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NEW QUESTION: 1
A procurement management plan is a subsidiary of which other type of plan?
A. Resource plan
B. Cost control plan
C. Expected monetary value plan
D. Project management plan
22.214.171.124 Project Management Plan
The project management plan is the document that describes how the project will be executed, monitored, and controlled. It integrates and consolidates all of the subsidiary plans and baselines from the planning processes.
Project baselines include, but are not limited to:
Scope baseline (Section 126.96.36.199),
Schedule baseline (Section 188.8.131.52), and
Cost baseline (Section 184.108.40.206)
Subsidiary plans include, but are not limited to:
Scope management plan (Section 220.127.116.11),
Requirements management plan (Section 18.104.22.168),
Schedule management plan (Section 22.214.171.124),
Cost management plan (Section 126.96.36.199),
Quality management plan (Section 188.8.131.52),
Process improvement plan (Section 184.108.40.206),
Human resource management plan (Section 220.127.116.11),
Communications management plan (Section 10.1.3.1),
Risk management plan (Section 18.104.22.168),
Procurement management plan (Section 22.214.171.124), and
Stakeholder management plan (Section 126.96.36.199)
188.8.131.52 Procurement Management Plan
Definition: Procurement management plan is a component of the project management plan that describes how a project team will acquire goods and services from outside the performing organization. It describes how the procurement processes will be managed from developing procurement documents through contract closure. The procurement management plan can include guidance for:
Types of contracts to be used;
Risk management issues;
Whether independent estimates will be used and whether they are needed as evaluation criteria;
Those actions the project management team can take unilaterally, if the performing organization has a
prescribed procurement, contracting, or purchasing department;
Standardized procurement documents, if needed;
Managing multiple suppliers;
Coordinating procurement with other project aspects, such as scheduling and performance reporting;
Any constraints and assumptions that could affect planned procurements;
Handling the long lead times to purchase certain items from sellers and coordinating the extra time
needed to procure these items with the development of the project schedule; Handling the make-or-buy decisions and linking them into the Estimate Activity Resources and Develop
Schedule processes; the scheduled dates in each contract for the contract deliverables and coordinating with the schedule development and control processes; Identifying requirements for performance bonds or insurance contracts to mitigate some forms of project
Establishing the direction to be provided to the sellers on developing and maintaining a work breakdown
Establishing the form and format to be used for the procurement/contract statements of work;
Identifying prequalified sellers, if any, to be used; and
Procurement metrics to be used to manage contracts and evaluate sellers.
A procurement management plan can be formal or informal, can be highly detailed or broadly framed, and is based upon the needs of each project.