An input of the Plan Procurement Management process is:
A.
Make-or-buy decisions.
B.
Activity cost estimates.
C.
Seller proposals.
D.
Procurement documents.
The Answer Is:
B
This question includes an explanation.
Explanation:
According to the PMBOKĀ® Guide, specifically the Plan Procurement Management process, the project team identifies which project needs can best be met by acquiring products or services from outside the organization.
Activity Cost Estimates as an Input: To determine whether a component should be purchased or built in-house, the project manager needs to know the expected cost of the work. Activity cost estimates, developed during the Estimate Costs process, provide the baseline for evaluating the reasonableness of bids or proposals submitted by potential sellers.
Linkage to Budget: These estimates help in the Make-or-Buy Analysis by providing the internal cost data required to compare against the market price of external procurement.
Other Key Inputs: Other standard inputs include the Project Charter, Business Documents (Business Case), the Project Management Plan (specifically the Scope Baseline), and Project Documents like the Requirement Documentation and Risk Register.
Comparison with other options:
A. Make-or-buy decisions: This is a primary output of the Plan Procurement Management process. It is the result of the analysis performed during this stage, not the information used to start it.
C. Seller proposals: These are inputs to the Conduct Procurements process. They are received after the procurement documents have been sent out and potential vendors have responded.
D. Procurement documents: These (such as the RFP, RFQ, or IFB) are outputs of the Plan Procurement Management process. they are the documents created to describe the project needs to potential sellers.
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