruence in this scenario (10 points). Describe actions that Tania should take to address the issues (15 points).
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Part A – Embedding Learning into the Culture (5 points):
Embedding learning into the organisational culture means creating an environment where continuous learning and development are valued and encouraged. In Tania’s case, this is vital because the team has had no formal training, which contributes to low skills and low morale. A learning culture ensures employees feel supported in developing new abilities, reduces resistance to change, and prepares staff for future challenges. For procurement, this could involve training on negotiation skills, supplier relationship management, or e-procurement tools.
Part B – Role Congruence (5 points):
Role congruence means ensuring that an individual’s skills, experience, and abilities match the tasks they are assigned. At present, some staff are being asked to complete tasks they are not comfortable with, which lowers confidence and morale. Aligning people’s roles to their capabilities improves job satisfaction, builds confidence, and enhances performance. For example, a staff member skilled in analysis should be allocated spend analysis tasks, rather than being pushed into high-pressure supplier negotiations without support.
Part C – Actions Tania Should Take (15 points):
Training and development programmes– introduce structured training to close knowledge gaps and give staff confidence in their roles.
Role review and alignment– assess individual skills and reassign tasks to match strengths, ensuring role congruence.
Mentoring and coaching– pair experienced staff with less experienced members to support learning and build capability.
Encourage continuous learning– build learning into team culture through workshops, lunch-and-learns, and reflection sessions after projects.
Regular performance reviews– provide feedback, set development goals, and celebrate progress to improve motivation.
Empowerment and involvement– involve staff in identifying training needs and improvement ideas to increase ownership.
Recognition and morale building– acknowledge achievements to rebuild confidence and team spirit.
Conclusion:
Embedding learning into the culture ensures that development is continuous, reducing skills gaps and raising confidence. Role congruence ensures that tasks match people’s abilities, improving morale and performance. For Tania, focusing on training, role alignment, coaching, and recognition will rebuild her procurement team into a skilled, motivated, and high-performing unit.
(Explain 5 different metaphors that can be used to describe an organisation)
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Organisations can be understood in many different ways through metaphors, which help managers and leaders interpret behaviour, culture and performance. Morgan’s metaphors are widely used to explain these perspectives. Five key metaphors are explained below.
The first metaphor is theorganisation as a machine. Here the business is seen like a well-oiled mechanism with standardised processes, clear rules, hierarchy and repeatable outputs. This works well for efficiency and control, for example in a procurement shared services function, but can be rigid and demotivating if flexibility and creativity are required.
The second is theorganisation as an organism. This views the business as a living system that must adapt to its environment. Structures, processes and leadership styles must “fit” the context, whether technological, market-driven or human needs. In procurement, this could be seen when category teams adapt to sudden supply market changes, showing flexibility to survive in a dynamic environment.
The third is theorganisation as a brain. This emphasises learning, feedback loops, and knowledge-sharing, where continuous improvement and innovation are central. Leaders encourage collaboration, reflection and data-driven decision-making. For procurement, this might be using spend analytics, lessons learned from supplier negotiations, and knowledge sharing across teams to improve sourcing strategies.
The fourth metaphor is theorganisation as a culture. This highlights the shared values, beliefs and rituals that shape “how things are done.” Leadership here involves role-modelling behaviours, building ethical cultures, and maintaining consistency between words and actions. In procurement, culture may show through an organisation’s commitment to ethical sourcing, sustainability, and supplier diversity.
Finally, theorganisation as a political systemsees it as an arena of power and influence where decisions are made through negotiation, persuasion and coalition-building. Managers must understand power bases and stakeholder interests. In procurement, for instance, winning senior approval for a sourcing strategy may require influencing finance, operations, and CSR teams with different agendas.
In summary, each metaphor offers insights into how organisations function. The machine focuses on control, the organism on adaptability, the brain on learning, the culture on shared values, and the political system on power and influence. Good leaders in procurement should recognise that all these metaphors may apply in different situations, and use them to manage individuals and teams more effectively.
Q:Describe what is meant by a group ‘norm’, giving examples. (10 points). In what way can group norms affect performance? (15 points).
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Definition of Group Norms (10 marks):
A group ‘norm’ refers to the shared standards of behaviour, values, and expectations that develop within a group. Norms guide how members act and interact, creating predictability and cohesion. They can be formal (set by rules and policies) or informal (emerging naturally over time).
Examples include:
A procurement team having anorm of punctualityfor meetings.
A social norm where colleaguesshare supplier insights openly.
A negative norm, such as tolerating late submission of purchase orders, which may undermine performance.
Norms act as unwritten rules that shape group behaviour and influence the culture of the organisation.
Impact of Group Norms on Performance (15 marks):
Positive norms can enhance performance.For example, a norm of collaboration and knowledge sharing improves innovation and decision-making in procurement projects.
Negative norms can reduce performance.If the team develops a culture of cutting corners in supplier evaluation, this may damage compliance and reputation.
Norms create consistency and cohesion.Members know what is expected of them, reducing conflict and ensuring smoother teamwork.
Peer pressure reinforces norms.High-performing norms, such as meeting deadlines, encourage all members to contribute fully, while low-performing norms, like tolerating absenteeism, can lower standards across the team.
Norms influence motivation and morale.Supportive norms (e.g., recognising achievements) motivate employees, whereas destructive norms (e.g., ignoring contributions) lead to alienation and disengagement.
In procurement specifically, if the norm is strong ethical conduct, the team will collectively avoid corruption risks. If the norm is to focus only on cost savings, the team may neglect sustainability or supplier relationships.
Conclusion:
Group norms are the unwritten rules that shape behaviour within teams. They can have a powerful effect on performance, either enhancing collaboration and accountability or reducing standards and morale. Managers must actively shape positive norms through leadership, communication, and role-modelling to ensure that group behaviour supports organisational goals.