A project manager is confused about the perspective of the buyer-seller relationship in the context of project procurement management. How would your clarify this?

A. The buyer-seller relationship exists only between organizations external to the acquiring organization.
B. The buyer-seller relationship exists only between organizations internal to the acquiring organization.
C. The buyer-seller relationship is applicable only when a performing organization is involved.
D. The buyer-seller relationship can exist at many levels on one project, and between organizations internal to and external to the acquiring organization.

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As part of the procurement process, the procuring organization elected to have an estimate of costs prepared by an outside professional estimator. The estimator came up with an estimate of $ 500,000. However, the cost estimates prepared by prospective sellers were in the range of $ 200,000. How can this be best interpreted?

A. The procurement statement of work was deficient and ambiguous.
B. The professional estimator has inflated the estimate of costs.
C. The prospective sellers do not have the required skills to do the project.
D. Prospective sellers are trying to underbid and win the project.

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A seller organization was executing work for a project under a contract. During the course of the project, a number of disputes arose over the scope and quality of work. Which of the following is the preferred method of resolving these claims?

A. Alternative dispute resolution (ADR)
B. Claims court
C. Appeals court
D. Negotiation

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You are on the vendor selection committee for a large IT project that you will be managing for your company. Your friend works for a company that is planning to bid on the project. During a social dinner, the friend tells his job is on the line if his company does not win the contract. What should you do?

A. Notify the project stakeholders that you have social ties with one of the vendors, and excuse yourself from the selection committee.
B. Tell the friend you will do what you can, but don’t actually act on this.
C. Don’t mention your relationship to anyone involved with the project, but push for the friend’s company during the selection process.
D. This is simply networking. Let the project stakeholders know you have a social connection to the vendor and recommend they get the business.

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You have recently joined the a new company as a project manager. While reviewing the procurement plans for a project you will be taking over, you see that the company is considering using one of the most expensive manufacturers to provide certain equipment required for the project. While working with your previous employer, you used a different supplier for the same equipment, and paid significantly less for the equipment. Without telling your boss, you call the supplier you worked with previously for a quote. Have you violated the rule of keeping the proprietary information confidential?

A. Maybe. You need to talk to your boss first.
B. No. There is no harm in sharing the information with your current employer, because you are no longer working for your old employer.
C. Yes. The supply source is proprietary information and you should not contact the supplier.
D. You have not violated any rule.

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