Topic 5.7: The procurement lifecycle

Likes people like this topic - including you!

SharesThis topic has been shared 25 times!

Progress2,603 people have passed the quiz

The procurement process captures everything from planning the procurement, conducting a tender, negotiating and entering into a contract, administering that contract and successfully bringing it to a close.

As with projects, every procurement has a life with a clearly defined start and finish.

The procurement lifecycle

Every procurement is a project in its own right, in that it is a unique endeavour with a defined start and finish, bound by the triple constraints.

A business case may identify and justify the ideal level of procurement required for a project, something that may be further revealed in your analysis of project requirements.

The processes for managing project delivery and close we introduce in this course are also equally applicable to the management of contracts.

That said, there are aspects of managing contractual relationships that are somewhat distinct to the management of internal project teams – these are themes we will explicitly explore as we take you through the project’s life.

In the next few topics, we will introduce a number of best-practice processes to follow when acquiring the services of external consultants and contractors.

Although a number of these steps may be fast-tracked or even skipped over on small or low-risk procurements, it is important to be mindful of them in all circumstances.

The project lifecycle