Proposal for Procurement Management Plan

Running Head: PROPOSAL
Proposal
Name of the Student
Name of the University
Author Note

1PROPOSAL
Introduction
Various organizations employ different management techniques for carrying out efficient
functioning in their departments. The procurement management is a form of management where
the services and the goods are acquired from a separate organization (Dash et al.2018). Every
organization deals with the procurement management and the planning of the process is what
ensures the success of the business (De et al. 2017). It is a management type that helps the
organizations to save money as much as possible from outside. The success of the procurement
management lies in the highly trained individuals as well as the right type of resources and
suppliers. In the DMF Limited, the main problem is that almost all the departmental heads
believe in the system of purchasing. There is lack of proper inventory management plan for the
large fleet of vehicles and there is also lack of either tyres or spare parts. It has been found that
the practice of adhoc purchase in the organization has caused strain in the financial resources.
Hence there is a need to clean up and streamline the procurement process. Charles Mwape, who
has been provided with the responsibility of everything needs assistance for making the change,
a success.
The objective of the plan
To prepare a good inventory plan and support the financial resources of the company.
The procurement management plan
The procurement management plan documents and outlines the purchase requirements
for meeting the project needs. The responsibilities of the procurement manager are to go beyond

2PROPOSAL
approving the purchases. In order to manage the project effectively, a well-planned strategy
founded on the comprehensive information is required.
The procurement team
Firstly, people will be selected to participate in the procurement planning and the
decision making process too. Everyone is expected to have the authorization.
the required items
The required materials include information about the items which need to be purchased.
Information will be gathered about all the materials which are required by the project. The
tangible and intangible assets might be required such as the software licenses and others.
Pertinent information about every item, technical requirements, size and specs will be included.
It will help to ensure the purchase of the correct material. The reasons and the justifications of
specific items purchased will be included too. A purchasing timeline will be set. It will leverage
bulk purchase across various departments having taken the advantages of seasonal discounts,
reducing the storage and processing costs with just-in-time delivery and negotiating minimal
order quantities.
The selection of the supplier
The supplier will be selected through the bidding process. The bidding will not be open;
it will be rather drawn from a preferred list of vendors.
The Bids and acceptance
A request for proposal will be issued from the procurement department having detailed
the needs of the project. The bidding process will provide certain information such as the costs,
the scheduling considerations and delivery time (Huang 2018). The vendors will be selected and