PMP · Question #1188
A new manufacturing line project is planned to be delivered in iterations for the equipment installation phase. During one of the iterations, the vendor communicates to the project manager that they w
The correct answer is D. Review the procurement agreements to address the situation.. When a vendor communicates an inability to meet agreed delivery dates, the project manager's immediate next step should be to review the procurement agreements to understand contractual obligations and remedies.
Question
Options
- AFind another vendor who can fulfill the delivery dates.
- BReplan the remaining iterations according to the new installation dates.
- CUpdate the product backlog in order to address the delays.
- DReview the procurement agreements to address the situation.
How the community answered
(28 responses)- A4% (1)
- B18% (5)
- C7% (2)
- D71% (20)
Why each option
When a vendor communicates an inability to meet agreed delivery dates, the project manager's immediate next step should be to review the procurement agreements to understand contractual obligations and remedies.
Finding another vendor might be a subsequent step, but without first understanding the current contractual situation, the project might incur unnecessary costs or legal issues.
Replanning the remaining iterations is a necessary consequence of the delay, but it should be done after understanding the contractual obligations and potential vendor resolutions.
Updating the product backlog is an agile response to changing priorities or scope, but the immediate problem is a vendor contractual breach, which needs to be addressed through procurement processes first.
The procurement agreement outlines the terms and conditions, including responsibilities, deadlines, and consequences for non-delivery or delays. Reviewing this document is the critical first step to understand the contractual implications, evaluate available options, and determine the legal and financial recourse available to the project before taking further action.
Concept tested: Procurement management and contract administration
Topics
Community Discussion
4D is the right call here. Before touching the backlog or replanning iterations, the PM has to review the procurement agreement because that is where remedies, penalties, and change provisions live. Jumping straight to a new vendor or a backlog update skips governance and exposes the program to claims down the line. You anchor every vendor deviation back to the contract first, then cascade any adjustments through the iteration plan.
One of my seniors made the same point about anchoring to the contract first, but he also mentioned looping in legal or procurement early since the PM might not catch every clause buried in a complex agreement.
Saw this on my exam last month, vendor delay always means check the contract first.
Saw this one on my exam last month and the key is that when a vendor misses a delivery commitment, your first move is always to check what the contract actually says about delays, penalties, or remedies before you do anything else. A senior PM at my company told me the procurement agreement is your playbook when things go sideways with a vendor, so you review it before replanning or swapping suppliers. D is correct because you need to understand your contractual rights and options first, then you can figure out the impact on iterations. A and B sound proactive but jumping to them without reviewing the agreement could put