Procurement Mgmt Flashcards
(51 cards)
What is the process of procurement mgmt?
- Plan procurement
- Conduct procurements
- Adminster procurements
- Close procurements
Name the inputs to procurement mgmt process
- Enterprise environmental assets
- Organizational process assets
- Scope baseline
- Risk register
- Project schedule
- Initial cost estimates for contracted work
- Cost baseline for the project
What are key outputs of the Plan Procurements Process
- Procurement Mgmt Plan
- Procurement Statement of Work
- Make-Or-Buy decisions
- Procurement documents
What are key outputs of the Conduct Procurements process?
- Selected sellers
- Procurement contract
What are key outputs of the Administer Procurements process?
- Procurement documentation
- Change requests
- Project mgmt plan updates
What are key outputs of the Close procurements process?
Closed procurements
Formal Acceptance
What is a procurement mgmt plan?
A plan for how each procurement will be adminstered
What is the difference btwn centralized & de-centralized contracting?
Centralized Contracting: Ther is 1 procurement, and the procurement mgr handles procurements on many projects
Decentralized contracting: A procurement mgt is assigned to one project full-time and reports direclty to the project mgr
What is required for a legal contract?
Offer
Acceptance
Consideration
Legal capacity
Legal purpose
What is a contract?
It may include all of the following:
- Legal terms
- Business terms
- procurement statement of work
- Marketing literature
- Drawings
Describe the project manager’s role in procurement
- Understand the procurement process
- Make sure the work described in the contract is complete
- Be involved in the whole procurement process
- Help tailor the contract to the project
- Incorporate mitigation and allocation of risks into the contract
Name the advantages of centralized contracting
Increased expertis in contracting
Standardized practices
Clear career paths
Name the disadvantages of centralized ocntracting
One person works on may projects
It may be difficult to obtain contracting help when needed
Name advantages of decentralized contracting
Esier acces to contracting expertise
More loyalty to the project
Name the disadvantages of decentralized contracting
No home for contracts person after the project
Less focus on improving contracting expertise
Inefficient use of resources
Little standardization of contracting processes from one project to the next
What is a make or buy decision?
Analysis of whether the performing organzation should do the work or buy th services/supplies from outside the organization
What are the main types of contracts?
Cost reimburseable
Fixed price
Time and material
What is a cost re-imbursable contract?
All costs are reimbursed
What is a cost plus fixed-fee contract?
All costs are reimbursed
The fee is fixed at a certain monetary amount
What is a cost plus percentage of cost contract?
All costs are reimbursed plus a specific percentage of costs as fee or profit
What is a cost plus incentive fee contract?
Costs are reimbursed plus an incentive, usually an additional fee, for exceeding performance criteria tha thave been determined in advance
What is a time and material contract?
Usually a fixed hourly rate of a fixed cost per item, plus a reimbrsable component for expenses or material
What is a fixed price contract?
There is only one fee fora ccomplsihing all the work
What is a fixed price incentive fee contract?
Total price is fixed, but an additional amount may be paid for exceeding performance criteria determined in advance
