PM Quiz 1

What is the primary purpose of Project Procurement Management?

• To recruit permanent employees

• To acquire goods and services from outside the organization

• To manage internal resources

• To downsize the company

What is a key advantage of using external suppliers?

• Increased company size

• Lower costs for permanent employees

• Access to resources not available internally

• Easier to manage internal teams

What document typically authorizes 'Make' work within a project?

• Purchase Order

• Contract

• Work Authorization

• Request for Proposal

Who typically has the Procurement Delegation of Authority in a company?

• Project Manager

• General Manager

• Procurement Officer

• Team Leader

What is the role of a project manager in procurement?

• To execute contracts independently

• To define project needs and work with buyers

• To oversee all financial transactions

• To manage supplier relationships exclusively

What is the first process in the six major Project Procurement Processes?

• Contract Administration

• Procurement Planning

• Source Selection

• Solicitation

What does the Solicitation Planning process involve?

• Managing seller performance

• Documenting product requirements

• Creating a Procurement Management Plan

• Evaluating seller proposals

What is the purpose of the Source Selection process?

• To settle open contractual issues

• To evaluate seller proposals and award contracts

• To manage seller performance

• To document product requirements

What is the final step in the Project Procurement Processes?

• Contract Administration

• Source Selection

• Contract Closeout

• Solicitation

What is a Purchase Requisition?

• A type of procurement policy

• An informal request for goods

• A document defining project needs

• A formal contract with a supplier