Project Procurement Planning 1

Procurement Planning: Begins at the start of a new project, includes the make or buy analysis, and ends with a published Procurement Management Plan.
Solicitation Planning: Starts implementation of the Procurement Management Plan, and ends with a solicitation document typically called the Request for Proposal (RFP).
Solicitation: Takes the RFP, and solicits formal proposals from sellers.
Source Selection: Evaluates seller proposals, and ends with the issuance of a contract award to a seller.
Contract Administration: Manages seller performance, and manages changes to seller authorized scope.
Contract Closeout: Settles all open contractual issues, and closes out each procurement.
Major (high risk): Complexity procurements, the purchase of something which does not exist, tailored to the project's unique specification. These would be considered critical sub-projects.
Minor (low risk) complexity procurements, will often represent large monetary values, but the commodities exist and will conform to the sellers existing product specification.
Routine buys of COTS (Commercial Off-The Shelf) commodities or purchased services.
Special procurements: done under corporate teaming arrangements.
Special procurements: to other segments of the project's company, typically called interdivisional work.
Contract payment types are separate from the project delivery methods and are coordinated with the buying organization’s internal financial systems. They include but are not limited to these contract types plus variations:
Lump sum, firm fixed price, cost plus award fees, cost plus incentive fees, time and materials, target cost, and others.
Fixed-price contracts are suitable when the type of work is predictable and the requirements are well defined and not likely to change.
Cost plus contracts are suitable when the work is evolving, likely to change, or not well defined.
Incentives and awards may be used to align the objectives of buyer and seller.

[@Jibransheikh132]

Thanks for such insightful lecture on project procurement planning process. Respected sir we are lucky enough to have your goodself being an authority on public procurement policies and practices. its one of the finest moments of life to learn under your dynamic and versatile mentorship. stay blessed stay safe sir, you are asset of Pakistan, lot of love and respect my mentor.