Slide 1.

Title

PM630 Contracting and Procurement in Project Management

Slide 2. Request for Proposal

“This task contains portions of material that were

originally submitted during in this session, PM630-2001A-

01, Contracting and Procurement in Project Management

with Mr. Manuel Duarte, Unit 1 Individual Project

submitted January 14, 2020.”

ACME Development Corporation Background Information

ACME Development Corporation (ADC) wants to standardize Project Management procedures

and methods throughout the United States for all Project Managers (PM). ADC wants to start with

one scheduling tool that all PMs will use solely. ADC wants PM to share information instantly. ADC

has set a ninety day install and fully operational time frame.

ADC, develops custom homes and apartment complexes. ADC employs forty permanent staff

members throughout the United States. Staff members have had total control over the their

scheduling tools, procurement of equipment and services within their budget constraints[ CITATION

PM620 \l 1033 ].

Project Goals

 Standardized Project Management Practices

 Instant commutations

 Project Management reference data base

 Ability to share information instantaneously

 To reach our goals, ADC will be accepting bids in response to this Request for Proposal

Project Details

Create a Web-based solution for procurement and scheduling software usable on multiple platforms

and devices. Capability of sharing information between Project Managers instantaneously. Create a

shared data base of procurement best practices.

Target Deliverable Schedule

The expected project completion date is June 30, 2020. If this date is not met or needs to be

adjusted, include your readjusted proposed date, as well as the reasoning for shifting the schedule.

All proposed dates will be taken into consideration.

Existing Roadblocks or Technical Issues

ACME Development Corporation currently has a few roadblocks or technical issues:

1. 40 Project Managers throughout the United States.

Each location has unique network connection outside of our control.

2. Each Project Manager has their own computer, laptop, phones and/or smartphone to connect to

the network. Scheduling software needs versatility in connecting the PMs.

Budget Constraints

The budget for this project is $10,000.

Evaluation Metrics

ACME Development Corporation evaluates bidders and proposals based on the following criteria:
 Previous experience/past performance.

Samples and/or case studies from previous projects.

Experience and technical expertise.

Projected costs.

Responsiveness and answers to questions in the following section.

Questions Bidders must answer to be considered

Q1: Can software be used on multiple platforms?

Q2: Is there tech support 24/7?

Q3: Size restrictions on Resource Data Base/ Shared information?

Q4: Training provided for use of software?

Submission requirements

Bidders must adhere to the following guidelines to be considered:

Only bidders who meet all metrics in the evaluation section should submit a proposal.

Proposals must be sent by [insert date.]

Interested bidders should submit the RFP and address it to [point of contact name and email

address] by no later than [insert deadline.]

Samples and references should be included along with the proposal.

Proposals should not exceed [number] pages long.

Failure to comply will result in an automatic rejection.

A proposed schedule must be included and clearly expressed.

Contact information

For questions or concerns in relation to this RFP, please reach out to Johannah Munoz at (555) 555-

5555, Johannah.munoz1@student.ctuonline.edu.
 Slide 3. Hire technicians to install and configure the software for your environment.

Hiring Network Technician to install a cloud base application for all Program Managers to use will cost

on an average of $20 to $40 dollars an hour ($43,200 to $86,400 annually) (Thumbtack, 2018). ADC has

an exciting benefits package for current employees therefor it would be a minimal cost for a benefits

package to be added. ADC will again a permanent fulltime tech support for after project end. However,

if only one position is hired then the availability of the tech support is limited to work hours. Should this

position workout well then, the possibilities for company growth by adding a technology division in the

construction/renovation of building. If the position does not work out well then, the tech becomes

stagnant and only used for this one program. ADC hires Tech support on a short contract to install and

configure the software environment, the tech does what is needed, and all is functioning very well. OR

ADC hires Tech support and the tech turns outs to not know the full extent of what needs to be done

causing failure to the project. ADC will not have a tech to support the continued upgrades for the

program or information on new better programs available.

Contract Recommendation: Fixed-Price with Incentive Fee would provide the contractor with an

incentive to complete the work while meeting the milestones. The fixed price contract means that both

contractor and ADC agree to the fixed price for the work and services to be done within the timeframe

allocated. Should the contractor meet all the milestone on time at the end of the contract there will be

an incentive for completion. ADC does carry most of the project risk should there be a change in the

project scope however, if there is a change in the cost of materials due to the contractor and not ADC

then the contractor will absorb the cost.

Slide 4. Bid

Slide 5. Hire a training entity to teach the student PMs the mechanics of using the new tool.
Project Management software is a tool to assist in making the project easier to manage. ADC PMs will

benefit from training on the same application and by the same training group. This will provide a close

to uniformed way of managing and monitoring project. However, once the training is completed there

is not continued support from the training group unless the same training group provides a limited time

support after the program goes live. If ADC contracts the training group separate from the installation,

then there will be additional cost to the project.

Contract Recommendation: Time and Materials Contract would provide the PM will instruct the

contractor on the requirements and the contractor will provide the services and materials to accomplish

the task. Services are agreed on in the form of labor hours. This rate is determined in the contract

negotiations. The time and materials contract is perfect for hiring experts to provide training.

Slide 6. Bid

Slide 7. Buy new server

 Buying a new server and software to run the tool and house the project database

 Hiring tool usage experts to transfer knowledge to the student PMs about the use of the tool on

the job for the first 60 days after going live

 Planning for the removal and disposal of the scheduling tool software and hardware that are no

longer to be used

Contract Recommendation for combining buying a server, software to run the tool and house database,

transfer data from old to know, and disposal of old hardware & software into one contract: Fixed-Price

with Incentive Fee would provide the contractor with an incentive to complete the work while meeting

the milestones. The fixed price contract means that both contractor and ADC agree to the fixed price for

the work and services to be done within the timeframe allocated. Should the contractor meet all the

milestone on time at the end of the contract there will be an incentive for completion. ADC does carry
most of the project risk should there be a change in the project scope however, if there is a change in

the cost of materials due to the contractor and not ADC then the contractor will absorb the cost.

 Buy a new server and software to run the tool and house the project database.

ADC does not currently have the infrastructure to support the new server and software to run the tool

and house the project database. ADC will need to provide the space for the software and insure proper

ventilation/temperature control. In addition, ADC will need fulltime tech support to create and maintain

this venture. ADC will need to ensure the server and program are safe from outside threats. This will

cost ADC more time and money on the project. However, ADC could use this project to start a new

venture by adding technology to the development of custom homes and apartment complexes.

 Hire tool usage experts to transfer knowledge to the student PMs about the use of the tool on

the job for the first 60 days after going live.

One of the primary reasons for the software implantation is to share information and status of ongoing

and past projects. ADC needs to ensure the transfer of older projects is inputted into the new program.

Unfortunately, the current PMs did not use the same method of managing projects and this task may

prove to be complicated. This is a chance of losing information in the transfer process. It is a positive

that support would be provided to 60 days after going live however, 60 days may not be enough time for

our PMs. Our PMs are located in many locations throughout the United States, they are all set in their

own way of doing things, and there may be a lag in communication.

Slide 8. Bid

Slide 9. Which bidding method will you use? Why?

Slide 10. Were there other possible bidding methods that you considered for this contract? Explain.
Slide 11. How does this procurement task of bid selection integrate with the rest of the project for ADC?
Slide 12. Once you have selected the ideal bidding method and a bidder has been accepted, how will you
ensure that the quality of the final product will be measured effectively?
Slide 13. What challenges will you need to overcome when measuring and ensuring quality? Why?
a. How will you overcome these challenges?
Slide 14. References