B U D I L U H U R U N I V E R S I T Y POST GRADUATE PROGRAM MAGISTER ILMU KOMPUTER (M.Kom)

1. B U D I L U H U R U N I V E R S I T Y POST GRADUATE PROGRAM MAGISTER ILMU KOMPUTER (M.Kom) IT PROJECT MANAGEMENT

2. PROJECT PROCUREMENT MANAGEMENT

3. Project procurement managementincludes: • The processes to purchase or acquirethe products, services, or results needed from outside the project team to perform the work • The contract management and change control processes required to administer contracts or purchase orders issued by authorized project team members • Administering any contract issued by an outside organization (the buyer) that is acquiring the project from the performing organization (the seller) and administering contractual obligations placed on the project team by contract

4. PROJECT PROCUREMENT MANAGEMENT PROCESSES

5. 1 PLAN PROCUREMENTS Determining: W h a t W h e n H o w to purchase or acquire

6. 1 PLAN PROCUREMENTS The process of documenting project purchasing decisions, specifying the approach, and identifying potential sellers

7. PLAN PROCUREMENTS TOOLS & TECHNIQUES

8. PLAN PROCUREMENTS (cont) TOOLS & TECHNIQUES

9. PLAN PROCUREMENTINPUTS 1. Scope baseline : describes the need, justification; requirements; current boundaries for the project Consist of: • Scope statement: product scope description, service / result description, the list of deliverables, the acceptance criteria, technical issues that could impact cost estimating • WBS • WBS dictionary

10. PLAN PROCUREMENTINPUTS 2. Requirements documentation 3. Teaming agreements • Include buyer-seller roles (predetermined) 4. Risk Register 5. Risk related contract decisions 6. Activity Resource Requirements

11. PLAN PROCUREMENTINPUTS 7. Project schedule Contains information on required timelines or mandated deliverable dates 8. Activityy cost estimates Developed by the procuring activity Used to evaluate the reasonableness of the bids / proposal 9. Cost performance baseline detailed planned budget over time

12. PLAN PROCUREMENTSINPUT 10. Enterprise environmental factors • Conditions of the marketplace • Product / service / result availability • Suppliers (past performance) • Under what term & condition • Unique local requirements 11. Organizational process assets • Procurement related policies, procedures, guidelines • Multi tiers supplier systems or pre-qualified sellers • Management systems

13. PLAN PPROCUREMENTSTOOLS & TECHNIQUES 1. Make or buy analysis • Analysis component : • ongoing needs; l • long-range strategy 2. Expert judgment • Expert legal judgment; • Expert purchasing judgment 3. Contract types

14. PLAN PROCUREMENTTOOLS & TECHNIQUES Contract types: • Fixed price / lump sum • Cost-reimbursable • CPF (cost + fee) or CPPC (cost + percentage of cost) • CPFF (cost + fixed fee) • CPIF (cost + incentive fee) • Time and material contracts The full value of the agreement and the exact quantity of items to be delivered are not defined by the buyer at the time of the contract award

15. PLAN PROCUREMENTSOUTPUTS 1. Procurement management plan, can includes: • Types of contract • Person who will define the independent estimates, and evaluation criteria • Actions independent on the organization procurement regulations • Standardized procurement documents • Managing multiple providers • Setting the scheduled dates for each contract • Procurement metrics to be used to manage contracts and evaluate sellers • etc

16. PLAN PROCUREMENTSOUTPUTS 2. Procurement statement of work • Defines item being purchased/acquired, just the portion of the project scope that is included within the related contract. • Should be clear, complete, concise • Can be revised and refined as required as it moves through the procurement process until incorporated into a signed contract 3. Make-or-buy decisions 4. Procurement documents • Used to solicit proposals from prospective sellers.

17. PLAN PROCUREMENTSOUTPUTS 5. Source selection criteria • Often included as a part of the procurement solicitation documents. • To rate sellers proposals • Price; Understanding of need; Overall (life cycle) cost; Technical capability; Risk; Management approach; Technical approach; Warranty; Financial capacity; Production capacity and interest; Business size and type; Past performance of sellers; References; Intellectual property rights; 6. Change requests

18. 2 CONDUCT PROCUREMENTS • The process of obtaining seller responses, selecting a seller, and awarding a contract

