Process: Conduct Procurements
Process Group: Executing
Knowledge Area: Project Procurement Management
Purpose
The Conduct Procurements process involves obtaining seller responses, evaluating them, selecting a supplier, and awarding a contract. It ensures that external goods and services are acquired in alignment with the procurement management plan and project requirements.
Inputs
- Project Management Plan – Especially the procurement, scope, schedule, and cost management plans.
- Project Documents – Includes requirements documentation, risk register, stakeholder register, and lessons learned register.
- Procurement Documentation – Bid documents, procurement statement of work (SOW), and source selection criteria.
- Seller Proposals – Responses from potential vendors based on bid packages or solicitations.
- Enterprise Environmental Factors (EEFs) – Local procurement laws, supplier reputation, and economic conditions.
- Organizational Process Assets (OPAs) – Standard procurement procedures, contract templates, and negotiation guidelines.
Tools and Techniques
- Expert Judgment – Sourced from legal, contracting, and industry specialists to support evaluation and negotiation.
- Advertising – Publicizing procurement opportunities to attract qualified bidders.
- Bidder Conferences – Meetings held with prospective sellers to clarify requirements and answer questions.
- Data Analysis – Proposal evaluation using scoring models or weighting systems.
- Interpersonal and Team Skills – Negotiation to reach mutual agreement on scope, terms, and pricing.
Outputs
- Selected Sellers – The vendors awarded contracts based on proposal evaluation and negotiations.
- Agreements – Formal contracts or purchase orders defining scope, deliverables, terms, and conditions.
- Change Requests – Initiated when procurement results impact scope, schedule, or resources.
- Project Management Plan Updates – Especially to procurement, requirements, and stakeholder plans.
- Project Document Updates – Adjustments to the risk register, lessons learned, and requirements documentation.
Role in the Process Group and Knowledge Area
- Within the Executing Process Group, Conduct Procurements transforms planning into action by formalizing external relationships.
- As part of Project Procurement Management, it ensures that vendors are selected fairly, competitively, and in alignment with project goals.
Why It Matters
- Enables Execution – Ensures the project has access to external resources, services, or products when needed.
- Ensures Legal and Procedural Compliance – Follows organizational and industry standards to reduce legal exposure.
- Supports Fair Vendor Selection – Promotes transparency, objectivity, and accountability in procurement.
- Protects Project Interests – Establishes clear, enforceable agreements that support successful delivery.