Overview
This Contract and Procurement Management unit will equip you with the knowledge, skills and techniques required for acquiring external products, results and services to meet the needs of the company and to achieve the project goals. It also offers you the opportunity to identify, apply and develop different negotiation strategies as well as assessing and responding to the potential risks encountered during the procurement. You will study contract types, procurement standards, legal and ethical aspects of commercial contracts as well as project tendering and awarding. On successful completion of this unit, you will have the capacity to apply the appropriate practices for managing contracts, conflicts, delays, claim and disputes.
Details
Pre-requisites or Co-requisites
Co- requisites: (PPMP20007, PPMP20008)
Important note: Students enrolled in a subsequent unit who failed their pre-requisite unit, should drop the subsequent unit before the census date or within 10 working days of Fail grade notification. Students who do not drop the unit in this timeframe cannot later drop the unit without academic and financial liability. See details in the Assessment Policy and Procedure (Higher Education Coursework).
Offerings For Term 1 - 2019
Attendance Requirements
All on-campus students are expected to attend scheduled classes – in some units, these classes are identified as a mandatory (pass/fail) component and attendance is compulsory. International students, on a student visa, must maintain a full time study load and meet both attendance and academic progress requirements in each study period (satisfactory attendance for International students is defined as maintaining at least an 80% attendance record).
Recommended Student Time Commitment
Each 6-credit Postgraduate unit at CQUniversity requires an overall time commitment of an average of 12.5 hours of study per week, making a total of 150 hours for the unit.
Class Timetable
Assessment Overview
Assessment Grading
This is a graded unit: your overall grade will be calculated from the marks or grades for each assessment task, based on the relative weightings shown in the table above. You must obtain an overall mark for the unit of at least 50%, or an overall grade of ‘pass’ in order to pass the unit. If any ‘pass/fail’ tasks are shown in the table above they must also be completed successfully (‘pass’ grade). You must also meet any minimum mark requirements specified for a particular assessment task, as detailed in the ‘assessment task’ section (note that in some instances, the minimum mark for a task may be greater than 50%). Consult the University’s Grades and Results Policy for more details of interim results and final grades.
All University policies are available on the CQUniversity Policy site.
You may wish to view these policies:
- Grades and Results Policy
- Assessment Policy and Procedure (Higher Education Coursework)
- Review of Grade Procedure
- Student Academic Integrity Policy and Procedure
- Monitoring Academic Progress (MAP) Policy and Procedure – Domestic Students
- Monitoring Academic Progress (MAP) Policy and Procedure – International Students
- Student Refund and Credit Balance Policy and Procedure
- Student Feedback – Compliments and Complaints Policy and Procedure
- Information and Communications Technology Acceptable Use Policy and Procedure
This list is not an exhaustive list of all University policies. The full list of University policies are available on the CQUniversity Policy site.
Feedback, Recommendations and Responses
Every unit is reviewed for enhancement each year. At the most recent review, the following staff and student feedback items were identified and recommendations were made.
Feedback from Student and self-evaluation
The unit content and assignments need to be clearer and more pertinent to project negotiation.
Review and revise unit learning materials and assessments.
Feedback from Student and self-evaluation
The recommended reading textbook is confusing with little relevance to the unit
Change the recommended reading materials for the unit.
Feedback from Student and self-evaluation
Learning would be enhanced by using more practical examples to highlight concepts of negotiation.
Revise materials to be more interactive and engaging.
- Demonstrate an integrative understanding of the key theories and concepts underpinning buyer-contractor relationships as well as the concepts of project contracts and procurement standards
- Analyse different commercial negotiation strategies and demonstrate an ability to creatively negotiate project plans, conflicts, delays and incentives in commercial projects
- Employ risk management planning and identification, and assess the risk encountered over the procurement process
- Negotiate and analyse the principles of tendering, pricing and awarding techniques and to utilise the negotiation approaches in commercial contracts
- Evaluate and develop clear legal, financial and technical components of project contracts
- Develop a project budget and an expenditure forecast as control mechanisms and link time, cost and resources to the project framework.
