Procurement Management

 

Inputs

Function

Outputs

Identify External Needs

Procurement Planning

Procurement Management Plan; SOWs

Solicitation Preparation

Solicitation Planning

Procurement Documents (RFP or RFQ); Evaluation Criteria; Bid Type (sealed, fixed, lowest cost, FFP, Cost Plus, Time and Material)

Obtain Bids/Proposals from Vendors

Solicitation

Proposals (RFP, RFQ Responses)

Proposal Evaluation

Source Selection

Contract; SOW

Ensure Performance

Contract Administration

Correspondence; Change Control; Payment; Schedule Deviations

Verify Deliverables and Archive Records

Contract Close-out

Contract File; Formal Acceptance and Close-out

Key Factors for Success:   completely document the deliverable service, material, product, SW or idea in a detailed SOW (Statement of Work); read vendor Terms and Conditions carefully for dangerous loopholes; determine nature of prime and sub-contractor relationships; use "legalese" judiciously and only when necessary

Key Techniques and Tools:
  Statement Of Work; word-processing software and printer; fax; teleconferences; email; vendor reference sourcebooks to be sure you are considering all viable options; identify non-negotiables

Key Concepts:
  provide for penalties if schedule and delivery criteria are not met; inspect at critical points or milestones; keep all terms of procurement limited to one single document without references to proposals or bids or prior communications

Back to Project Management

 

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