Discussion

• Discuss any experience you have involving a procurement process.

For experiences that were deemed a success, discuss the main factors that contributed to the success. Consider factors such as proper planning, proper understanding of the organization requirements and needs, and proper use of procurement tools and strategies.

In my previous occupation, I was part of my Companies’ Project Team. My company specializes in the development of Specialty Chemicals for various Industries. Although we did not have a formal Project Management Program implemented, we still went through many steps associated with the program. As the Construction and Maintenance Superintendent, I was responsible for our Process Units’ Procurement, setup, installation, testing, and operational requirements. On occasion, I would have to travel to different locations to procure process equipment needed for a Project. The strategy I utilized was like the Project Procurement Strategy. The Project Procurement Strategy is the relationship of specific procurement actions to the Project’s operating environment (Kerzner, 2017). Before Procurement, I would discuss with my Engineers the requirements needed for this process, and what types of equipment were required, and start the direct Procurement process. Direct Procurement refers to obtaining anything that’s necessary to produce an end-product (“What are the types of procurement and procurement methods?”, 2021).

The next step would involve generating an equipment list with individualized specifications for each piece of equipment or part involved. If we did not have the available materials or equipment on hand, I would work with the Purchasing Department to seek vendors with our specific needs. On occasion, I would have to travel to the vendor and determine the material condition of the equipment and whether it could meet our needs. Once the items were located, I would work as a liaison between my Purchasing Department and our selected vendors to generate a Requisition Request to acquire the needed equipment or materials. Many of our purchases were fixed cost; however, we would occasionally work with clients who offered a cost-reimbursable solution to our needs. Once I have secured the necessary equipment and materials, I can start the construction process. For many of the purchases, this process would deliver successful results; however, it failed to do so on occasion.

• For experiences that were less successful, indicate what could have been done differently to improve the outcome.

Discuss the challenges that were encountered during the procurement process.

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Occasionally, my company would not locate the correct piece of equipment that was needed for our projects. Or, in certain instances, we would have to procure a piece of equipment that was not specifically designed for the processes we have set for it. Also, there were times when we procured equipment that was considered “AS IS” or not tested or inspected. On occasions such as this, we would insist on an equipment inspection before Procurement. However, if our schedule did not allow for an assessment before purchase, we would gamble with the possibility of a failed piece of equipment. This did happen on occasion, and my company was stuck with that decision. Although my Maintenance Department was set up to handle the necessary work or repairs to get the equipment into an operational status sometimes, this was not always the case. Occasionally, we would encounter a piece of equipment that would not be economically cost-effective to repair. If the equipment was sent to our facility and my team and I determined it was beyond our capabilities, we would have to work with the Purchasing Department to try and salvage our initial investment. This was a failure within our procurement process. Although we did not run into this scenario, it often happened, and the results were costly.

Resources

Kerzner, H. R. (2017). Project management: A systems approach to planning, scheduling, and controlling (12th ed.). Hoboken, NJ: Wiley. Section 19.1, “Procurement,” pages 662–664.

What are the types of procurement and procurement methods? (July 3, 2021). Retrieved from https://www.constructionplacements.com/types-of-pr…