Department of BAIS
Project management
Graduate Program
Course Title: Project Procurement and Contract Administration
Level: Graduate
Duration: Weeks (2 hours per week)
instruction Mode: Gap Lectures, Case Studies, and Practical Assignments
Course instructors: Seifu M. (Ph.D.) Mahir J. (Ph.D.)
Course Description:
This course provides an in-depth understanding of procurement management and contract
administration within the framework of project management. It covers essential concepts,
practices, and ethical considerations vital for successful project delivery. Through case studies,
articles, and multimedia resources, students will explore real-world applications of procurement
strategies and contract management.
Course Objectives:
Understand the fundamental concepts of procurement management and contract
administration.
Analyze procurement policies and procedures as they apply to projects.
Explore ethical considerations in procurement processes.
Examine strategic sourcing and supplier relationship management.
Assess logistics, transportation, and inventory management in projects.
Manage contracts and handle variations, claims, and disputes effectively.
1
Chapter outline:
Chapter 1: Overview of Procurement Management
o Definition and Scope of Procurement Management
Explanation of procurement processes and their relevance in project
management.
o Procurement Planning
Overview of how to identify project needs and develop effective
procurement plans.
o Procurement Methods and Strategies
Exploration of various procurement methods (e.g., competitive bidding,
direct negotiation) and their strategic implications.
o Role of Procurement in Project Success
Discussion on the significance of procurement in achieving project
objectives, including cost control and quality assurance.
Case Studies:
o Case Study 1: "Procurement Practices in Global Construction Projects." [Link to
Case Study]
o Case Study 2: "The Impact of Procurement Management on Project Outcomes: A
Case of the Sydney Opera House." [Link to Case Study]
Published Articles:
o Article 1: "The Role of Procurement Management in Project Success" -
International Journal of Project Management. [Link to Article]
o Article 2: "Best Practices in Procurement Management" - Journal of Business
Research. [Link to Article]
YouTube Tutorials:
o Tutorial 1: "Introduction to Procurement Management" [Link to Video]
o Tutorial 2: "Understanding Procurement Planning" [Link to Video]
Supplementary Materials:
o Handbook: "The Complete Guide to Procurement Management" by Robert M.
Monczka et al. [1]
o Websites: Project Management Institute (PMI), Chartered Institute of
Procurement & Supply (CIPS).
2
Chapter 2: Essentials of Project Procurement Policy and Procedures
o Importance of Procurement Policies
Understanding the framework of procurement policies and their
role in project management.
o Steps in Procurement Procedures
Detailed breakdown of the procurement process, from needs
assessment to contract award.
o Compliance and Regulatory Requirements
Overview of legal considerations in procurement.
o Best Practices in Procurement Procedures
Exploring case studies of successful procurement implementations.
Case Studies:
o Case Study 1: "Public Procurement Policies and Their Impact on Project
Success." [Link to Case Study]
o Case Study 2: "Implementing Procurement Procedures in a Multinational
Corporation." [Link to Case Study]
Published Articles:
o Article 1: "The Role of Procurement Policies in Project Delivery" - Journal of
Procurement in Projects. [Link to Article]
o Article 2: "Understanding Project Procurement Procedures" - Project
Management Quarterly. [Link to Article]
YouTube Tutorials:
o Tutorial 1: "Project Procurement Process Explained" [Link to Video]
o Tutorial 2: "Developing Procurement Policies for Projects" [Link to Video]
Supplementary Materials:
o Government procurement guidelines and regulations.
o Templates for procurement processes.
Chapter 3: Procurement Ethics
o Overview of Procurement Ethics
Definition and importance of ethics in procurement management.
o Ethical Challenges in Procurement
Common ethical dilemmas faced by procurement professionals.
3
o Framework for Ethical Decision-Making
Tools and strategies for making ethical decisions in procurement.
o Best Practices for Ethical Procurement
Successful case studies that highlight ethical procurement practices.
Case Studies:
o Case Study 1: "Ethics Violations in Procurement: Lessons Learned." [Link to
Case Study]
o Case Study 2: "Implementing Ethical Procurement Practices." [Link to Case
Study]
Published Articles:
o Article 1: "Ethics in Procurement: A Review of Current Practices" - Journal of
Business Ethics. [Link to Article]
o Article 2: "The Importance of Integrity in Project Procurement" - International
Journal of Project Management. [Link to Article]
YouTube Tutorials:
o Tutorial 1: "Understanding Ethical Procurement" [Link to Video]
o Tutorial 2: "Navigating Ethical Challenges in Procurement" [Link to Video]
Chapter 4: Strategic Sourcing in Projects and Supplier Relationship
Management
o Definition of Strategic Sourcing
Understanding the concept and its relevance in project management.
o Supplier Selection Criteria
Key factors to consider when selecting suppliers.
o Building Supplier Relationships
Strategies for effective supplier relationship management.
o Performance Measurement and Evaluation
Techniques for assessing supplier performance.
Case Studies:
o Case Study 1: "Strategic Sourcing at Siemens: Building Supplier Relationships."
Link to Case Study
o Case Study 2: "Supplier Relationship Management in the Automotive Industry."
