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CPM521S - Contract And Performance Management - 2nd Opp - Nov 2025 |
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nAm I BIA UnlVERSITY
OF SCIEnCE Ano TECHnOLOGY
FACULTY OF COMMERCE, HUMAN SCIENCES AND EDUCATION
DEPARTMENT OF MARKETING, LOGISTICS AND SPORTS MANAGEMENT
QUALIFICATION: BACHELOR OF PROCUREMENT & SUPPLY CHAIN MANAGEMENT
QUALIFICATION CODE: 07BPSM
COURSE CODE: CPM521S
LEVEL: 5
COURSE NAME: CONTRACT AND PERFORMANCE
MANAGEMENT
SESSION: NOVEMBER 2025
PAPER: THEORY
DURATION : 3 HOURS
MARKS: 100
SECOND OPPORTUNITY EXAMINATION QUESTION PAPER
EXAMINER(S)
MODERATOR:
MS. SELMA KAMBONDE (FT)
MS. HELVI KAULINGE (FT)
MS. SARA NAMBINGA (FT)
MS. JUDITH TJITUKA (FT)
MR. NORWIN OOSTHUIZEN (PT/DI)
MR. THOMAS MWAHENUKANGE (EF/ED)
DR. HELVI PETRUS
INSTRUCTIONS
1. Answer ALL the questions.
2. Write clearly and neatly.
3. Number the answers.
4. Pay attention to the mark allocation when formulating your answers.
THIS QUESTION PAPER CONSISTS OF 4 PAGES (Including this front page)
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SECTION A: MATCHING
QUESTION 1: (20 MARKS)
Match the following concepts in Column A with the correct Statement/ Scenarios in Column
B. Write only the question number and the corresponding letter of the correct match.
Example: 1- B. Each answer is equivalent to 2 marks.
Column A
1. Strategic Sourcing
2. Cost-Benefit
Analysis
3. Breach of Contract
4. Outsourcing
5. Win-Win
Negotiation
6. KPls
7. Debarment
8. Litigation
9. Mediation
10. Arbitration
11. Performance Risk
Column B
A. A furniture supplier fails to deliver school desks for the Ministry
of Education, leaving classrooms without desks for learners.
B.A fishing company and a logistics provider strike a deal where
transport fees are reduced in exchange for a long-term delivery
contract.
C. A logistics firm delivering textbooks for the Ministry of
Education is assessed on delivery time, vehicle condition, and
customer complaints.
D. Nam Power must decide between importing transformers from
China at lower cost but longer lead times or buying locally at
higher prices but with immediate availability.
E. A construction company is caught colluding on tender prices for
a Ministry of Works project and is blocked from bidding for five
years.
F. Ministry of Agriculture weighs whether to invest in irrigation
schemes in Kavango East, given high capital costs but long-term
food security benefits.
G. A leading Namibian commercial bank signs a long-term contract
with a private IT services provider to take over the management
of its core banking systems. Months later, the bank experiences a
massive data breach that exposes sensitive customer information,
raising questions about allocating responsibilities under the
contract.
H. A state-owned enterprise awarded a contract for road
rehabilitation with a 12-month completion deadline. When
reviewed, the project had already gone 8 months over schedule,
severely disrupting regional transport and creating reputational
risks for the government.
I. A medical oxygen supplier is compelled by the High Court to
deliver tanks to state hospitals during COVID-19 after withholding
supply over pricing disputes.
J. NamPost and a local courier company conflict over late parcel
deliveries. Instead of going to court, both parties agree to sit with
a neutral facilitator who guides discussions until they find a
middle-ground solution. The facilitator's suggestions are not
binding, but they help the parties reach an agreement.
K. A Namibian construction firm negotiating with a foreign cement
supplier, considers switching to South African imports if price
demands are not met.
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12. Specific
Performance
13. Minor Breach
14. BATNA
15. Procurement
Methods
L. During flash floods, the Office of the Prime Minister uses
emergency procurement instead of open bidding to source tents
and food for affected communities.
N. NamPower and a South African turbine supplier disagree over
penalties for project delays. Their contract states that any
disputes must be referred to an independent panel in
Johannesburg, whose final ruling both parties must legally follow.
M. Namibia Breweries receives a shipment of bottles one week
late; production continues, but the delay triggers increased
overtime costs for factory workers.
O. A local contractor sues the Ministry of Works in the High Court
after payment delays cripple a rural school construction project,
with taxpayers ultimately footing the legal bill.
SECTION A: 20 TOTAL MARKS
SECTION B: STRUCTURED QUESTIONS
QUESTION 2 {20 MARKS)
A recent newspaper article reported that Namibia Transport Holdings signed a N$30 million
contract with a logistics company to supply 50 new buses for the public transport system in
Windhoek by March 2025. The buses were meant to reduce congestion and improve access
for commuters. However, only 15 buses had arrived by the delivery date, and several did not
meet the agreed safety and quality standards. The delay has caused operational disruptions,
loss of revenue, and frustration among commuters facing transport shortages. Namibia
Transport Holdings is now exploring possible legal remedies to address the breach of contract.
Based on the provided newspaper article, practically discuss any six potential remedies for
breach of contract, referring to the case scenario in your answer?
(20 Marks)
QUESTION 3 {36 MARKS)
CVB Manufacturing, a major automobile company, is procuring specialised machinery for its
production facility. The company has entered into contractual negotiations with multiple
suppliers to secure the required equipment. Each supplier has proposed different terms and
pricing structures, highlighting the need for a variety of procurement contract types. As part
of these negotiations, CVB Manufacturing and its suppliers are addressing several key issues,
with both parties aiming to safeguard their interests and ensure the smooth and successful
execution of the contracts.
3.1 Briefly discuss four contractual agreements commonly used between buyers and suppliers
in procurement. For each type of contract, explain the context in which it is most often applied
and outline the benefits it offers either to the buyer or the supplier?
(20 marks)
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3.2 Identify and analyse the five important negotiation areas where buyers and sellers can
agree, explaining why each issue is crucial for both parties and how it impacts the final
contract outcome?
(16 marks)
SECTION B: 56 TOTAL MARKS
SECTION C : CONCEPTS
QUESTION 4: (24 MARKS)
Write short notes on the following procurement contract concepts in your own words. Provide
a brief explanation of each one of the concepts and one relevant example for each, drawn
from procurement and supply chain practice in Namibia or internationally?
(24 marks)
3.1 Contract Lifecycle Management
3.2 Accommodating Negotiation
3.3 Material breach
3.4 Indemnity Clause
3.5 Electronic Procurement
3.6 Value Chain Analysis
3.7 JIT
3.8 Procurement Methods
(3 marks)
{3 marks)
{3 marks)
{3 marks)
(3 marks)
(3 marks)
{3 marks)
(3 marks)
SECTION C: 24 TOTAL MARKS
TOTAL MARKS:100 MARKS
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