Administer Procurements – Outputs

April 22, 2010
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Introduction

During the lifetime of procurement actions changes may be necessary to many relevant documentation. The typical outputs of the process are these updates and updated documentation like the procurement documentation. Updates to the organization process assets and Project management plan are such updates that come out of the administer procurement process. Change requests are a set of new documentation that may come out of this process.

Outputs of the administer procurement process

Procurement documents are a set of documents that are used as inputs to the process. These tell you what was planned to be procured, what was promised by the seller, what was the methodology, technology he was going to use and the terms & conditions of the contract, etc. Changes are often necessitated due to changes in the overall context and thus the manifestations of outputs from this process are the change requests that originate.

Changes may be required in the project management plan and its subsidiary plans due to changes seen in administering the procurement. These other plans that are likely to be affected are the procurement management plan, schedules, cost baseline. These changes are created first as change requests. These will need approval and will be integrated into the project management plan through the integrated change management plan. This is an absolute must as uncontrolled changes can degenerate into chaos very quickly.

There is another significant aspect to some of the changes requested. There will always be some unresolved changes. These will arise from some actions taken by the seller or some directions given by the buyer and they are accepted as required. They are in the unresolved category as these may be the basis of claim by the other party. These changes are then uniquely marked as such in the correspondence and processed for resolution.

Due to changes that are approved the project management plan is impacted and updates are necessary. The project management plan updates are primarily in two categories. Procurement management plan is directly affected because of these changes. The updates that causes changes in the procurement management plan and impacts to costs and schedules are documented. Other changes that may arise affect the baseline schedule. Slippages may be caused that affect the overall project performance. Such changes will have to be documented.

Procurement documents or the continually updated procurement documentation is a major part of the outputs. As the updates are caused by approved changes they need to be incorporated into these documentation as at the next point these updated documents will the reference point against which changes are to be noted. The procurement documentation that are directly affected are the contract documents, first and foremost. The contract document, all its schedules, requested and as yet unapproved changes and approved changes are part of this output. The other project documentation that fall into this ambit include seller developed technical documentation, work performance reports gathered at times over the project execution cycle and reports of inspection carried out. The work performance reports cover a range of issues such as deliverables, seller performance reports, warranties, invoices, payment records and so on. The resulting changes required whether due to changes in the sellers technical documents or arising out or performance issues are generated and the documentation updated to reflect the changes that are approved. So that on an ongoing basis these documents can keep acting as references.

Update of organizational process assets is another set of important updates produced through the administer procurement process. The updates must be effected and documents updated as soon as possible since the knowledge updates contained in these documents are referred to throughout the process. The elements of the process assets that are affected, at a minimum, are as follows. Depending on the nature of the project or the organization at which it is being carried out the details may vary somewhat.

Correspondence is a set of documents that will be affected through this process. Anything of importance is always exchanged through correspondence. These details may include warnings from a buyer about unsatisfactory performance. While any request for changes from the seller also needs to be through correspondence. The seller may even be seeking clarifications about certain aspects of the contract. It is necessary that these be recorded as this may the beginning of a dispute. Bothe parties need to maintain the sequence of correspondence so that what actions led to what results can always be established legally. For this purpose it is often necessary to record orally communicated details through a formal communication later.

Payment schedules and requests are maintained and all the payments made are recorded. Seller performance evaluation documents are maintained and updated as each new inspection or audit is carried out. The seller performance is an indicator of whether he should continue to deliver the procurement deliverable or penal actions are called for, When performance continues to be well, it not only is a record that lets him continue the current project but also aid in the decision to allow him to work on future projects. These may even lead him into the qualified vendor list.

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