Report Contracts And Procurement

Running head: PROCUREMENT
Introduction to Contracts and Procurement
Name of Student
Name of University
Author Note

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Reflection Report
Contracts and procurement are crucial for consideration in a project as it helps in
acquiring the services and the materials required in the project from somewhere outside and not
from the project team (Rose, 2013). The procurement management in a project mainly involves
the process of management of the contracts along with controlling the changes that are critical
for administering the purchase of the orders by the authorized team members.
This unit focused on introducing the concept of contracts and procurement and I have
gathered effective knowledge related to the process of project procurement management. From
the PMBOK guide, I have learnt about the different processes linked with the understanding of
the plan for procurement management, conducting the procurements and controlling the
procurements (Sollish & Semanik, 2007). The last stage of procurement management involves
closing the procurement. The PMBOK guide has helped me in understanding the inputs of
procurement management such ad project management plan, risk register, project schedule and
different organizational assets. In the conduct procurement phase, the input include the different
procurement document, the procurement management plan along with the selection criteria of a
project (Masterman & Masterman, 2013). In the control procurement phase, I have learnt about
different inputs which include the project plan, plan for managing a project and the reports of the
works that are completed. The main output of the projects include the information of work
performance and document updates in a project.
Throughout this course, I have understood the vitality of procurement in management of
supply chain. It is quite integral to understand the need of procurement in utilization of the sound
business practices that generally maximizes an organizational value. In the introductory chapter

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linked with the best chapters of procurement, the importance of effective understanding and
utilization of the business practices is understood.
In the next chapter, I have learnt about the importance of sourcing management which is
linked with business management. In sourcing management, the detailed needs of purchase in a
particular organization is addressed. Contracts are generally considered to be a crucial element
for the different processes in procurement (Christopher, Mena & van Hoek, 2018). The analysis
and planning of the contract requirements provide responsibility to the procurement officers. In
this course, I have gained an understanding of the terms such as, contract management and work
of a contract manager in procurement lifecycle.
In the third chapter, I have learnt about solicitation of Bids and proposals. It is the next
step of the sourcing process in procurement. Solicitation can be described as a process of
requesting bids from the potential supplier. The process of solicitation involves solicitation
planning, the types of solicitation and identification of the solicitation methods. Knowledge
about the process of solicitation is integral for addressing the concerns that can be faced while
dealing with a contract or procurement of a contract.
Through this course I have understood the importance of the selection criteria of the
supplier of a particular contract. The different methods that are used for selection of the
important elements of procurement include the professional’s skills set (Fleming, 2019). I have
acquired knowledge about one of the most important elements of procurement, which is the
professional skill set. One of the most vital stages of contracts and procurement include selection
of an appropriate supplier for awarding to the contract to that supplier.

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In this course, the main focus was given to the contrasts as well as the legal aspects that
are linked with the procurement. Having a good understanding of the nature and the purpose of
the contract help in developing legal obligations. Along with that it is necessary to have an
understanding of the various standard elements that are crucial for the contracts in particular
procurement transaction.
In the following chapter, I have learnt about the concept of supplier diversity. The
management of supplier diversity is necessary to choose a proper supplier for contracts and
procurement. However, one crucial need of contracts and procurement management is managing
the risk related to contracts and procurements. Risk can be defined as one of the most pervasive
topics related to sourcing and management of supply chain. Understanding the risks is important
as it helps in guiding the sourcing process of the suppliers.
The course has further helped me to understand the value of sustainability in contracts
and procurement. Sustainability is generally defined as an ability of meeting the current needs of
an organization. The general philosophy of sustainability mainly revolves around the different
concepts of social responsibility.
One of the key tools of contracts and procurement management is negotiation (De Araújo
et al., 2017). The course have helped me to understand the power of negotiation is project and
procurement management. The contract and procurements are one of the key needs of project
management and therefore, having a clear understanding of the same is necessary.

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References
Christopher, M., Mena, C., & van Hoek, R. (2018). Leading procurement strategy: driving value
through the supply chain. Kogan Page Publishers.
De Araújo, M. C. B., Alencar, L. H., & de Miranda Mota, C. M. (2017). Project procurement
management: A structured literature review. International Journal of Project
Management, 35(3), 353-377.
Fleming, Q. W. (2019, January). Project procurement management: contracting, subcontracting,
teaming. Project Management Institute.
Masterman, J. W., & Masterman, J. (2013). An introduction to building procurement systems.
Routledge.
Rose, K. H. (2013). A Guide to the Project Management Body of Knowledge (PMBOK® Guide)
—Fifth Edition. Project management journal, 44(3), e1-e1.
Sollish, F., & Semanik, J. (2007). The procurement and Supply manager's Desk Reference. John
Wiley & Sons.