Generating & Reviewing Procurement Requirements and Specifications
Generating & Reviewing Procurement Requirements and Specifications
Introduction
One of the most difficult tasks faced by project managers and procurement departments where they are established, is objectively converting project or organizational needs to new specifications and requirements. Properly defining and developing a scope of work, specification or requirements for procurement leads to effective supply chain management. Thus investing time and effort to create it is of immense value to the project.
According to Tanel(2009), specifications communicate the project’s requirements to the supplier. It serves as operational requirements specifically ordering the supplier on what will be acceptable delivery in response to a request; and what criteria will be used to determine such. The Office of Government Commerce (OGC) suggests that defining requirements, specifically the expected outputs allows for innovative and appropriate proposals, which incorporates the possibility of change (OGC, 2010, p. 3).
Process for Generating and Reviewing Procurement Requirements and Specifications.
Identify project or organizational needs
Procurement management process involves close and continuous liaison between the project user who is the requirement or specification developer, and the designate procurement officers. Since the project is the ultimate beneficiaries of any procurement, while the Procurement Department ensure appropriate procedures are followed, it is reasonable and appropriate both should collaborate in defining their requirements in the form of a specification.
Develop a scope of Work:
The scope of work is the definition, design, and production of the components for a project’s or service’s deliverables and their assembly into a satisfactory working whole(Tanel,2009). It essentially details for the contractors or suppliers, a basis for estimating, defines the extent of the anticipated effort, and description of the expectations of the
Introduction
One of the most difficult tasks faced by project managers and procurement departments where they are established, is objectively converting project or organizational needs to new specifications and requirements. Properly defining and developing a scope of work, specification or requirements for procurement leads to effective supply chain management. Thus investing time and effort to create it is of immense value to the project.
According to Tanel(2009), specifications communicate the project’s requirements to the supplier. It serves as operational requirements specifically ordering the supplier on what will be acceptable delivery in response to a request; and what criteria will be used to determine such. The Office of Government Commerce (OGC) suggests that defining requirements, specifically the expected outputs allows for innovative and appropriate proposals, which incorporates the possibility of change (OGC, 2010, p. 3).
Process for Generating and Reviewing Procurement Requirements and Specifications.
Identify project or organizational needs
Procurement management process involves close and continuous liaison between the project user who is the requirement or specification developer, and the designate procurement officers. Since the project is the ultimate beneficiaries of any procurement, while the Procurement Department ensure appropriate procedures are followed, it is reasonable and appropriate both should collaborate in defining their requirements in the form of a specification.
Develop a scope of Work:
The scope of work is the definition, design, and production of the components for a project’s or service’s deliverables and their assembly into a satisfactory working whole(Tanel,2009). It essentially details for the contractors or suppliers, a basis for estimating, defines the extent of the anticipated effort, and description of the expectations of the
References: Office of Government Commerce (OGC) 2 HM Treasury (2010). Contract management in long term or complex projects: Key commercial principles to help ensure value for money. London: OCG http://clients.squareeye.net/uploads/east2010/Contract_Management_in_Complex_Procurement(1).pdf Sollish, F., & Semanik, J. (2012) The Procurement and Supply Manager 's Desk Reference. 2nd ed. Hoboken: John Wiley & Sons Tanel, T.(2009)The Art of Planning and Writing Specifications & Requirements Paper at 95th Annual International Supply Management Conference, April 2009. http://www.ism.ws/files/Pubs/Proceedings/2010ProcCI-Tanel.pdf UL(2008) Guidelines on Writing Specifications. University of Limmerick Procurement Policies and Procedures 2008. http://www2.ul.ie/web/WWW/Services/Finance/Procurement_and_Supply_Chain_Office/UL_Procurement/Policies_%26_Procedures/Guidelines_on_Writing_Specifications