Chapter 11 - Project procurement management. After reading this chapter, you will be able to: Understand the importance of project procurement management and the increasing use of outsourcing for information technology (IT) projects; describe the work involved in planning procurements for projects, including determining the proper type of contract to use and preparing a procurement management plan, statement of work, source selection criteria, and make-or-buy analysis;...
Contract and Procurement Management.
Many times it is the project manager that is on the buying end of the project. Most of the time we think of projects as work that we are doing to produce a set of deliverables that will be delivered to some organizations. However, often the project manager is required to hire another project manager to produce goods and services for his or her organization. When this is done, the roles and responsibilities of the project managers change somewhat. It is necessary to have assurance that the hired project manager and his or her team will...
Chapter 17a: Question about CONTRACTS AND PROCUREMENT
1. A project manager must make a narrative description of the project. This narrative description covers the items that will be supplied under the contract with the client. It is called: a. b. c. d. The project plan. The statement of work. The exception report. The progress report.
2. A project manager discovers that there is a part of the project that contains some risk. His or her strategy with this risk is to subcontract the work to an outside supplier by using a ﬁrm ﬁxed price contract. Which of the following is true? a....
Chapter 17b: Answer key about CONTRACTS AND PROCUREMENT
1. Answer: b A statement of work is the description of what the project is about and what will be delivered. The project plan is complete and contains the detailed work that the project will do, complete with task descriptions and schedule, cost, and scope baselines containing a real schedule and budget. An exception report describes items that are not as planned, and a Pareto analysis is a quality management tool used to prioritize defects into the most frequently occurring. 2.
Chapter 18 PURCHASING. Recall the full procurement cycle includes: Procurement planning - determining what to procure and when Solicitation planning - documenting product requirements and identifying potential sources Solicitation - obtaining quotations, bids, offers, or proposals as appropriate Source selection
Chapter 6 PROCUREMENT. Many telecom projects require procurement of equipment of services from outside the company. Most service development projects involve some acquisition - perhaps purchasing ATM or DSL equipment or service components for wireless service.
Th is book is a response to the persistent suggestion of Dr. Jack Rabin, former executive editor of
the Public Administration and Public Policy Series. I agreed to undertake this challenging project
several months before Dr. Rabin’s death in late 2006. It is challenging because its scope is extremely
Other Comprehensive Income
Statement of Financial Accounting Standards No. 130 Comprehensive income includes traditional net income and changes in equity from nonowner transactions.
1. Changes in the market value of securities available for sale (described in Chapter 12). 2. Gains, losses, and amendment costs for pensions and other postretirement plans (described in Chapter 17). 3. When a derivative is designated as a cash flow hedge is adjusted to fair value, the gain or loss is deferred as a component of comprehensive income and included in...
Describe the purpose of the balance sheet and understand its usefulness and limitations.
The Balance Sheet
The purpose of the balance sheet is to report a company’s financial position on a particular date.
Limitations: The balance sheet does not portray the market value of the entity as a going concern nor its liquidation value. p Resources such as employee skills and reputation are not recorded in the balance sheet.
Usefulness: p The balance sheet describes many of the resources a company has available for generating future cash flows.
Abstract Amulti-attribute group decisionmakingmethod composed of intuitionistic
fuzzy set and TOPSIS will be introduced into project material bidding procurement.
First, the opinions of experts about bidders and indicators’ attributes are expressed
by linguistic terms, and then turned into intuitionistic fuzzy numbers, which can be
used to obtain the weights of the indicators’ attributes and experts. Based on the
opinions of decision makers and IFWA operators, an aggregated intuitionistic fuzzy
decision matrix is formulated. In the end, the bidders are ranked by TOPSIS method....
Discuss the general objective of the timing of revenue recognition, list the two general criteria that must be satisfied before revenue can be recognized, and explain why these criteria usually are satisfied at a specific point in time.
The Single Market needs to continue to adapt to reach the potential for businesses and
consumers in a borderless Europe. Technological change offers huge possibilities, but it needs
to be accompanied by new approaches in areas like procurement, standards, and intellectual
property. The EU needs a long-term framework for energy and climate policies so that
investment and policy target competitiveness and tackle climate change.
Thanks to their traditional decentralised organisation and large distribution network, savings
banks have built strong local roots and gained extensive experience in developing relation-
ships with major stakeholders in the local communities. Thus, they are deeply involved in the
life of the area where they operate and have a thorough understanding of the socio-eco-
nomic challenges and environment. They actively contribute to local and regional economic
and social development, including in the most remote areas and underserved communities.
Every deliverable has a cost. Where possible the cost for each deliverable and milestone should add up to form
the project budget.
If the project budget is a critical indicator of progress – for example, in the case of a procurement project – you
must specify how the work will be done within budget and how work will be reported: for example, percentage
complete, actual versus projected outlays and so on.
Your plan should also list the resources needed to achieve each deliverable.
The German economy is expected to slow down further in the second half of
2012, reflecting weaker economic activity in export markets and uncertainty
weighing on investment, before accelerating moderately next year, thanks to
relatively robust consumption and benign financial conditions. The projection
for France is for a very modest growth in 2013 as domestic demand is set to
strengthen only very gradually while the contribution of net exports is likely
to remain small.
The Defence Procurement Agency (DPA), part of the UK Ministry of Defence (MOD), measures its annual performance against five key targets for its top 20 projects (by value), as documented in its Major Project Reports. Key Target 2 addresses programme slippage, which is the delay between the promised in-service date and the actual or projected in-service date. The MOD 2001/2002 performance report indicates slippage for the top 20 projects averaged approximately one year. Furthermore, the existences of...
An engineer, procure and construct (EPC) contract is a form of D&B contract
under which a design engineer or firm of design consultants heads a team
which includes an experienced contractor and perhaps a plant supplier. The
promoter specifies his project requirements in outline which the team designs
in detail in continued liaison with him. The EPC organization arranges and
manages construction, letting specialist work packages out as necessary to
This commonly used method of procuring furniture and equipment, requires a pool of
qualified, interested bidders and clear, detailed specifications in order to achieve the
desired result. Since the paperwork required is substantial, it calls for more effort by the
bidding agency, and sometimes discourages prospective bidders. The open advertisement
policy, typical of competitive bidding, can attract bidders who lack the experience,
expertise, and financial stability required for this highly specialized type of project.