Friday 22 February 2019

Project procurement plan | Planning Process for a project

The Project procurement management plan documents the management process of identifying products and/or services to purchase in support of your project.  It identifies the types of procurement strategies that will be used, outlines the scope of products and/or services to be procured, and identifies responsibilities for the procurement process up to and including contract closeout.

The plan will outline the time frame in which to procure the products and/or services; ensure that a valid, approved contract is in place before work begins; and define the acceptance criteria of the products and/or services in a statement of work or statement of technical specifications for the products and/or services procured.

The procurement management plan provides a framework to manage and coordinate a variety of procurement requirements, including hardware (e.g., development and/or installation hardware), software (e.g., COTS, outsourcing some or all of the development), and services (e.g., management or development contractors/consultants).

Our procurement plan will describe in detail what products and/or services will be procured (including appropriate technical specifications and/or statement of work), what the total (estimated) cost of the procurement will be, and what vendor the team will recommend to the selection official.  Our procurement management team members will adhere to best business practices in the expenditure of budgeted funds to best meet the requirements of the overall project.

General Procurement Objectives can be:

A well planned procurement strategy that falls within budget constraints of the project is critical to the success of the project.

The key procurement objectives for the project are:

>> Describe procurement objective for your process

Procurement Management Plan Components

The Procurement Management Planning Chart in Attachment A defines the relevant components of our plan: procurement statement, estimated cost, recommended vendor, and estimated time frame.

Project procurement plan template

Project procurement plan template

How to use project procurement plan template?

At the top of the project procurement plan template, you have to describe basic details of the project. Such as project name, prepared by, date etc. which are general information about a project. But this is very important information and essential for preparing project procurement plan template.

Project Initiation Phase

This portion of the Procurement Plan document is used to provide the project selection team with general information about the possible purchase of goods and services.  No approval signatures are required.

Procurement Statement

Describe, in general terms, what products or services are being considered for procurement. To accomplish the requirements of this Project, the following equipment and/or services must be procured. 

Estimated Cost

In view of budget constraints of this Project, the cost for above procurement items is estimated below. Provide an estimated total cost of all procurement in this project.  Include confidence limits for your estimate (e.g. plus/minus dollars or percent of estimate).  Example: $1,10,000 +/- 20%.

Vendor Selection

Describe what approach the project team will take to select a product or vendor (e.g. RFI, RFP, IFB). Our team recommends the following Vendor to the Selection Official.  

Project Planning Phase

This portion of the Procurement Plan document provides detailed information about how vendors, products and services will be chosen, what kind(s) of contract(s) will be used, how vendors will be managed and who will be involved at each stage of the process.  This document should be approved by appropriate individuals before the actual procurement process begins.

Procurement Definition

Describe, in specific terms, what items will be procured and under what conditions:

Selection Process & Criteria

Describe the selection process.  List selection criteria.  Describe any analytical selection tool that you will use.

Project Procurement Team

List all stakeholders who are involved in the Procurement Process, along with contact information and a description of their Procurement Role.  Enter an [ X] next to each project team member who is authorized to enter into contract agreements or purchase for the Team (insert rows as needed):

Contract Standards & Types

Provide the standards for documentation that will be used for each contract.  Document which types of contract(s) will be used and the actions required to initiate the contract. 

Vendor Management

Describe what steps the project team will take to ensure that the vendor provides all of the products and/or services (and only the products and/or services) that were agreed upon, and that appropriate levels of quality are maintained.


The signatures above indicate an understanding of the purpose and content of this document by those signing it. By signing this document, they agree to this as the formal Project Procurement Plan.

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