PMP Exam Prep – Project Procurement Management

Project Procurement Management

  • The Processes necessary to purchase or acquire products, services, or results needed from outside the project team.

4 Process in Project Procurement Management

  1. Plan Procurement Management
  2. Conduct Procurement
  3. Control Procurement
  4. Close Procurement

Plan Procurement Management

  • The process of documenting project purchasing decisions, specifying the approach, and identifying potential sellers.

Key Inputs

  • Project Management Plan
  • Requirements documentation
  • Risk Register
  • Project Schedule
  • Activity resource requirements
  • Activity Cost Estimates
  • Stakeholder Register
  • Enterprise Environmental Factors
  • Organizational Process Assets

Tools and Techniques

  • Make-or-Buy Analysis
  • Expert Judgement
  • Market Research
  • Meetings

Key Outputs

  • Procurement Management Plan
  • Procurement Statement of Work (SOW)
  • Procurement Documents
  • Source Selection Criteria
  • Make-or-Buy Decisions
  • Project Documents Updates

Conduct Procurement

  • The process of obtaining seller responses, selecting a seller and awarding contracts.

Key Inputs

  • Procurement Management Plan
  • Procurement Documents
  • Source Selection Criteria
  • Seller Proposals
  • Project Documents
  • Make-or-Buy decisions
  • Procurement Statement of Work (SOW)
  • Organizational Process Assets

Tools and Techniques

  • Bidder Conferences
  • Proposal Evaluation Techniques
  • Independent Estimates
  • Expert Judgement
  • Advertising
  • Analytical Techniques
  • Procurement Negotiations

Key Outputs

  • Procurement Agreements
  • Selected Sellers
  • Resource Calendars
  • Change Requests
  • Project Management Plan updates
  • Project Documents Updates

Control Procurement

  • Managing Procurement relationships, monitoring contract performance, and making changes as needed

Key Inputs

  • Project Management Plan
  • Project Documents
  • Agreement Between The Parties
  • Approved Change Requests
  • Work Performance Requests
  • Work Performance Data

Tools and Techniques

  • Contract Change Control System
  • Procurement Performance Reviews
  • Inspections and Audits
  • Performance Reporting
  • Payment Systems
  • Claims Administration
  • Records Management System

Key Outputs

  • Work Performance Information
  • Change Request
  • Project Management Plan Updates
  • Project Documents Updates
  • Organizational Process Assets Updates

Close Procurements

  • The process of completing each project procurement.

Key Inputs

  • Projcet Management Plan
  • Procurement Management Plan
  • Procurement Documents

Tools and Techniques

  • Procurement Audits
  • Procurement Negotiations
  • Records Management System

Key Outputs

  • Closed Procurements
  • Organizational Process Assets Updates.
"Material in this blog post are based on the text, Project Management Institute, A Guide to the Project
Management Body of Knowledge (PEMBOK Guide), Fifth Edition, Project Management, Institute, Inc 2013"

"The definitions in this blog post are taken from the Glossarey of the Project Management Institue,
A Guide to the Project Management Body of Knowledge, (PMBOK Guide) - Fifthe Edition,
Project Management Institue, Inc. 2013"

"PMI, PMP, PMBOK are registered marks of the Project Management Institue, Inc"