CONPRO Syllabus

Contracts and Procurement
Module Syllabus
Learner experience
Project management has cemented its position as a key management approach, enabling organisations to efficiently and effectively reach their goals in a constantly changing business environment complicated by risks, uncertainties, and competitor pressures. The global economy implies yet another level of complexity inherent to the management of large-scale, geographically distributed project teams. Projects and programmes are often collaborative efforts where a number of organisations, including partners and sellers, work with the performing organisation to meet the goals of the project. In projects of today, interdependencies are the norm, and external dependencies are unavoidable in most cases. As a result, project managers need to spend time and effort in dealing with sellers, contractors, and partners. Therefore, they need to have thorough knowledge and understanding of contracting and procurement. In this module, you will learn how to optimise different components of the project supply chain, including inventory, supply, and consumption. This module also explains legal and commercial aspects of the supply chain in addition to contract negotiation skills.
Module description and aims

To manage costs, increase quality, and reduce risk, procurement has become a key part of the planning and coordinating process across projects. The purpose of this module is to provide students with a thorough grounding in the management of project contracts and procurement (short-term contracts, long-term contracts, and client-supplier relationships) and in the legal and financial issues therein. Aims The aim of this module is to introduce the student to some of the tools and constraints associated with managing both small and large project contracts, including procurement approaches. The aim of this module is to demonstrate how project managers handle contracts and coordinate the procurement process. Specific topics include the examination of procurement strategies and roles, including long-term contracts, short-term contracts, responsiveness, supplier-client relationships, etc. The module will also identify issues relating to contracts, including tendering, bidding, and order
1/15 Copyright - Laureate Online Education All rights reserved, 20002010, The module, in all its parts: syllabus, guidelines, lectures, discussion questions, technical notes, images and any additional material is copyrighted by Laureate Online Education B.V. Last update: 27 September 12
management processes, as well as the legal and commercial implications. Tools and techniques will be presented within each topic covered. Learning outcomes By the end of the module the student will be able to: Define the criteria for understanding project contracts; Discuss the fundamental concepts of procurement practices; Identify the legal and contractual obligations; Assess the importance of procurement to competitive business performance; Discuss how methods and techniques can be used in handling the extent of financial costing in projects.
Learning strategies
You will be studying this module through a combination of self-study and online interactions. The self-study materials introduce the full range of topics that need to be covered, although some additional detail will arise through discussion and collaboration between students and Instructors. One of the strengths of an online learning program such as this is the high level of student interaction, where students are encouraged to share their own experiences online for the benefit of the others. Each week of the module has detailed learning objectives, indicating the topics and level of competence that you should achieve on completion of that part. Assignments include discussion questions, hand-in assessment exercises, and a longer project. Self-study The self-study part of the course includes: Written and recorded Weekly Notes within each of the eight weekly themes in the module Hyperlinks to Web-based materials Links to slides and other media offering additional insights Recommended reading relating to the topics within the weekly theme
Weekly notes Each weeks theme is made up of several topics. These are introduced and explained in turn in the Weekly Notes. The Weekly Notes are also available as recorded sound files. However, you should note that the sound files may differ slightly from the text versions. For example, the full references to
sources, Internet addresses, and so on are given only in the text files. You can listen to the recorded versions of the Weekly Notes as many times as you want and download the sound files to your computer or other devices. Recommended reading We have indicated the pages in your textbook that you should read with each topic in the weekly theme. There are also important journal articles and other resources for you to study. These are available in the online library or elsewhere on the Internet. You will find that it is important to complete the recommended reading because your online interactions and your assessed work depend on it. Web-based materials In some weeks, you will be provided with links to relevant materials available on the Web that will support your study of the topics within the weekly theme covered in the module. These materials include presentations, videos, audio clips, and diagrams, as well as articles and academic papers. They are provided for reference so that you can follow up on any areas where you need more help or explanation or wish to increase your understanding of the topic. Online interactions You will have regular online interaction with other students and the Instructor in order to help consolidate your understanding of theoretical concepts and to develop your skills through discussion and exercises. The content of these online contact sessions will relate to the materials covered for each week and will include Discussion Questions set by the module Instructor and Hand-in Assignment questions, both of which will be assessed.
Text and software

