The Role of the Project Manager - Literature review Example

Introduction When a procurement manager is faced with a project, he or she must perform a number of tasks to ensure the successful completion of that project. First of all, outside vendors may need to be recruited in order to fill the talent and ability gaps in the organization's staff. Secondly, the vendors that are selected will need to be negotiated with in order to come up with an agreement regarding the project. Finally, positive relationships must be built with these vendors in order to prevent problems from occurring throughout the course of the project. Most often, the project manager is responsible for fulfilling these tasks, but sometimes higher level management or purchasing departments play significant roles in the process. (Mindtools, 2008, pg. 1). According to EPIQ (2008), the process of procurement management provides some very valuable benefits to organizations. One of the most prominent benefits is reduced costs on the part of the company. Another highly praised benefit is time savings. Yet another is the ability of efficient procurement management to reduce redundancies in job tasks and positions. If an organization chooses to adopt a procurement management system, certain job tasks become automated, producing quicker and smoother results. Centralization is also an important feature of procurement management, so this helps to eliminate redundancies throughout the organization as well. Eliminating redundant jobs often opens up equipment and space for the organization, thereby allowing it to be used for better and more efficient purposes or be disposed of for extra income. The purpose of this paper is to discuss the procurement management activities I have performed in the past as a project manager according to the scenario, determine who in the organization has performed those activities if it was not the project manager, determine what procurement-related activities I anticipate I will be expected to complete as the project manager for IRTC, and determine what activities I need to do right now in order to get the project started. As a project manager, what procurement management activities have you performed in the past According to Carr, the project manager often owns the project, meaning that the individual in that role holds the top leadership position all the way from the beginning of the project until the end. Projects are infiltrated with multiple relationships occurring amongst the different parties involved in the scenario, and the project manager must continuously monitor those relationships. These relationships involve parties such as clients, employees, top management officials, or organization partners. Essentially, the project manager is at the very center of the project. (2007, pg. 1) The scenario states that I have performed various procurement tasks in the past, hence me being chosen as the project manager. First of all, I have a great deal of experience with the system that is being upgraded. Secondly, I have managed previous upgrade projects for the company. For this particular package, I have also performed roles as a business analyst, developer and tester for individual and related projects in the past. If the PM has not completed those activities, who in the organization has This particular project is expected to affect the billing and customer service departments the most. The idea is to reduce the time it takes to collect accounts receivable, reduce costs, and improve overall customer satisfaction. The billing staff has no proficiency with web applications as they will be seeing with the upgrade, but the customer service staff does. In the past, the Billing Department has owned and been responsible for the applications that are being upgraded, and that department's director has sponsored all projects involving upgrades. However, this will need to be slightly altered in the new upgrade because the chief operations officer of the company has determined that, since they will be so greatly affected by the change, the Customer Service Department also needs to play a major role in the upgrade. What procurement-related activities do you anticipate you will be expected to complete as the project manager for IRTC Both Dictionary.com (2008) and Merriam-Webster (2008) agree that to procure means to get or obtain. First of all, I will need to choose a sponsor for the project, as well as determine the structure and participants of the steering committee. Since the project will involve momentous changes to the overall business processes within the organization, this will likely create the need for new products to support those changes. In addition, existing jobs will need to be adjusted and several new positions will be created. This means that new personnel will need to be recruited and hired. I will also need to select my team members for the project, including both Information Technology and vendor staff. I will need to determine the role of the vendor and select vendor staff according to my budget guidelines and overall need. Documentation and training materials will also need to be procured for the project and provided to the team members. I will need to decide whether or not to purchase the $6,500 materials package from the vendor, which is likely seeing as how the person who would normally have the needed expertise on my team will be unavailable for the project. Training needs, the costs associated with each option, and the scope of the project will need to be thoroughly analyzed. The final option associated with this project is the decision whether or not to purchase the vendor's software add-on that will act to support integrating the customer service system that is in place with the customer service functions of the billing system. This is a tough one, especially considering that a decision has not yet been made as to which customer service system will be used or if they will be integrated or to what extent. What activities do you need to do right now This type of project falls under what Chapman calls complex. Chapman also believes that this type of project involves procurements and approaches that are uncertain in nature. According to Chapman, the protocol for this type of project includes a variety of tasks. First of all, a structured approach to the overall project must be drawn up. Within this structured approach and corresponding plan, budgets, needed documents, deliverables and schedules must also be developed. Second, a risk management plan must be developed and be inclusive of all areas in the project that involve risk, including procurement. Third, procurements need to be included in a list so that they can be checked off as they are fulfilled. Fourth, vendor relationships must be built and maintained. Perhaps most importantly, all staff with a direct interest in the project need to be included in the planning process and related meetings and communications. Lastly, all important plans and documents related to the project must be carefully organized and kept in an efficient filing system for easy access. (Chapman, 1997). Conclusion Procurement management involves an array of very important tasks, especially when it comes to the undertaking of a project. Vendors must be selected, terms must be agreed upon, positive relationships must be built with them, and the project manager must do what it takes to ensure the tasks performed are in the best interest of the organization in question. References Carr, E. (2007). Why a project manager AIGA. Retrieved May 26, 2008, from http://aiga.org/content.cfm/why-a-project-manager Procure. (2008). Dictionary.com. Retrieved May 26, 2008, from http://dictionary.reference.com/browse/procurement Procure. (2008). Merriam-Webster Dictionary. Retrieved May 26, 2008, from http://www.merriam-webster.com/dictionary/procure Procurement management. (2008). EPIQ. Retrieved May 26, 2008, from http://www.epiqtech.com/Purchase-Procurement-Management.htm Procurement management. (2008). Hyperthot. Retrieved May 26, 2008, from http://www.hyperthot.com/pm_meth9.htm Project management tools. (2008). Mindtools. Retrieved May 26, 2008, from http://www.mindtools.com/pages/main/newMN_PPM.htm Read More