MNG93220 Project Procurement and Contract Management Assessment 1 Assessment Type: Report Weight: 40% of the total unit assessment Due Date: 8 May 2017 Introduction: Project deliverables detailed in the project management plan are created through the consumption of goods (e.g., consumables, plant, equipment) and services (e.g., work force, logistics, information services). The project procurement management plan specifies the type, quantity, quality, timing, contingencies, and sequence of goods and services procurement activities required to support the creation of project deliverables described in project management plan. Legal, technical, business, and other contextual factors need to be considered when developing the procurement strategy for each good and service described in the project procurement management plan. Assessment 1 will require you to: 1) Identify important factors and describe how they influence the formation and execution of the procurement strategy for each good or service specified in the project procurement management plan. 2) Use these factors to evaluate the most likely procurement strategy for a range of goods and services procurements in a number of different project procurement scenarios. Task 1: Procurement strategies From the readings provided in week 1 and 2 of the unit: 1.1 Identify a range of common (or generic) procurement strategies that have been developed to satisfy different project procurement objectives and limitations associated with the supply of the intended good or service to the project. 1.2 Briefly describe the objectives, processes, and expected outcomes associated with each procurement strategy you have identified. Task 2: Factors influencing procurement planning and strategy 2.1 Identify important legal, technical, business, and other contextual factors that can be influential in procurement planning and strategy development. 2.2 Describe how the relative presence or absence of these factors can influence procurement planning and strategy requirements in different procurement contexts. Task 3: Procurement strategy decision support tool: 3.1 Use the analysis you have completed in Task 1 and 2 to develop a decision-support tool, which identifies the most effective generic procurement strategy for a good or service, given: • The procurement objectives/requirements associated with the supply of the good or service to the project. • The limitations or opportunities created by the mix of important contextual factors associated with the procurement. Task 4: Applying the decision support tool: 4.1 Use the decision-support tool you have developed in Task 3 to evaluate and identify the best procurement strategy in following procurement scenarios: Scenario 1: Procuring the services of an engineering and construction firm to oversee the design and construction of a new warehousing and logistics facility in a regional location. Scenario 2: Procuring a range of commonly-available Personal Protective Equipment (PPE) to support operations during the construction and commissioning phase of a new industrial facility. Scenario 3: Procuring a new MRI scanner for a remote regional hospital upgrade project on behalf of a state government. For each scenario: 1) Describe key assumptions that you have had to make to enable the selection of the most appropriate procurement strategy. 2) Provide a brief outline describing how you arrived at your preferred procurement strategy, using the information provided by your decision support tool as the basis for this description.