The required texts for the Contracts and Procurement module are provided in the weekly Readings folder as module content. The core texts are: Required textbooks Fisher, R., Ury, W. & Patton, B. (2011) Getting to YES: negotiating agreement without giving in. 3rd ed. New York: Penguin Books. Sollish, F., Semanik, J., Morris, P.W.G. ed. & Pinto, J.K. ed. 2011. Planning and administering project contracts and procurement. Laureate Education, Inc., custom ed. Hoboken: John Wiley & Sons.
Note: The following texts are available electronically at the University of Liverpool online library. Cavinato, J.L., Flynn, A.E. & Kaufmann, R.G. (eds.) (2006) Supply management handbook. 7th ed. New York: McGraw-Hill [Online]. Available from: http://site.ebrary.com.ezproxy.liv.ac.uk/lib/liverpool/docDetail.action?docID=10 155019 (Accessed: 19 February 2010). Rudzki, R.A., Smock, D.A., Katzorke, M. & Stewart, S., Jr. (2006) Straight to the bottom line: an executive's roadmap to world class supply management. Fort Lauderdale, FL: J. Ross Publishing [Online]. Available from: http://site.ebrary.com.ezproxy.liv.ac.uk/lib/liverpool/docDetail.action?docID=10 124758 (Accessed: 19 February 2010). Supplemental textbooks (not Required, but you may find these texts useful) Hoover, W.E., Jr., Eloranta, E., Holmstrm, J., & Huttunen, K. (2001) Managing the demand-supply chain: value innovations for customer satisfaction. New York: John Wiley & Sons, pp. 142144 [Online]. Available from: http://site.ebrary.com.ezproxy.liv.ac.uk/lib/liverpool/docDetail.action?docID=10 001696 (Accessed: 19 February 2010). Langford, J.W. (2007) Logistics: principles and applications. 2nd ed. New York: McGraw-Hill. Lewis, H. (2007) Bids, tenders & proposals 2nd Ed. Philadelphia, PA: Kogan Page Audio files You will need an audio player, such as Windows Media Player, if you want to listen to the recorded version of the Weekly Notes. (The text version is also provided and you do not have to listen to the audio files if you prefer the written text.)
Overview of module work

Students are required in Weeks 18 to submit: Individual Discussion Question answers (DQI) 35 meaningful Discussion Question Follow-on postings (DQF) in response to fellow student submissions Hand-in Assignments (HA) in Weeks 2, 3, 5, and 7 A Project Proposal in Week 4, a Project Outline in Week 6, and a completed individual Final Project (FP) in Week 8
Discussion Questions You must submit your initial response to the Discussion Question (DQ) by the end of Day 3 (Saturday). A typical answer should have about 500 words, but it is the quality of the answer that matters, not the number of words. Answers will be submitted to the weekly Discussions folder, and also posted in the module Discussion Board. Following the 3 out of 7 days rule, you are required to participate with followon postings to your peers answers, making 35 significant DQ follow-on postings in addition to your initial response for each DQ by the end of Day 7 (Wednesday). Your total Discussion Board participation must occur on at least 3 individual days during each week. Follow-on postings should be significant contributions to the Discussion. You may wish to respond to your colleagues postings in one or more of the following ways: Ask a probing question. Share an insight from having read your colleagues posting. Offer and support an opinion or suggestion. Validate an idea with your own experience. Expand on the ideas in your colleagues posting.
Hand-in Assignments You must submit your answer to the Hand-in Assignment (HA) for 4 of the 8 weeks by the end of Day 7 (Wednesday). A typical answer should have between 500 and 1,000 words, but it is once again the quality of the answer that matters, not the number of words. Answers will be submitted to the weekly Assignments folder but are not to be posted in the module Discussion Board. For both the DQ and the HA, satisfactory answers will demonstrate clear understanding of the topics and issues related to the assignment. Good answers will be able to explain the reasons in more depth. Excellent answers
will be able to raise appropriate critical questions. Weak answers will demonstrate only a partial grasp of what is important in the context of the assignment. Instructors will provide feedback about these assignments in their weekly feedback to students. Final Project End of module assessment: 2,5003,000 word assignment (35 percent of the total module grade) The purpose of the Final Project is to apply the concepts and techniques of the module to develop a procurement management plan and acquire project resources based on the given case study. You will submit an Individual Project (IP) in Weeks 4 and 6. The IPs are components of the Final Project intended to help you plan your work and give you the benefit of your Instructors feedback before your Final Project is due in Week 8. In Week 4, you will submit a Project Proposal, which will convey the resources you will use for your research and the organisation you are proposing for your project. In Week 6, you will submit an annotated Outline of your research sources. In Week 8, you will address the comments from your Instructor and submit your Final Project. More details on each stage of the project are found in the weekly areas. Module readings Students are provided with weekly reading assignments, which can be found in the weekly Readings folder. Students are encouraged to make use of related academic and professional journals to supplement the course materials and to assist in the preparation of assignments. Many of these serials can be accessed through the University of Liverpool electronic library resources at http://www.liv.ac.uk/library/ohecampus/index.htm.
Assessment
The tables below outline the mandatory contribution in each category and the range of grades scales that applies to each component. Week 1 2 DQ Initial Response X X DQ Follow-on X X Hand-in Assignments X Module Project Part I Module Project Final Weight % 32 20 20 14 14
3 X X X
4 X X X
5 X X X
6 X X X
7 X X X
8 X X X
For general information on assessment and grading, please consult the Student Handbook section pertaining to Grading at http://success.ohecampus.com/index.php?mod=dcp&act=navigationindex&na vigationid=3691
Syllabus by Week
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Week 1
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Introduction to contracts and procurement

