PMI PMP Project Manager Certification

Category - Procurement Management

Which are valid reasons for a non-competitive procurement process? Select all that apply:
  1. Approved vendor in centralized procurement with set rate card
  2. No other vendors can perform work
  3. Friend owns a vendor that PM knows can do that work
  4. Time pressure
  5. Company has a patent on the required good or process
Explanation
Answer: A, B, D, E - It is a project manager’s professional discretion where a single vendor procurement process needs to be used. This is common in centralized procurement organizations with established rate cards for services. It may also be necessary when the time is compressed, or there is only one vendor in the space who can do the work. This may or may not because they have a patent on a required good or process.

However, knowing someone whose firm can do the work is not enough of a justification. What if even though you were sure they could do the work, they either charged you more or failed?

Key Take Away: The project manager gets blamed for failure in single vendor procurement situations, so cover your butt here.
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