Question 1

The procurement management plan:

Accepted Answer

A)   describes how the procurement division will be managed. 
B)   describes how supply chain partners will be managed. 
C)   describes how a project team will acquire goods and services from outside the performing organization. 
D)   describes how sellers will be audited by the procurement team. C

Question 2

All of the following accurately describe the features and characteristics of a contract EXCEPT:

Accepted Answer

A)   A contract binds both the seller and the buyer. 
B)   A contract obligates the seller to provide a specified product or service. 
C)   A contract obligates the buyer to pay for a specified product or service. 
D)   The project organization is always a buyer in a contract arrangement D

Question 3

Project partnerships offer which of the following advantages to both clients and vendors?​

Accepted Answer

A)   Ability to explore new technologies 
B)   Potential of lower cost for client 
C)   More effectively managed risks 
D)   Opportunity for vendor to prove themselves A

Question 4

Contract types are often associated with two broad categories: fixed-price contracts and cost-reimbursable contracts.Briefly identify the factors to consider when determining which type is most appropriate for a planned contract.

Accepted Answer

The answer of Contract types are often associated with two...

Question 5

Traditional project procurement was characterized by win / lose adversarial relations between owner and contractor,whereas contemporary project partnering fosters a relationship of trust and collaboration.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following types of contracts involves payment to the seller for the seller's actual approved costs of completed work,plus a fee typically representing the seller's profit?​

Accepted Answer

A)   fixed-price contract 
B)   cost-reimbursable contract 
C)   equitable adjustment contract 
D)   direct cost contract

Question 7

A traditional buyer-seller relationship is defined as "a long-term relationship between an owner and a contractor in which the contractor acts as a part of the owner's organization for certain functions."

Accepted Answer

A) True 
 B)False

Question 8

Information is a key ingredient at each stage of the project supply chain,as well as within each phase of supply chain decision making.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following is one of the PMBOK Guide's three project procurement management processes?​

Accepted Answer

A)   Conduct procurements 
B)   Plan supply chain management 
C)   Manage logistics  
D)   Conduct Make-or-Buy Analysis

Question 10

The project organization can be a seller in dealing with the project owner or customer and a buyer in a more prevalent procurement setting.

Accepted Answer

A) True 
 B)False

Question 11

Project managers must frequently decide whether to obtain needed products and services from internal sources or from external sources.This decision is often referred to as the make-or-buy decision.Briefly identify and explain at least three reasons that support the decision to "make" the products and at least three reasons that support the decision to "buy" the products.

Accepted Answer

The answer of Project managers must frequently decide whether to...

Question 12

All of the following items are generally considered when selecting the right type of contract EXCEPT:​

Accepted Answer

A)   extent of price competition 
B)   overall degree of cost and schedule risk 
C)   urgency of requirements 
D)   project organization's accounting system

Question 13

Supply chain management focuses exclusively upon the parties directly involved in providing supplies to the project team.

Accepted Answer

A) True 
 B)False

Question 14

Often a project team will start the selection process by establishing a list of potential suppliers.All of the following information sources are frequently used to identify these potential suppliers EXCEPT:

Accepted Answer

A)   supplier catalogs or websites 
B)   sales personnel 
C)   stakeholder register 
D)   trade shows

Question 15

All of the following entities are typically included in the supply chain EXCEPT:

Accepted Answer

A)   suppliers 
B)   public relations 
C)   consumers 
D)   project team

Question 16

Buying from an outside supplier to meet project needs is a practice that is rarely used,because it invariably proves to be more expensive than doing the work with resources internal to the organization.

Accepted Answer

A) True 
 B)False

Question 17

All of the following statements accurately describe supply chain management EXCEPT:​

Accepted Answer

A)   It is a closed-loop system solely within the project organization's boundaries. 
B)   It spans across suppliers and producers, resellers, project organizations and consumers. 
C)   It addresses the flow of material, service, monetary and information across supply chain partners. 
D)   It is a system's approach to managing the entire flow of physical products.

Question 18

Project partnerships offer all of the following advantages to vendors EXCEPT:​

Accepted Answer

A)   More dependable stream of work 
B)   Clearly stated expected outcome  
C)   Buyer gains at the vendor's expense 
D)   Greater potential profit

Question 19

All of these are factors that could lead to a decision to buy or outsource rather than make or perform in-house,EXCEPT:​

Accepted Answer

A)   Flexibility in procurement 
B)   Ability to utilize specialized suppliers 
C)   Inadequate capacity 
D)   More control over quality and time

Question 20

_______ is the PMBOK process that identifies those project needs that can be met by acquiring products and services from outside suppliers,determines what to purchase or acquire,and finalizes when and how to do so.

Accepted Answer

A)   Define supply chain. 
B)   Plan procurement management. 
C)   Schedule procurements. 
D)   Negotiate contracts

Exam 13: Project Supply Chain Management

The procurement management plan:

All of the following accurately describe the features and characteristics of a contract EXCEPT:

Project partnerships offer which of the following advantages to both clients and vendors?​

Contract types are often associated with two broad categories: fixed-price contracts and cost-reimbursable contracts.Briefly identify the factors to consider when determining which type is most appropriate for a planned contract.

Traditional project procurement was characterized by win / lose adversarial relations between owner and contractor,whereas contemporary project partnering fosters a relationship of trust and collaboration.

Which of the following types of contracts involves payment to the seller for the seller's actual approved costs of completed work,plus a fee typically representing the seller's profit?​

A traditional buyer-seller relationship is defined as "a long-term relationship between an owner and a contractor in which the contractor acts as a part of the owner's organization for certain functions."

Information is a key ingredient at each stage of the project supply chain,as well as within each phase of supply chain decision making.

Which of the following is one of the PMBOK Guide's three project procurement management processes?​

The project organization can be a seller in dealing with the project owner or customer and a buyer in a more prevalent procurement setting.

All of the following items are generally considered when selecting the right type of contract EXCEPT:​

Supply chain management focuses exclusively upon the parties directly involved in providing supplies to the project team.

Often a project team will start the selection process by establishing a list of potential suppliers.All of the following information sources are frequently used to identify these potential suppliers EXCEPT:

All of the following entities are typically included in the supply chain EXCEPT:

Buying from an outside supplier to meet project needs is a practice that is rarely used,because it invariably proves to be more expensive than doing the work with resources internal to the organization.

All of the following statements accurately describe supply chain management EXCEPT:​

Project partnerships offer all of the following advantages to vendors EXCEPT:​

All of these are factors that could lead to a decision to buy or outsource rather than make or perform in-house,EXCEPT:​

_______ is the PMBOK process that identifies those project needs that can be met by acquiring products and services from outside suppliers,determines what to purchase or acquire,and finalizes when and how to do so.

Project partnerships offer which of the following advantages to both clients and vendors?

Which of the following types of contracts involves payment to the seller for the seller's actual approved costs of completed work,plus a fee typically representing the seller's profit?

Which of the following is one of the PMBOK Guide's three project procurement management processes?

All of the following items are generally considered when selecting the right type of contract EXCEPT:

All of the following statements accurately describe supply chain management EXCEPT:

Project partnerships offer all of the following advantages to vendors EXCEPT:

All of these are factors that could lead to a decision to buy or outsource rather than make or perform in-house,EXCEPT: