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Week 4 : Selecting the Supplier - Midterm

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1. (TCO 2) A firm should concentrate on its _____ processes while outsourcing its _____ processes.
(Points : 5)
oerhead! core
core! non"core
non"core! oerhead
non"core! core
2. (TCO 5) To assess the impact of a contract on #oth the #u$er and seller! an anal$sis of e%posure can
#e completed. Categories anal$&ed in this e%posure anal$sis include all of the following e%cept:
______. (Points : 5)
terms with no 'uantifia#le impact
(e$ contract terms
significant contract terms
informational terms from the )*P
3. (TCO +) *or most customers! re'uesting multiple #ids is the preferred approach #ecause it:
_______. (Points : 5)
adds to the pro,ect legitimac$
ma$ lead to competitie pricing or serice leels
ena#les the customer to use the possi#ilit$ of other interested endors as a negotiating tool
all of the a#oe
4. (TCO -) The Term! Contracting Part$! .ntegration! )etained Assets! and Performance /tandards are
all: _______. (Points : 5)
(e$ terms to the Contract Pricing Options
(e$ terms in a Cost Proposal
(e$ terms in a )e'uest for .nformation
(e$ terms in the 0PO Agreement
5. (TCO 1) 2hat actiities is the contract administrator responsi#le for in a contract situation3 2hat
a#out the pro,ect manager3 (Points : 42)
6. (TCO 5) 2hat is the difference #etween the Cost"Plus"*i%ed *ee (CP**) and the Cost"Plus".ncentie
*ee (CP.*) contract structures3 (Points : 42)
7. (TCO -) 6ist three commonl$ used ealuation criteria listed in an )*P and e%plain wh$ a #u$er would
want this information #efore selecting a seller. (Points : 42)
8. (TCO 7) 2hat is an independent estimate and wh$ should a #u$er produce an independent estimate
#efore selecting a seller3 (Points : 42)
9. (TCO +) 8escri#e the common sections of the )*P. (Points : 42)
Week 4 : Selecting the Supplier - Midterm
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1. (TCO 2) Part 4: 6ist and define the si% phases of the pro,ect procurement management process. Part
2: 9ow could $ou organi&e a simple pro,ect such as renoating a #athroom into the si% steps in the
pro,ect procurement management process3 Part 1: The #u$er determines the contract pricing structure
during which step of the pro,ect procurement process3 (Points : 1:)
2. (TCO 4) Part 4: 8iscuss the following t$pes of contract pricing: (a) fi%ed price! (#) cost"plus price! (c)
time ; materials! and (d) unit price. Part 2: <%plain the appropriate utili&ation of each contract pricing
t$pe and the impact of ris( to the contracting parties. Part 1: 2hat t$pe of contract pricing structure
misaligns the #u$er=s motiations with the seller=s3 (Points : 1:)
3. (TCO 1) <aluate the most common #usiness driers for outsourcing #usiness
processes. 2hich two driers would #e among the most important3 (Points : 1:)
4. (TCO 4) 6ist and descri#e the directies to consider the process of outsourcing if $ou
are a senior manager. (Points : 1:)

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