Alignment of Assessment Tasks to Learning Outcomes
| Assessment Tasks | Learning Outcomes | |||||
|---|---|---|---|---|---|---|
| 1 | 2 | 3 | 4 | 5 | 6 | |
| 1 - Online Quiz(zes) - 15% | ||||||
| 2 - Practical Assessment - 35% | ||||||
| 3 - Examination - 50% | ||||||
Alignment of Graduate Attributes to Learning Outcomes
| Graduate Attributes | Learning Outcomes | |||||
|---|---|---|---|---|---|---|
| 1 | 2 | 3 | 4 | 5 | 6 | |
| 1 - Knowledge | ||||||
| 2 - Communication | ||||||
| 3 - Cognitive, technical and creative skills | ||||||
| 4 - Research | ||||||
| 5 - Self-management | ||||||
| 6 - Ethical and Professional Responsibility | ||||||
| 7 - Leadership | ||||||
| 8 - Aboriginal and Torres Strait Islander Cultures | ||||||
Alignment of Assessment Tasks to Graduate Attributes
| Assessment Tasks | Graduate Attributes | |||||||
|---|---|---|---|---|---|---|---|---|
| 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | |
| 1 - Online Quiz(zes) - 15% | ||||||||
| 2 - Practical Assessment - 35% | ||||||||
| 3 - Examination - 50% | ||||||||
Textbooks
Negotiation for Procurement Professionals: A Proven Approach that Puts the Buyer in Control
Edition: 2nd
Authors: Jonathan O'Brien
Kogan page Ltd
Binding: Paperback
The Strategic Procurement Practice Guide: Know-how, Tools and Techniques for Global Buyers
(2017)
Authors: Ulrich Weigel; Marco Ruecker
Springer
ISBN: 9783319576503
Binding: eBook
Additional Textbook Information
Paper copies can be purchased from the CQUni Bookshop here: http://bookshop.cqu.edu.au (search on the Unit code)
eBook copies can be accessed from the publisher websites.
IT Resources
- CQUniversity Student Email
- Internet
- Unit Website (Moodle)
- online database Emrald and Scince direct for journal articles
- CQUniversity Library Resources
- Textbook and Videos - available for download via the course Moodle site or Online
All submissions for this unit must use the referencing style: Harvard (author-date)
For further information, see the Assessment Tasks.
z.abunada@cqu.edu.au
Module/Topic
Introduction to Procurement Management and Strategy
Chapter
Chapter 1:The strategic procurement guide book; Principles of modern purchasing.
Chapter 12: The PMBOK 6th Edition
- Definition, purpose and aim of procurement
- Introduction to project procurement cycle
- Key concepts for procurement management plan
- Procurement phases
- Introduction to procurement strategies
Events and Submissions/Topic
Lecture 1 Slides/ materials will be available via Moodle
Tutorial 1: Introduction to the Unit. Details via Moodle
Module/Topic
Procurement Routes and Strategies
Chapter
Chapter 1 and 3: Procurement Policy and Contract Manual
Chapter 12: the PMBOK 6th Edition
- Development and implementation of procurement strategy
- introduction to procurement routes
- Traditional Vs Design & Build contracts
- Innovative contract procurement approach
Events and Submissions/Topic
Lecture 2: Slides/ materials will be available via Moodle
Tutorial 2: Materials available via Moodle
Extra readings
Module/Topic
Risk in Procurement Management
Chapter
Chapter 5: Project Procurement management (Contracting, Subcontracting,Teaming) by: Quentin W. Fleming
Chapter 4: UN Procurement Handbook
- Potential areas of risk in the procurement cycle
- Risk assessment and quantification
- Risk Management Plan on Complex Project Procurement
- Risk Management and Closure Planning
- Internal and external risks
Events and Submissions/Topic
Lecture 3: Slides/ materials will be available via Moodle
Tutorial 3: Materials available via Moodle
Module/Topic
Engineering Contracts and Contracting Principles
Chapter
Chapter 5: The Procurement and Supply Manager's Desk Reference, + Website, 2nd Edition, by John Semanik; Fred Sollish; 2012
Chapter 5: Scottish Construction Contracts by MacRoberts
- Introduction
- Forms of contracts
- Principles of contracting
- Types of contracts and contract selection
- Completing the work
- Client- contractor relationship
- The quality of the work and defective work
- Legal advice/services and selection of contract terms
Events and Submissions/Topic