Topics Procurementbusiness practice foundation Estimating and controlling procurement costs Collaborating with marketing and sales Managing legal issues and risks Strategic importance of procurementthe organisational value proposition
Workload Self-study for Week 1: o Read and/or listen to the Weekly Notes for each topic o Read the textbook pages indicated under each topic o Review the additional media materials for the week Discussion Question: o Submit your response to the Turnitin link and also post it on the Discussion Board o Review responses by other students and make 35 meaningful comments
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Week 2
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Procurement strategies
Topics The procurement process Procurement systems Project procurement methods
Workload Self-study for Week 2: o Read and/or listen to the Weekly Notes for each topic o Read the textbook pages indicated under each topic o Review the additional media materials for the week Discussion Question: o Submit your response to the Turnitin link and also post it on the Discussion Board o Review responses by other students and make 35 meaningful comments Hand-in Assignment: o Submit responses to the Hand-in Assignment to the weekly Assignments folder
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Week 3
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Procurement management: part 1

Topics Specifying requirements for procurement Developing a project procurement management plan Selecting and assessing suppliers
Workload Self-study for Week 3: o o o o Read and/or listen to the Weekly Notes for each topic Read the textbook pages indicated under each topic Browse the links to Web-based materials under each topic Review the additional media materials for the week
Discussion Question: o Submit your response to the Turnitin link and also post it on the Discussion Board o Review responses by other students and make 35 meaningful comments Hand-in Assignment: o Submit responses to the Hand-in Assignment to the weekly Assignments folder
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Week 4
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Procurement management: part 2

Topics Planning for procurement: make-or-buy decisions Tendering and bidding Tools and techniques for requesting supplier responses Tools and techniques for selecting suppliers Using online tendering
Workload Self-study for Week 4: o Read and/or listen to the Weekly Notes for each topic o Read the textbook pages indicated under each topic o Review the additional media materials for the week Discussion Question: o Submit your response to the Turnitin link and also post it on the Discussion Board o Review responses by other students and make 35 meaningful comments Individual Project: o Submit your Project Proposal to the weekly Assignments folder
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Week 5
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Contract negotiations
Topics Negotiating contracts Principled negotiation The principled negotiation process Conflict management and resolution
Discussion Questions: o Submit your response to the Turnitin link and also post it on the Discussion Board o Review responses by other students and make 35 meaningful comments Hand-in Assignment: o Submit responses to the Hand-in Assignment to the weekly Assignments folder
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Week 6
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Contract management
Topics Types of contracts (fixed price and cost reimbursable) Risks associated with different contract types Performance contracting Managing contracts for optimum supplier performance Failure to perform Client-contractor resolution and cooperation
Discussion Question: o Submit your response to the Turnitin link and also post it on the Discussion Board o Review responses by other students and make 35 meaningful comments Individual Project: o Prepare an annotated project Outline of the Final Project report indicating the contents of each section in the report as well as a list of references on the cases studied and the concepts and techniques applied o Submit your outline to the weekly Assignments folder
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Week 7
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Procurement for competitive performance

Topics The role of the procurement manager Procurement consortia Procurement organisation within hosting organisation and the project Value management Project, programmes, portfolios, and procurement strategy
Discussion Question: o Submit your response to the Turnitin link and also post it on the Discussion Board o Review responses by other students and make 35 meaningful comments Hand-in Assignment: o Submit responses to the Hand-in Assignment to the weekly Assignments folder
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Week 8
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Financial, legal, and operational aspects of procurement

Topic Information systems in project contract management Managing project reviews and audits Financial aspects of project procurement and contracts
Discussion Questions: o Submit your response to the Turnitin link and also post it on the Discussion Board o Review responses by other students and make 35 meaningful comments Final Project: o Submit your Final Project to the weekly Assignments folder

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CONPRO Syllabus

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Contracts and Procurement

Module description and aims

Contracts and Procurement

Contracts and Procurement

Text and software

Contracts and Procurement

Contracts and Procurement

Overview of module work

Contracts and Procurement

Contracts and Procurement

Contracts and Procurement

Introduction to contracts and procurement

Contracts and Procurement

Contracts and Procurement

Procurement management: part 1

Contracts and Procurement

Procurement management: part 2

Contracts and Procurement

Contracts and Procurement

Contracts and Procurement

Procurement for competitive performance

Contracts and Procurement

Financial, legal, and operational aspects of procurement

Contracts and Procurement

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