Certified Public Procurement Officer (CPPO) Practice Test 2025 - Free CPPO Practice Questions and Study Guide

Question: 1 / 400

Which analytics would be considered a part of predictive procurement?

Post-purchase evaluations

Supplier feedback surveys

Trend forecasting analysis

Predictive procurement focuses on using data analytics to anticipate future trends and behaviors in the supply chain, enabling organizations to make informed decisions that enhance efficiency and effectiveness. Trend forecasting analysis embodies this principle as it involves analyzing historical data to identify patterns and predict future outcomes related to spending, demand, or supplier performance.

Through trend forecasting, procurement professionals can anticipate changes in market conditions, adjust inventory levels accordingly, and strategically negotiate contracts based on projected needs. This type of analysis helps organizations prepare for future challenges and opportunities, ultimately contributing to more strategic procurement practices.

In contrast, post-purchase evaluations are retrospective assessments that analyze past purchases rather than predicting future performance. Supplier feedback surveys focus on gathering current opinions from suppliers but do not provide predictive capabilities. Cost-per-item assessments evaluate current or past expenses but lack the forward-looking insight that trend forecasting provides. Thus, trend forecasting analysis is a key component of predictive procurement, making it the correct answer.

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Cost-per-item assessments

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