PMP Question #890: Real Exam Question with Answer & Explanation

Question

A consultancy firm is finally selected and contracted for a project following an extensive and competitive procurement process. A few months into project execution, the client asks the project manager why the consultant is contracted for only 18 months instead of the full 32-month-long project. The project manager will need to carry out an unplanned second bidding process to ensure services are in place until the end of the project. What should the project manager have done to prevent this?

Options

• ADeveloped a detailed, phased procurement management plan including all activities required and
• BIncluded the client in all negotiation phases with the consultancy to obtain their advanced
• CAgreed beforehand with the client on the frequency of reporting on the status of the procurement
• DPrepared and negotiated a second contract with the consultancy firm for the remaining 14 months

Explanation

To prevent an unplanned second bidding process due to a contract duration mismatch, the project manager should have developed a detailed and phased procurement management plan upfront.

Common mistakes.

• B. While client involvement in negotiations is good for transparency, it does not replace the project manager's responsibility for detailed procurement planning to align contract durations with project timelines.
• C. Agreeing on reporting frequency helps in communication but does not prevent a fundamental planning error regarding contract duration; it would only reveal the issue sooner.
• D. Preparing a second contract beforehand is a reactive solution for a known phased approach, but the problem states the need for a second bidding process was unplanned, indicating a failure in initial comprehensive planning.

Concept tested. Procurement planning and contract management

Reference. https://www.pmi.org/pmbok-guide-standards/foundational/pmbok/seventh-edition

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