Dates & Fees
Course Description
According to the PMBOK Guide, Project Procurement Management encompasses the processes necessary to purchase or acquire products, services, or results needed from outside the project team. It involves agreements between the buyer and the seller. Examples of agreements include contracts, purchase orders, memoranda of understanding (MOUs), service level agreements (SLAs), and other similar documents. Therefore, there can be significant legal obligations and penalties tied to the procurement process.
This course equips learners with the skills needed for identifying potential sellers, obtaining seller responses, selecting suitable sellers, awarding contracts, managing procurement relationships, monitoring contract performance, and closing out contracts.
Course Objectives
After completing this course, learners will be able to demonstrate an understanding of the following Project Procurement Management processes:
- Plan Procurement Management. The process of documenting project procurement decisions, specifying the approach, and identifying potential sellers. The key benefit of this process is that it determines whether to acquire goods and services from outside the project and, if so, what to acquire, how to acquire it, how much is needed, and when to acquire it.
- Conduct Procurements. The process of obtaining seller responses, selecting a seller, and awarding a contract. The key benefit of this process is that it selects a qualified seller and implements the legal agreement for delivery. The end results of the process are the established agreements including formal contracts.
- Control Procurements. The process of managing procurement relationships, monitoring contract performance, making changes and corrections as appropriate, and closing contracts. The key benefit of this process is that it ensures that both the seller's and buyer's performance meets procurement requirements according to the terms of the legal agreement.
Key Concepts
The key concepts for Project Procurement Management include:
- The project manager should be familiar enough with the procurement process to make intelligent decisions regarding contracts and contractual relationships.
- Procurement involves agreements that describe the relationship between a buyer and a seller.
- Agreements can be simple or complex, and the procurement approach should reflect the degree of complexity.
- An agreement can be a contract, a service-level agreement, an understanding, a memorandum of agreement, or a purchase order.
- Agreements must comply with local, national, and international laws regarding contracts.
- The project manager should ensure that all procurements meet the specific needs of the project while working with procurement specialists to ensure organizational policies are followed.
- The legally binding nature of an agreement means it will be subjected to a more extensive approval process, often involving the legal department, to ensure that it adequately describes the products, services, or results that the seller is agreeing to provide.
- A complex project may involve multiple contracts simultaneously or in sequence.
- The buyer-seller relationship may exist at many levels on any one project and between organizations internal to and external to the acquiring organization.
Who is the Training Aimed at?
This course is tailored for project management practitioners who wish to gain in-depth knowledge of the Project Procurement Management Knowledge Area.
Entry Requirements:
- Grade 12 or Equivalent, OR
- Basic Project Management Experience, OR
- Project Management for Beginners Course