Procurement Management is defined as “the method for establishing relationships between an organisation’s purchasing department and external suppliers to order, receive, review and approve all the procurement items necessary for project execution” (MyMG, 2018).
It is a part of the overall management of a project and plays a key part in ensuring the project is delivered on-time and within budget.
Why do I need it?
- Provides honesty and fairness to all suppliers/subcontractors,
- Provides accountability and transparency in the decision-making process,
- Guards against conflicts of interest, and
- Provides a great platform for project success.
JC Engineers' perspective
- Know what you want: Are you able to communicate your requirements to potential suppliers, consultants, contractors, or sub-contractors? Can you explain (in plain language) what you are hoping to achieve?
- Know costs: Get at least three quotations. They will help you to estimate the market average pricing range. Ensure that you clearly understand what is included in (and excluded from) each of the quotations.
- Research potential candidates: Check business history with industry regulators (e.g. QBCC, ASIC, …). Check qualifications and industry affiliations. Talk to others in the industry.
- Ask for references: Assurance of completion of previous works will verify their quality, safety and ability to deliver the works within project budget and timelines.
- Government works: Ask if any previous works have been completed for local councils, state or federal government entities. These types of works specify standards to be met by candidates before any works can be commenced.
- Before project commencement: Ask for some key documentation (e.g. project plan, concept plan, ….) – particularly relevant for high-value contracts (>$200K). Can your candidate explain to you how they plan to achieve your aims? (in plain English).
JC Engineers’ personnel have vast experience in performing procurement management from the client-side, consultant-side and contractor-side of the process. Our personnel are highly qualified and able to advise on your organisation’s process or perform procurement management works for your project. Contact us today on (07) 3387 0137 or email your enquiry here.