City Cafe Project: Evaluating Procurement Processes and Procedures

This report focuses on project management procurement, specifically within the context of a City Cafe makeover project. It begins by examining the critical process of evaluating quotes from potential vendors, emphasizing the importance of ensuring quotes meet engagement conditions, conducting non-cost assessments, and evaluating value for money. The report also discusses the risks associated with procurement, such as product quality concerns and potential cost overruns, and highlights the importance of vendor selection based on quality, cost-effectiveness, and risk minimization. The report further analyzes the effectiveness of procurement processes and procedures, evaluating project outcomes, contractual obligations, dispute resolution, audit trails, and transition arrangements. Finally, the report documents lessons learned and recommends improvements for future projects, categorizing issues related to quote evaluation, vendor quality, contract disputes, and contract termination to enhance procurement efficiency and minimize potential problems.

Running head: PROJECT MANAGEMENT
Name:
Institution:
Date:

Running head: PROJECT MANAGEMENT
Qn 2a
The evaluation of quotes is a critical process in the procurement process as it enables the
organization to acquire the best supplies from its vendors.( Cleden,2017).There are many
suppliers who may offer substandard goods and thus the process helps in identifying only what
the organization is comfortable with. The city café makeover will require the owner to ensure
that the evaluation is carried out effectively in order to enhance the business. (Harrison, &
Lock,2017).
In evaluation of quotes, the first process is to determine if the quotes meet the conditions of
engagement. The conditions are stipulated by the café when advertising for tenders and thus the
quotes sent should be able to meet these conditions before they are considered. After this, the
next step is to do a non-cost assessment. This will involve evaluation of the quotes based on
other relevant factors apart from the cost.( Heagney,2016). The purpose of this is to establish if
the quotes are likely to enhance the outlook of the café or not. The other part that needs to be
considered is the evaluation for value for money. This is a critical factor as the café operates on a
budget and thus the quotes given should be the ones that meet the estimated budget of the
company. (Kliem, & Ludin, 2019)
The risks associated with the quotes are that one cannot fully ascertain whether the product will
rise to the occasion or not. There are instances whereby the goods purchased eventually end up
not lasting for long and thus the café may incur loss as it goes back to start the procurement
process for the goods.( Lock,2017).Also, it is important to note on the cost of services that the
resources offered are giving to the café. This is to ensure that the café only suffers the cost that
matches with the quality of the goods and thus get the value for their money. Furthermore, the

Running head: PROJECT MANAGEMENT
quality of the goods supplied should be of high standards. The business of café requires an
environment that is welcoming and thus the selection of colors that attract customers. The quality
of the goods from the quotes offered need to be critically assessed in order for the café to acquire
only the best.( Kerzner,2018)
The most appropriate vendor that will be used will be the one that will ensure that he offers
quality products at cheaper rice and with minimal risks.( Nicholas, & Steyn,2017). This factor s
are critical as they will ensure the café stands out among its competitors and thus the vendor who
meets this conditions will be engaged for business. The selected vendor will have to demonstrate
on how the products that he is offering are efficient and durable and which will sustain the
business for quite a long time. Also, the vendor will need to supply samples to the café in order
to verify the quality of the products before the café can purchase the same Therefore I will seek
permission to engage the vendor based on satisfactory meeting these requirements for the
betterment of the café.( Young,2016)
Qn 2c
Evaluate and/ or measure to determine the effectiveness of your procurement processes
and procedures
Review project outcomes
using available
procurement records
Outcomes
Procurement process
Outcomes
Procurement procedure

Running head: PROJECT MANAGEMENT
Contractual obligations
are satisfactorily met and
completed
Ensure that the process
observes all the contractual
obligations as spelt out in the
contract
Assessment of the contract in
view of the satisfactory
completion of contractual
obligations
Addressing or resolving
any disputes arising from
the contract process
Engaging with the vendors in
order to iron out any
differences that may be
witnessed
Analysis of the procurement
process dispute resolution as
stipulated in the café contract
and policy document.
Is there sufficient
information for an
appropriate audit trail
The process ensures that the
relevant documents used are
kept properly in case any
queries are raised after the
process is complete
Assess the café policy in
matters to do with the audit of
the procurement process
Ensuring any
procurement transition
arrangements required
under the contract terms
are implemented
Ensure that the
arrangements are considered
first when implementing the
contract in order to avoid any
one of them being forgotten
once the procurement
process starts.
Review of the contents of the
transition arrangement within
the procurement process
If the contract is The café has put in place a Review of the café contact in

Running head: PROJECT MANAGEMENT
terminated, have you a
process in place to address
final settlement
process to ensure that all
necessary conditions are
fulfilled in regards to
termination before a full
settlement is paid
regard to the termination
process and settlement
Qn 2d
Document lessons learned and recommended improvements for application to future
projects
Category Issue name/
reference
Problem/
success
Impact Recommendation
s
Evaluation
of quotes
supplies Quotes not
meeting the
required
conditions
The quotes are
not considered for
engagement with
the cafe
The future
suppliers need to
strictly adhere to
the conditions set
for the
procurement
process

Running head: PROJECT MANAGEMENT
Quality of
goods
Vendors The procurement
of substandard
goods
An increase in the
cost of
procurement due
to the goods
being bought
again
A thorough
checking of the
vendors goods
before
procurement in
order to minimise
loss
Assessment
of contract
disputes
Contact
document
Contractual
disputes that
arise out of the
procurement
process
A loss of business
due to
misunderstanding
of the process
A complete review
of the dispute
mechanism in
order to solve
future disputes
appropriately
Termination
of the
contract
Policy on
termination
Termination of
contract already
signed
Loss of time and
cost related to
procurement
process
Ensuring the right
procedure are
followed in
regards to
termination and
thus minimise
costs incurred

Running head: PROJECT MANAGEMENT
References
Cleden, D. (2017). Managing project uncertainty. Routledge.
Harrison, F., & Lock, D. (2017). Advanced project management: a structured approach.
Routledge.
Heagney, J. (2016). Fundamentals of project management. Amacom.
Kerzner, H. (2018). Project management best practices: Achieving global excellence. John
Wiley & Sons.
Kliem, R. L., & Ludin, I. S. (2019). Reducing project risk. Routledge.
Lock, D. (2017). The essentials of project management. Routledge.
Nicholas, J. M., & Steyn, H. (2017). Project management for engineering, business and
technology. Routledge.
Young, T. L. (2016). Successful project management. Kogan Page Publishers.