Link to Case Study
Published Articles:
4
o Article 1: "Strategic Sourcing: A Key Driver of Competitive Advantage" - Supply
Chain Management Review. Link to Article
o Article 2: "Effective Supplier Relationship Management" - Harvard Business
Review. Link to Article
YouTube Tutorials:
o Tutorial 1: "What is Strategic Sourcing?" Link to Video
o Tutorial 2: "Managing Supplier Relationships for Success" Link to Video
Chapter 5: Warehousing and Materials Handling in Projects
o Importance of Warehousing in Projects
Overview of warehousing functions and their impact on project efficiency.
o Materials Handling Techniques
Best practices for handling materials in project settings.
o Inventory Control in Warehousing
Strategies for effective inventory management.
o Technology in Warehousing
Role of technology in enhancing warehousing operations.
Case Studies:
o Case Study 1: "Effective Warehouse Management in Construction Projects." Link
to Case Study
o Case Study 2: "Optimizing Materials Handling in Manufacturing Projects." Link
to Case Study
Published Articles:
o Article 1: "Warehouse Management: A Key to Project Success" - Journal of
Operations Management. Link to Article
o Article 2: "Materials Handling in Project Management" - International Journal of
Production Research. Link to Article
YouTube Tutorials:
o Tutorial 1: "Warehouse Management Basics" Link to Video
o Tutorial 2: "Materials Handling Techniques" Link to Video
Chapter 6: Transportation Management in Projects
5
o Transportation Planning in Projects
Overview of transportation planning processes.
o Modes of Transportation
Comparison of different transportation modes and their
applications.
o Cost Management in Transportation
Strategies for managing transportation costs effectively.
o Risk Management in Transportation
Identifying and mitigating risks associated with transportation.
Case Studies:
o Case Study 1: "Transportation Management in Large Scale Projects." Link to
Case Study
o Case Study 2: "Logistics and Transportation in the Oil and Gas Industry." Link to
Case Study
Published Articles:
o Article 1: "Transportation Management in Project Logistics" - Journal of Business
Logistics. Link to Article
o Article 2: "The Role of Transportation in Project Success" - International Journal
of Project Management. Link to Article
YouTube Tutorials:
o Tutorial 1: "Transportation Management Overview" Link to Video
o Tutorial 2: "Effective Transportation Planning" Link to Video
Chapter 7: Inventory Management in Projects
o Importance of Inventory Management
Overview of inventory management's role in project success.
o Inventory Control Techniques
Techniques for effective inventory control and management.
o Just-in-Time Inventory Management
Exploring the Just-in-Time (JIT) approach in projects.
o Technology in Inventory Management
Role of technology in enhancing inventory management practices.
Case Studies:
6
o Case Study 1: "Inventory Management in Construction Projects." Link to Case
Study
o Case Study 2: "Optimizing Inventory in Manufacturing Projects." Link to
CaseStudy
Published Articles:
o Article 1: "Inventory Management Strategies for Project Success" - Journal of
Operations Management. Link to Article
o Article 2: "The Impact of Inventory Management on Project Performance" -
International Journal of Project Management. Link to Article
YouTube Tutorials:
o Tutorial 1: "Inventory Management Basics" Link to Video
o Tutorial 2: "Just-in-Time Inventory Management" Link to Video
Chapter 8: Project Contract Management
o Overview of Contract Management
Understanding the contract management lifecycle.
o Types of Contracts in Project Management
Comparison of different contract types and their applications.
o Contract Negotiation Strategies
Techniques for effective contract negotiation.
o Monitoring and Managing Contracts
Best practices for contract monitoring and compliance.
Case Studies:
o Case Study 1: "Contract Management in Public Sector Projects." Link to Case
Study
o Case Study 2: "Effective Contract Management in Private Sector Projects." Link
to Case Study
Published Articles:
o Article 1: "The Importance of Contract Management in Project Success" - Journal
of Construction Engineering and Management. Link to Article
o Article 2: "Best Practices in Contract Management" - International Journal of
Project Management. Link to Article
YouTube Tutorials:
7
o Tutorial 1: "Contract Management Overview" Link to Video
o Tutorial 2: "Effective Contract Negotiation" Link to Video
Chapter 9: Managing Project Variations, Claims, and Disputes
o Understanding Project Variations
Definition and types of project variations.
o Claims Management in Projects
Overview of claims processes and documentation.
o Dispute Resolution Techniques
Strategies for resolving disputes in project management.
o Legal Considerations in Claims and Disputes
Understanding the legal framework surrounding claims and disputes.
Case Studies:
o Case Study 1: "Managing Variations in Construction Projects." Link to Case
Study
o Case Study 2: "Dispute Resolution in Large Infrastructure Projects." Link to Case
Study
Published Articles:
o Article 1: "Managing Variations and Claims in Projects" - Journal of Construction
Management. Link to Article
o Article 2: "Dispute Resolution in Project Management" - International Journal of
Project Management. Link to Article
YouTube Tutorials:
o Tutorial 1: "Managing Project Variations" Link to Video
o Tutorial 2: "Claims and Dispute Resolution in Projects" Link to Video
References and Supplementary Materials
Monczka, R. M., Handfield, R. B., Giunipero, L. C., & Patterson, J. L. (2016). The
Complete Guide to Procurement Management. Cengage Learning.
Project Management Institute (PMI) - www.pmi.org
Chartered Institute of Procurement & Supply (CIPS) - www.cips.org
8
9