19. CONDUCT PROCUREMENTSPROCESSES TOOLS & TECHNIQUES

20. CONDUCT PROCUREMENTSINPUT • Project management plan Describes how the procurements process will be managed. From developing procurement documentation through contract closure • Procurement documents • Source selection criteria Can include information on the supplier’s required capabilities, delivery dates, product cost, life cycle cost

21. CONDUCT PROCUREMENTSINPUTS • Qualified seller list Pre screened sellers • Seller proposals • Project documents: Often include: • Risk register • Risk related contract decision • Make or buy decisions

22. CONDUCT PROCUREMENTSINPUTS • Teaming agreements • Organizational Process Assets • Listings of prospective and previously qualified sellers • Lessons learned

23. CONDUCT PROCUREMENTSTOOLS & TECHNIQUES • Bidder conference • Proposals evaluation techniques • Independent estimates • Cost (hargaperkiraansendiri = HPS) • Expert judgement • Using minimum requirement to eliminate candidate. • Advertising • Internet search • Procurement negotiation

24. CONDUCT PROCUREMENTSOUTPUTS • Selected sellers • Based upon the outcome of theproposal or bid evaluation, who have negotiated a draft contract • Procurement Contract award Contract = Mutually binding legal agreement that: • obligates the seller to provide the specified product, services, or results, and • obligates the buyer to pay the seller Can be in the form of complex documents or simple purchase order

25. CONDUCT PROCUREMENTSOUTPUTS Project document updates Include e.g. • Requirements documentation, risk register • Requirements tracebility documentation

26. SELECT SELLERS OUTPUTS ContractIncludes:

27. 3 ADMINISTER PROCUREMENTS • Managing the procurement relationship • Monitoring performance • Making changes and correction as needed

28. ADMINISTER PROCUREMENTSPROCESS TOOLS & TECHNIQUES

29. ADMINISTER PROCUREMENTSINPUT (1) • Procurement documents Complete supporting records for administratiion of procurement process • Project management plan • Contracts • Performance reports • Seller developed technical documentation & other deliverables information (as mentioned in the contract) • Seller performance reports (Project Communication Management, Performance Reporting output)

30. ADMINISTER PROCUREMENTSINPUT (2) • Approved change requests Modifications to the terms and conditions of the contract • Work performance information Indicate which deliverables have been met and which have not

31. ADMINISTER PROCUREMENTSTOOLS & TECHNIQUES Contract change control system Defines the process by which the contract can be modified Procurement performance reviews Structured review of the seller’s progress to deliver project scope and quality, within cost and schedule as compared to the contract Inspections and audits • Conducted during execution of the project • Identify weaknesses in the seller’s work processes or deliverables Performance reporting (Project Communication Management)

32. ADMINISTER PROCUREMENTSTOOLS & TECHNIQUES Payment system • Using Account Payable System or develop a new system for the project Claims administration • Claims are documented, processed, monitored, and managed throughout the contract life cycle, usually in accordance with the terms of the contract Records management system • Parts of the PMIS

33. ADMINISTER PROCUREMENTSOUTPUTS Procurement documentation, includes: • The contracts, with the • Supporting schedules • Requested unapproved contract changes • Approved contract changes • Deliverables Change requests • Requested changes to the project management plan and its subsidiary

34. ADMINISTER PROCUREMENTSOUTPUTS Organizational process assets (updates) • Correspondence • Payment schedules and request • Seller performance evaluation documentation Project management plan (updates) • Procurement management plan • Contract management plan

35. 4 CLOSE PROCUREMENTS • Completing and settling each contract including the resolution of any open items • Closing each contract applicable to the project or project phase

36. CLOSE PROCUREMENTSPROCESSES TOOLS & TECHNIQUES

37. CLOSE PROCUREMENTSINPUT 1. Project management plan: Output of Plan project 2. Procurementdocumentation: Output of Contract Administration

38. CLOSE PROCUREMENTSTOOLS & TECHNIQUES Procurement audits A structured review of the procurement process, from the Plan Purchases and Acquisition process through Contract Administration Negotiated settlements Negotiation  mediation  ligitation in the courts Records management system A set of processes, control functions, and automation tools used to manage contract documentation and records

39. CLOSE PROCUREMENTSOUTPUTS Closed procurements • Formal closure notice Organizational process assets updates • Procurement file (a complete set indexed contract documentation) • Deliverable acceptance (formal written notice that the deliverables have been accepted or rejected) • Lesson learned documentation: • Lesson learned analysis • Process improvement recommendations

40. THANK YOU