Lecture 4: Slides/ material will be available via Moodle
Tutorial 4:Materials available via Moodle
Extra readings
Release of Practical Assessment (35%)
Module/Topic
Claims, Variation Orders and Dispute Resolution
Chapter
-
Chapter 10: Dispute Resolution in Australia: Cases, Commentary and Materials by: David Spencer, Samantha Hardy
- The need for variation clause
- Sources of claims
- Development of claims
- Causes and prevention of disputes
- Dispute resolutions
- The alternative dispute resolution
- Causes lead to arbitration
Events and Submissions/Topic
Lecture 5: Slides/ materials will be available via Moodle
Tutorial 5: Materials available via Moodle
CASE STUDY : The case will be available via Moodle
Quiz #1
Module/Topic
Vacation Week
Chapter
Events and Submissions/Topic
Module/Topic
Cost Estimate
Chapter
-
Chapter 2 and 3: Cost Estimating Manual for Projects: USA Department of Transportation , 2015
- Basis of estimate and the baseline estimate
- Types of cost estimate (analogous estimate, parametric..)
- Cost estimating and budget control
- Cost estimate approaches
Events and Submissions/Topic
Lecture 6: Slides/ materials will be available via Moodle
Tutorial: Materials available via Moodle
CASE STUDY
Module/Topic
Project Budgeting
Chapter
- Introduction to project budget
- Elements of project budget
- Developing base cost budget
- Risk in project budget
- Establish a project budget
Events and Submissions/Topic
Lecture 7: Slides/ materials will be available via Moodle
Tutorial : Materials available via Moodle
Case Study
Module/Topic
Bidding , Tendering and Contract Awarding
Chapter
- Chapter 1: Bidding and construction; Methods of Contractor Selection by
- Chapter 12: PMBOK 6th Edition
- Bid pricing
- Competitive bidding
- Informal competitive bidding
- Duration of bidding period
- Equal opportunity policy
- Best value contractor selection
- Contractor selection criteria
Events and Submissions/Topic
Lecture 8: Slides/ materials will be available via Moodle
Tutorial 8: Materials available via Moodle
Extra readings
Quiz #2
Module/Topic
Negotiation in Procurement Management
Chapter
-
- Chapter 3: The Procurement and Supply Manager's Desk Reference, + Website, 2nd Edition, by John Semanik; Fred Sollish; 2012
- Chapetr 7: Negotiation for procurement professionals by: Jonathan O'Brien
- Introduction and principles of negotiation
- Process and structure of negotiation
- Negotiation practice sessions (Role-play)
- Winning event tactics and techniques
Events and Submissions/Topic
Lecture 9: Slides/ materials will be available via Moodle
Tutorial 9: Materials available via Moodle
Extra readings
Module/Topic
Procurement and Outsourcing Strategies
Chapter
-
Chapter 9: Design and managing supply chain: Concepts, Strategies and Case studies By: Levi et al 2008
- Issues with outsourcing
- Benefits of outsourcing
- Risks in outsourcing
- Case Studies
- Decision making criteria
- Supply matrix and strategies
Events and Submissions/Topic
Lecture 10: Slides/ materials will be available via Moodle
Tutorial 10: Materials available via Moodle
Due date of Practical Assessment
Practical Assessment Due: Week 10 Friday (24 May 2019) 5:00 pm AEST
Module/Topic
Ethics in Procurement
Chapter
Chapter 15: Dispute Resolution in Australia: Cases, Commentary and Materials by: David Spencer, Samantha Hardy;
Chapter 4: Procurement Practitioners' Handbook by the UN
- Introduction
- Codes of conduct
- Ethical concept and principles
- Stewardship
- Frauding and collusive tendering
- Integrity, transparency and confidentiality
- Due diligence and risk in ethics
Events and Submissions/Topic
Lecture 11: Slides/ materials will be available via Moodle
Tutorial 11: Materials available via Moodle
Quiz #3
Module/Topic
Emerging Trends in Procurement: Sustainable procurement
General Reversion
Chapter
- Introduction
- What is sustainable procurement
- Principles of procuring sustainability
- Concepts in sustainable development
- Benefits of sustainable procurement
- Policy context of Australian Government
In this Lecture we will also review the main aspects of the units and highlight the main topics.
