Chapter 3 - Definitions Flashcards
A document that presents prospective suppliers with a clear, accurate and full description of the organisations needs and enables them to propose a solution to meet those needs.
Procurement Specification
The definition of a business problem or opportunity together with the criteria that define it.
Statement of needs
Teams that involve individuals from different departments who work together towards a common goal. This could be a group of people working on a defined project who come from different functions or departments of the company. It can also include members who are from outside the company, such as suppliers.
Cross functional team
Sets out what the product or service needs to achieve if all stakeholders are to be satisfied.
Business requirements definition
The involvement of a supplier in the product development process from a very early stage in order to use the suppliers experience and expertise.
Early supplier involvement
A detailed document that sets out the precise way that a product must be built or a service delivered and includes any technical drawings, standards that must be met and dimensions.
Design specification
Describe what a product or service should do.
Functional requirements
Describes how a product or service should operate.
Non-functional requirements
The consideration of peoples efficiency in the work environment.
Ergonomics
A detailed technical description together with acceptance criteria that forms the basis of a product design.
Technical (conformance) specification
The permissible limit of a variable used to define a product - for example, it’s physical dimensions
Tolerances
A description of the outputs or outcomes that are expected with the detailed design of the product or service left to the supplier to decide.
Performance specification
Type of performance specification that describes the functions or performance that a product must fulfil. An example of this is the concept of payment by results.
Outcome focused specification
Defined specific deliverables that can be measured in terms of time to deliver, their quality and their cost.
Output specification
Detailed description of the specific tasks or services a contractor must perform under the terms of a contract.
Statement of Work (SoW)
A contract that gives a contractor sole accountability for the design, acquisition, operation, maintenance and disposal of an asset.
Through-Life contracts
Withdraw an item from active use or service.
Decommissioned
A limit placed on the financial obligations of a party within a contract.
Limitation of liability
Lesser terms in a contract which can result in damages but not contractual termination in the event of a breach.
Warranties
A form of testing used to determine of the requirements of a specification or contract are met.
Acceptance testing
A form of testing whether the functions of a product as set out in the specification are achieving their objective.
Functional testing
A person who assumes accountability for a project.
Sponsor
The network of relationships between people who work in a particular environment.
Social capital
Actions taken to lessen the impact of a risk to people or organisations.
Mitigating actions
Document that outlines the key elements of the project.
Project initiation document
Document that authorises the project manager to commence with the project preparation.
Project mandate
The potential benefits foregone as a result of choosing one alternative over another.
Opportunity cost
A graphical representation of how unit costs reduce the greater the number of those items produced.
Learning curve
A tool for facilitating a team based approach that converts customer expectations into a number of potential solutions and then evaluates them to choose the best one.
Pugh analysis
