Guide to Close Procurements PMBOK Guide Seventh Edition
What is Close Procurements?
Close Procurements is the process of completing each project procurement. It involves verifying that all work and deliverables are acceptable, resolving any open items, and settling the terms of the contract. If done efficiently, it ensures seamless closure of contracts, any required audit, and the completion of all project documents for future reference.
Why is Close Procurements Important?
Close Procurements is important as it provides a systematic mechanism to inspect and verify all contracted work. It helps avoid any unresolved claims or disputes in the future. Furthermore, it also enhances the relationships within a project as stakeholders know that all contracts will be efficiently concluded.
How does Close Procurements work?
Close Procurements works through a series of steps such as reviewing all terms and details of the contract, confirming the completion of all contractual obligations, ensuring that all payments have been made, and finally, formally closing the contract in writing. Final project documents are also updated and archived accordingly.
Exam Tips: Answering Questions on Close Procurements
Here are some tips to help you answer questions on Close Procurements in an exam:
- Understand the process: It is key to have thorough knowledge of all stages of the procurement closure process. This includes reviewing documents, confirming compliance, settling terms and archiving records.
- Focus on key principles: Understand that the prime objective is to confirm that the contractual obligations have been met.
- Real-world scenarios: Most questions will be founded on scenarios. It is important to practice these. Various factors may affect the way a contract is closed. Be ready to apply the principles of the process to these scenarios.
- Know your terms: Be sure to grasp key terminologies like 'contract', 'procurement', 'closure' and 'obligations'