Events and Submissions/Topic
Presentation and General Reversion
Module/Topic
Chapter
Events and Submissions/Topic
Module/Topic
Final Exam
Chapter
Events and Submissions/Topic
This is a postgraduate level unit, extra reading materials and sources will be required and provided in due course via Moodle
1 Online Quiz(zes)
There will be THREE Quizzes in weeks (5, 8 and 11) and you need to attempt all quizzes.
You will be required to complete a series of multiple choice/ analysis of case studies and scenarios related to the topics.
Purpose
The primary purpose of this assessment item is to help you identify factors associated with contract and procurement management.
The secondary purpose of this assessment is to give you the opportunity to enhance your analysis and critical thinking skills.
Notes:
The idea of the quiz will be discussed during the tutorials beforehand. The quiz will be based on the learning from ALL previous weeks. In order for you to complete the quiz it is necessary to complete all learning activities prescribed in the prior weeks.
Important Notes:
All Quizzes will will be available for One week starting on Monday 9:00AM AEST timing
student will only have one attempt for each quiz
The quiz is an OPEN BOOK test. You may refer to the unit materials (lectures slides, your own notes etc)..
3
Other
Quizzes must be completed within the time frame
There are three quizzes over the semester and you are required to attempt ALL quizzes
The following criteria will be used to grade your Quizzes:
- The percentage of correct answers
- The accuracy and coherent/logic of your analysis
- No penalty deduction for wrong answers
- Demonstrate an integrative understanding of the key theories and concepts underpinning buyer-contractor relationships as well as the concepts of project contracts and procurement standards
- Employ risk management planning and identification, and assess the risk encountered over the procurement process
- Negotiate and analyse the principles of tendering, pricing and awarding techniques and to utilise the negotiation approaches in commercial contracts
- Knowledge
- Cognitive, technical and creative skills
- Self-management
- Ethical and Professional Responsibility
2 Practical Assessment
This is a group assignment for on-campus students (minimum THREE to maximum FOUR students in a group) whereas distance education students will complete this assignment individually.
The assessment contains a case study from the real world context for a multi component project. You will be given enough details about the case and the projects involved with the project description and the scope of the work involved.
Please read the case study which will be provided in Moodle. You should be able to provide advice in concise written report considering the following:
Task
1- Critically analyse and advise on the most suitable procurement route on the case study. The case study contains different sub-projects. You will be also developing project budgets based on the data given. You will be given the characteristics of the client, project limitations and conditions and available resources for each sub project.
2- You need to justify your procurement route and explain why it is suitable to make the projects successful to better achieve the quality, time and cost of this project. You may need to explain why not other routes were selected.
3-Advise on the best suitable contractual agreements for parties involved to compliment the procurement option.
