12.5.1. Legal aspects of the project procurement
Procurement is an area that affects project delivery. They are affected particularly by the legal documents as well as the challenges that face procurement managers during procurement. Procurement in any project requires that everything is done in the right way (Paylack, 2012). It is important that the project managers ensure that project procurement follows procurement procedures and guidelines. Other than the focus on Wilson Bridge Project, this section will also discuss some legal challenges that project managers face. Formation of valid contracts in this era of e-commerce is a major legal issue arising from huge projects that face procurement managers. These issues have been highlighted in the project auditing section.
Particular documents were involved In the Woodrow Wilson Bridge Project. The procurement department and the managers needed to enter into contracts, and these documents were used. They include:
- Proposal Request- a first document issued to the public to invite suppliers during the bidding process.
- Information Request- expected seller, sends a proposal of materials or services to be used during the process.
- Quotation Request- highlights the process of product and material, offers, solicitations, and contract documents.
The above follow legal procedures, and it might be difficult especially for big projects to meet all the legal requirements that validate the procurement process. The Woodrow Wilson Bridge Project was implemented after going through various agreements.
12.5.2. Procurement for government-based projects
Government-based projects are complex and slow especially for mega projects like Woodrow Wilson Bridge Project. Since government projects are public funded, they must involve the public through public participation which has been emphasized by the American government (Liebman & Mahoney, 2017). Procurement process must take into account legal issues such as the procurement procedures and documentation involved in the procurement process as well as the authenticity of suppliers. The challenges of delay and litigations are made imminent when these issues are factored in.
Project managers should, therefore, ensure that everyone and every process abides by the law (Thrall et al., 2012). Not only should project managers ensure that everything is done right, but they should also ensure that it is properly executed and free from compromise. Acceptability and accountability are important American principles, and every aspect of procurement should ensure they follow these. The environmental issues posed a challenge for the Woodrow Wilson Bridge Project especially considering violation; the project manager followed the court rulings thus abided by the law.
12.5.3. Issues and problems with "mega project" procurements
Mega projects are broken into mini projects and involve several other sub-contractors, contractors, and suppliers. This complexity gives the project manager the headache of risk management, confidentiality management, legal liability, and the corporate social responsibility of new suppliers, among others (Liebman & Mahoney, 2017). Suppliers may find it difficult to supply the necessary goods and services as per the agreement, adding new contracts and subcontracting may also be complex and difficult to do well since time is limited, confidentiality of information for the project may be breached to the public which then leads to legal liability and litigations that further delay the project.
Implementation of Woodrow Wilson Bridge Project was done when project management was a new phenomenon. The project management was atop of things and delivered as per the agreement despite this. The changing scope proved another challenge because even though there was a definite scope at the start of the project, it changed from time to time which delayed the project. This is a normal process during project delivery and was dealt with accordingly. Risk management and accountability proved a huge challenge for the Woodrow Wilson Bridge Project that delayed the project, even though the team had formulated a good risk management plan.
12.5.4. Unique aspects of bridge project procurements
Mega government projects are unique. The Woodrow Wilson Bridge Project was particularly unique because it had a transparent procurement process and it involved much consultation and public participation. Public participation and consultancy increased the level of transparency and accountability for the project. Other than that, the project used technology in ensuring project deliveries are realized even though the technology was not well advanced at the time. Lastly, the project managers were able to stick to the budget and utilized resources based on the initial project cost.
12.5.5. Project procurement and project-related social responsibility
As one of America's mega projects, the project management team expected a backlash relating to social responsibility. There was an issue with the use of underage people in delivering services. The issue was complex since even though it could be controlled at the project management level, it proved difficult to monitor at the contractor and sub-contractor level since they have their own personnel. The environment was also another issue that faced the project. As a water project, the Woodrow Wilson Bridge Project encountered particular issues regarding the rights of humans and animals (Thrall et al., 2012). The project needed to safeguard the marine and its massive and complex nature made it one of the most sensitive projects in America. Particularly, there were few environmental permit issues that the Federal Highway Administration (FHWA) was found liable by the courts (Liebman & Mahoney, 2017).
