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Manage Project Procurement Unit Guide Diploma of Project Management 17872 Qualification Code BSB51507 Unit Code BSBPMG509A. Units of Study – Diploma. Units in the Diploma of Project Management. Manage Project Procurement. On completion of this unit you will – - PowerPoint PPT Presentation
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BSBPMG509A Manage Project Risk
Manage Project Procurement
Unit Guide
Diploma of Project Management 17872Qualification Code BSB51507
Unit Code BSBPMG509A
BSBPMG509A Manage Project Risk
BSBPMG501A Manage Application of Project Integrative Processes
BSBPMG502A Manage Project Scope
BSBPMG503A Manage Project Time
BSBPMG504A Manage Project Costs
BSBPMG505A Manage Project Quality
BSBPMG506A Manage Project Human Resources
BSBPMG507A Manage Project Communication
BSBPMG508A Manage Project Risk
BSBPMG509A Manage Project Procurement
Units of Study – Diploma
Units in the Diploma of Project Management
BSBPMG509A Manage Project Risk
Manage Project Procurement
On completion of this unit you will –
– be able to undertake procurement and contract management within projects
• This unit is Ungraded which means that you will be found Competent or Not Yet Competent based on the completion of the assessment activities and the evidence of competency provided.
BSBPMG509A Manage Project Risk
Elements of Competency
• Each unit of study is composed of elements of competency
• Manage Project Procurement comprises 5 elements of competency–
– Determine procurement requirements– Establish agreed procurement processes– Conduct contracting and procurement activities– Implement the contract and/or procurement– Manage contract and procurement finalisation procedures
• Elements of competency are further broken down into performance criteria, these can be found on the next slides
BSBPMG509A Manage Project Risk
1. Determine procurement requirements
1. Procurement requirements are identified, with input from stakeholders and guidance of a higher project authority, as the basis for procurement planning and the contract
2. Within delegated authority, an agreed procurement management plan and strategies are established and maintained to ensure clarity of understanding between stakeholders and achievement of project objectives
BSBPMG509A Manage Project Risk
2. Establish agreed procurement processes
1. Information is obtained from established sources capable of fulfilling procurement requirements to determine how project objectives can be met
2. Established selection processes and selection criteria (including OHS requirements) are adopted and communicated to stakeholders and prospective contractors or suppliers to ensure fair competition
3. Approvals for procurement processes to be used for the project are obtained from a higher project authority to enable formal discussions to be conducted
BSBPMG509A Manage Project Risk
3. Conduct contracting and procurement activities
1. Agreed proposals and/or specifications are communicated to prospective contractors or suppliers to ensure clarity of understanding of project objectives
2. Responses are evaluated and preferred contractors or suppliers are selected in accordance with current legal requirements and agreed selection processes
3. Negotiations are conducted with the preferred contractor or supplier, with guidance of a higher project authority if necessary, to agree on contract terms and conditions, establish common goals and minimise uncertainty
BSBPMG509A Manage Project Risk
4. Implement the contract and/or procurement
1. Established procurement management plan is implemented and modifications made with a higher project authority approval to ensure a common approach to achievement of objectives
2. Progress is reviewed and agreed changes are managed to ensure timely completion of tasks, resolution of conflicts and achievement of project objectives within the legal framework of the contract
3. Procurement management problems are identified and reported to a higher project authority, and agreed remedial actions are implemented to ensure project objectives are met
BSBPMG509A Manage Project Risk
5. Manage contract and procurement finalisation procedures
1. Finalisation activities are conducted to ensure contract deliverables meet contractual requirements
2. Project outcomes are reviewed using available procurement records and information to determine the effectiveness of contracting and procurement processes and procedures
3. Lessons learned and recommended improvements are identified, documented and passed on to a higher project authority for application in future projects
BSBPMG509A Manage Project Risk
Associated Readings
• Mandatory –• PMBOK Chapter 12 – 12.1, 12.2, 12.3, 12.4
• Recommended – Diploma Skills Kit – Manage Project Procurement
Learning Guide 1 – N/A
Learning Guide 2 – Develop Project Plans, pages 16 and 17
Learning Guide 3 – Administer & Monitor Project, pages 8 to 10
Learning Guide 4 – Finalise Project, pages 2 and 3, 6 and 7
Learning Guide 5 – Review Project, pages 2 to 5
BSBPMG509A Manage Project Risk
Team Assignment Criteria
Team AssignmentComponents
Marks Basic Competency Higher Competency
Procurement Register 10 Table of major procurement and contracting requirements for human and non-human resourcesSourcing approach detailed and responsibility assigned
Table of detailed procurement and contracting requirements including human and non-human resourcesSelection criteria and contract requirements also included
Assessment and selection approach
5 Detailed assessment and selection approach for a major procurement
Detailed assessment and selection approach for several major procurements
Procurement procedures 10 Basic procurement policies and procedures developed including contract review and approval
Advanced procurement policies and procedures developed including flowcharts and different processes as values increase
Total 25 19.5 to 25 25.5 to 30
BSBPMG509A Manage Project Risk
Individual Assignment Criteria
Individual AssignmentComponents
Marks Basic Competency Higher Competency
Procurement Plan 10 Table of major procurement and contracting requirements for human and non-human resourcesSourcing approach detailed and responsibility assigned
Table of detailed procurement and contracting requirements including human and non-human resourcesSelection criteria and contract requirements also included
Assessment and selection approach
10 Detailed assessment and selection approach for a major procurementBasic understanding and evidence of tender processes
Detailed assessment and selection approach for several major procurementsAdvanced understanding and evidence of tender processes
Procurement procedures 10 Basic procurement policies and procedures developed including contract review and approval
Advanced procurement policies and procedures developed including flowcharts and different processes as values increase
Contract management procedures
10 Basic contract management policies and procedures including contract manager, responsibilities, escalation and review process
Advanced contract management policies and procedures including contract change control, performance bonuses and penalties
Contract Performance Reports
10 At least one example of a contract performance report or discussion for a major procurement
Several examples of contract performance reports or discussions for several major procurements
Total 50 32.5 to 42 42.5 to 50
BSBPMG509A Manage Project Risk
Best wishes for your studies
Crows Nest TAFE and the
Business and Commerce Business Line of the
Northern Sydney Institute
wish you success in your studies!