A project manager wants to maximize the cost savings on software expenditures for a project. Currently, the project manager does not know how many users will acquire the product. Which of the…

The correct answer is B. Subscription. A Subscription procurement method would allow the project manager to maximize cost savings in this scenario. With subscription-based software, the project manager can avoid upfront costs and instead pay based on the number of users or usage over time. This method offers…

Project Management Concepts

Question

A project manager wants to maximize the cost savings on software expenditures for a project. Currently, the project manager does not know how many users will acquire the product. Which of the following procurement methods should the project manager pursue?

Options

ABuild
BSubscription
CLease
DBuy

How the community answered

(60 responses)

A
15% (9)
B
70% (42)
C
5% (3)
D
10% (6)

Explanation

A Subscription procurement method would allow the project manager to maximize cost savings in this scenario. With subscription-based software, the project manager can avoid upfront costs and instead pay based on the number of users or usage over time. This method offers flexibility, especially when the exact number of users is unknown, as the costs can scale with the actual usage, preventing overpayment for unused licenses.

Topics

#Procurement methods#Software acquisition#Cost optimization#Uncertainty management

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