12.5.6. E-Procurement for project procurements
E-procurement is turning out to be a must have for any project management to deliver timely projects. E-procurement ensures intensive monitoring of the whole procurement process with adherence to the law. It is why many governments monitor their projects through e-procurement (Baily, 2017). The Woodrow Wilson Bridge Project's management plan gave direction as to how the various processes, procedures, resources, and workers should be included in the project procurement process. E-commerce ensures online monitoring of the supply process and the swift sealing of contracts. Communication must be planned before implementation of the project. E-commerce is a good communication tool as it ensures that project managers stay in touch with the stakeholders. E-commerce can also reduce costs by leveraging volume, having structured relationships with suppliers, and improving the systems that reduce external spending while at the same time improving the quality and supplier performance. It also eliminates paperwork, errors and reworks. E-commerce has proved to be better than the old systems as it ensures the approval of suppliers using workflows and authorizations (Baily, 2017).
Procurement evaluation involves evaluation of offers received by the project management team. Major projects use single sourcing which means they receive several procurement offers. A procurement team evaluates these offers ensuring they meet the criteria of the project plan. Indeed, Woodrow Wilson Bridge Project faced many procurement evaluation aspects.
Even though E-procurement is effective in project procurement, it involves several challenges including; legal liabilities, the formation of contracts, observation of intellectual property rights, enforcement, and security breaches.
12.5.7. Project procurement documentation requirements
Project procurement requires the following documents; proposal request which is the first document issued to public to invite suppliers during bidding process, the information request that is expected seller sends proposal of materials or services to be used during process, and the quotation request which highlights process of product and material, offers, solicitations and contract documents. These documents follow legal procedures, and it might be difficult especially for big projects to meet all the legal requirements that validate the procurement process. The Woodrow Wilson Bridge Project was implemented after going through various agreements and documents.
12.6 Procurement Evaluation
12.6.1. Scope Management
Scope management is important as it allows project managers to ensure work is done well and as per schedule. Woodrow Wilson Bridge Project faced the challenge of changing scopes because although the project had been initially to follow a particular schedule, it was changed from time to time (Baily, 2017). It was, however, premeditated and had been factored into the project management plan. The plan ensured that the changing scopes and the risks involved were catered for and managed appropriately. The project can be rated to have a 3 out of 5 scope management as most plans were delivered as per the schedule.
12.6.2. Time Management
Time management like scope management ensures that the project is completed within the schedule and as planned (Grimsey & Lewis, 2017). The procurement processes are; request initiation, requirement development, request approval, authority purchase, bid review, contract management responsibility, contract closure requirements, and procurement process flowchart. The Woodrow Wilson Bridge Project's procurement management plan offered directions on the processes, procedures, resources, and people that should be incorporated in order to achieve the project goals (Lozano et al., 2018). After the award of the contract to successful contractors, it was documented that it was imperative that they used the available resources, within the specified period, within the budget, and following the procurement regulations that were stipulated. Indeed, the project was done within the scheduled time, and it can be evaluated numerically with a score of 4 out of 5.
12.6.3. Cost Management
Cost management involves planning and controlling the budget of a project. It involves planning, estimating, financing, budgeting, managing, and controlling costs to ensure that the project is done within the approved budget. Woodrow Wilson Bridge Project was done under budget at $2.456 billion rather than the estimated cost of $2,476 billion which ranks as 5 out of 5 in cost management matters.
12.6.4. Quality Management
The project managers should ensure that every activity is done in accordance with the goals and aims of the project. Ensuring that the desired quality is achieved is a major element of the project is important and forms a critical factor in each and every project management team. The Woodrow Wilson Bridge Project met the desired quality in design, and because of that, I rated it 4 out of 5 in quality management matters.
12.6.5. Resource Management
The Woodrow Wilson Bridge project management team used the resources well in identifying the procurements needed and the suppliers as well as the timeframe that the suppliers needed to be identified. The team also identified that the contractors had the best knowledge and experience in determining the materials with the best quality material needed for the execution of the project. There was a need for the management to engage both the suppliers and contractors to be able to achieve this (Lozano et al., 2018). These were among the activities considered during project management planning phase that caused the project to be delivered within the budget and used the resources as needed (both human and material). I can score resource management for the Woodrow Wilson Bridge Project 4 out of 5.
12.6.6. Communication
A communication plan is a document that has the approval of how the activities of a project should be executed controlled and monitored. It has with it the management plan subsidiary as well as the...
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