Certified Professional Public Buyer (CPPB) Practice Test

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A systems contract establishes what?

A single source for one-time purchases
A supply source for a specified period for related materials
A contract focusing only on service delivery
A procurement strategy for international suppliers

The correct answer is: A supply source for a specified period for related materials

A systems contract is designed to create a reliable supply source for a specified period, particularly for related materials. This type of contract facilitates streamlined purchasing and ensures that the buyer can obtain the necessary goods consistently over the contract's duration. Such contracts are useful in situations where ongoing access to materials is crucial, allowing for efficiency and cost-effectiveness in procurement processes tailored to specific needs. In this context, the focus is on the relationship between the supplier and the buyer, where the buyer benefits from pre-negotiated terms that cover multiple purchases over time, which consolidates procurement efforts and often results in better pricing or service terms. This setup is not limited to one-time purchases, nor does it solely focus on service delivery or international suppliers, making it clear why the correct answer pertains to the supply source for related materials over a defined timeframe.