4- If you were to propose a contract type, discuss the risks associated and the key components that must be covered in selected contract
5- Estimate the required budget (s) the sub- projects
6- As a procurement manager and in light of this case, you need to highlight your main concessions to perform purchase process of the assigned resources
7-Your report should include thorough analysis with supporting evidences and discussion.
Week 10 Friday (24 May 2019) 5:00 pm AEST
Week 12 Friday (7 June 2019)
OVERVIEW:
The assessment has two parts:
1- 25% report
2- 10% presentation
The overall mark for this assessment would be adjusted to reflect the actual contribution and understanding of each member of the report.
The report will be assessed based on the quality of the work presented, the details and the coherent analysis with the proper justifications of the proposed procurement routes and the associated issues.
Your submission should extend beyond the unit materials and you are requested to use available online resources and any additional relevant information and will be assessed according to the following criteria
- Understanding and analysis of the case and applying the concepts of contract and procurement strategies (10%)
- Critically analyse and evaluation of the procurement routes. this includes detailed description of why/why not the specific routes were selected at each case (35%)
- Identify, analyse and assess the risks associated in each approach (15%)
- Map the factors and characteristics of each sub-project with the factors to be considered for the best procurement strategy (10%)
- Develop valid and proper budgeting for the assigned tasks and required resources (15%)
- Proper address of the concessions and applying suitable negotiation strategy (15%)
Oral presentation (10% scaled)
- Preparation and consistency of presentation (10%)
- Understanding and relevance of the presentation content (40%)
- Set up and use of visual aids, including PowerPoint slides (10%)
- Timing including Q&A (5%)
- Response to Questions during Q&A (30%)
- Presentation manner (5%)
- Demonstrate an integrative understanding of the key theories and concepts underpinning buyer-contractor relationships as well as the concepts of project contracts and procurement standards
- Analyse different commercial negotiation strategies and demonstrate an ability to creatively negotiate project plans, conflicts, delays and incentives in commercial projects
- Employ risk management planning and identification, and assess the risk encountered over the procurement process
- Evaluate and develop clear legal, financial and technical components of project contracts
- Develop a project budget and an expenditure forecast as control mechanisms and link time, cost and resources to the project framework.
- Knowledge
- Communication
- Cognitive, technical and creative skills
- Research
Examination
Calculator - non-programmable, no text retrieval, silent only
As a CQUniversity student you are expected to act honestly in all aspects of your academic work.
Any assessable work undertaken or submitted for review or assessment must be your own work. Assessable work is any type of work you do to meet the assessment requirements in the unit, including draft work submitted for review and feedback and final work to be assessed.
When you use the ideas, words or data of others in your assessment, you must thoroughly and clearly acknowledge the source of this information by using the correct referencing style for your unit. Using others’ work without proper acknowledgement may be considered a form of intellectual dishonesty.
Participating honestly, respectfully, responsibly, and fairly in your university study ensures the CQUniversity qualification you earn will be valued as a true indication of your individual academic achievement and will continue to receive the respect and recognition it deserves.
As a student, you are responsible for reading and following CQUniversity’s policies, including the Student Academic Integrity Policy and Procedure. This policy sets out CQUniversity’s expectations of you to act with integrity, examples of academic integrity breaches to avoid, the processes used to address alleged breaches of academic integrity, and potential penalties.
What is a breach of academic integrity?
A breach of academic integrity includes but is not limited to plagiarism, self-plagiarism, collusion, cheating, contract cheating, and academic misconduct. The Student Academic Integrity Policy and Procedure defines what these terms mean and gives examples.
Why is academic integrity important?
A breach of academic integrity may result in one or more penalties, including suspension or even expulsion from the University. It can also have negative implications for student visas and future enrolment at CQUniversity or elsewhere. Students who engage in contract cheating also risk being blackmailed by contract cheating services.
Where can I get assistance?
For academic advice and guidance, the Academic Learning Centre (ALC) can support you in becoming confident in completing assessments with integrity and of high standard.
What can you do to act with integrity?
