Video Description

This lesson focuses on overview and planning and focuses on procurement. Procurement is the knowledge area which covers the processes necessary to purchase or acquire products, services or results needed from outsider the project team. Procurement includes:

  • Contract management
  • Change control processes

Both of these are required for contracts and purchase orders. Procurement management processes include: - Plan procurement management (planning)

  • Conduct procurements (executing)
  • Control procurements (monitoring)
  • Close procurements (closing)

[toggle_content title="Transcript"] Welcome to Cybrary. My name is Vincent McKeown I am the subject matter expert for the project management professional certification. Today we will be going over procurement. In the project management certification, there are five process groups 10 knowledge areas and 47 total processes. The five process group, there is initiation, planning, monitoring controlling, execution, and closing. The ten knowledge areas, are integration, scope, time, cost quality, human resources, communication, risk, procurement and stakeholder. The 47 processes are made up between the ten knowledge areas and the five process groups. Going into the exam, I would have the ten knowledge areas, memorized with the five process groups. Before the time start for the exam I would write on my brain dump what each one of these processes are. Here I have numbers but I would actually write what the processes. This way during the exam, you can quickly go to a process, if they're taking about scope, and you know there is four processes within planning. You can quickly identify that. Just a matter of knowing your inputs, outputs and tools. For procurement, there is one process needed for planning, one for executing, and one in monitoring controlling and one in closing. One key thing is there is only two knowledge areas, that have anything in closing. The other one is integration. This knowledge area covers the processes needed to purchase or acquire products or services or results needed from outside the project team. Procurement includes, contract, management, and change control processes required for contracts and to purchase orders. For this one there is plan procurement management which every knowledge area has a plan for that knowledge area, procurement, its plan procurement management, conduct a procurement which is in executing, control procurement which is buying and controlling and closed procurement which is in closing. The first process that we are go over is plan procurement management. Plan procurement management is the process that creates the documents which specify the project will approach procurement and identify potential sellers. This process creates the procurement management plan which is the main output. Procurement statement of work, procurement documents, seller selection criteria, maker a buyer decision. We will go over the tool for that, change request and project document updates. The inputs are the project management plan, remember the project management plan is the binder which contains all your sub plans. The sub plan happens to be the procurement management plan, requirements documentation, risk register, activity resource requirement, project schedule, activity, cost estimates, and stakeholder register. Looking at these outputs, the project management plan is going to tell you that you need a procurement plan. Requirements documentation tells you what you need. Risk register is going to identify all the risks for the project, so this ones that we are concerned about dealing with procurement, activity resource requirements, lets you know what you need the resources, when . Project schedule gives you the guidelines for what happens in the project. Activity cost estimates is letting you know how much each activity should cost so if you are trying to procure items or a subcontractor you need to know what your budget is for that. Stakeholder register lets you identify who the stakeholders are and how to engage them. The tools make or buy analysis, I am going to show you that on the white board next, expert judgement which is very common for tools. It is having the expertise for this process, marketing research...knowing what products are out there, and holding meetings. [/toggle_content]

Course Modules

Project Management Professional (PMP) - PMI

Instructor Background