Procurement management knowledge area

Procurement management includes the contract management and change control processes requires to administer contracts or purchase orders issued by authorized project team members. The knowledge areas overlap and come under the following process groups of initiation, planning, execution, monitoring and control, closing . Procurement Management includes the processes necessary to purchase or acquire products,services or results needed from outside the project team.The organization can either be the buyer or seller of the products, services, or results of a project. In this article we are going to discuss in-detail about various processes that form a part of the Procurement Management knowledge area, their inputs, tools and techniques, outputs. We'll be also discussing in detail on where they fit into project management framework.Various processes that constitute/ part of procurement management knowledge area includes : 1) Plan Procurements - Plan Procurements is the first process in Procurement management knowledge area.Plan Procurements comes under planning process group.As per PMBOK(Project Management Body Of Knowledge), Plan Procurements is the "Process of documenting project purchasing decisions, specifying the approach and identifying potential sellers".Whenever a project has been selected by project selection committee, next step is to decide on whether to execute it internally or use an external vendor to execute it.Such make-or-buy decisions are made in this process. 2) Conduct Procurements 3) Administer Procurements 4) Close Procurements Processes in Procurement management knowledge area are as follows : 1) Plan purchases and acquisitions 2) Plan contracting 3) Request seller responses 4) Select sellers 5) Contract administration 6) Contract closure