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Project Procurement Management
Meaning of Procurement:
- Procurement means acquiring goods and/or services from an outside source
- Other terms include purchasing and outsourcing
Project Procurement Management Processes:
- 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: choosing from among potential vendors
- Contract administration: managing the relationship with the vendor
- Contract close-out: completion and settlement of the contract
Procurement Planning:
Procurement planning involves identifying which project needs can be best met by using products or services outside the organization. It includes deciding:
- whether to procure
- how to procure what to procure
- how much to procure
- when to procure
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