Project Procurement Management Flashcards
What is Project Procurement Management?
It involves understanding the procurement process to make informed decisions regarding contracts and contractual relationships.
Who typically assumes purchasing authority in smaller organizations?
The project manager may assume the purchasing authority role.
List some roles involved in Project Procurement Management.
Seller, Buyer, Contractor, Client, Subcontractor, Customer, Vendor, Acquiring organization, Service provider, Service requestor, Supplier, Purchaser, Prime contractor.
What is the objective of the Plan Procurement Management process?
To determine if goods and services should be acquired from outside the project and, if so, what, how, and when to acquire them.
What are the inputs to the Plan Procurement Management process?
Project Documents, Organizational Process Assets.
What does the Project Charter contain?
Objectives, project description, summary milestones, and preapproved financial resources.
What is a Business Case?
It aligns with the procurement strategy.
What is the purpose of the Requirements Documentation?
It includes technical requirements and contractual/legal implications.
What are the types of Fixed Price contracts?
Firm Fixed Price (FFP), Fixed Price Incentive Fee (FPIF), Fixed price with economic price adjustments (FPEPA).
What is a Cost plus fixed fee (CPFF) contract?
The seller is reimbursed for all allowable costs and receives a fixed fee calculated as a percentage of the initial estimated costs.
What is a Time and Material contract?
A hybrid type with aspects of both cost-reimbursable and fixed-price contracts.
What is Market Research in the context of procurement?
It includes examination of industry and specific seller capabilities.
What is the purpose of a Bid Document?
To gather information from sellers regarding goods and services.
What is a Request for Proposal (RFP)?
Used when solutions are not readily apparent, requiring a formal procurement process.
What does the Procurement Management Plan include?
Prequalified sellers, timetable of key procurement activities, stakeholder roles and responsibilities.
What is the objective of Conduct Procurements?
To obtain seller responses, select a seller, and award a contract.
What are Seller Proposals?
Prepared in response to procurement document packages and used by an evaluation body to select successful bidders.
What is Claims Administration?
Addresses requested changes where buyer and seller cannot agree on compensation or the occurrence of the change.
What is the objective of Control Procurements?
To manage procurement relationships, monitor contract performance, make changes as necessary, and close out contracts.
What is Earned Value Analysis (EVA)?
Calculates schedule and cost variances along with performance indexes to determine the degree of variance from the target.
What does Closed Procurements entail?
Formal written notice that the contract is complete, ensuring all deliverables meet requirements.
