A project has subcontracted part of the work of the project to an outside vendor. The work involves writing modules of software for the project.

The first delivery of the subcontracted software has been made, and it is found that the software will not perform the functions that were specified in the contract. The vendor says that the software cannot do what was specified in the contract and refuses to do the work. What should the project team do?

a. Cancel the contract and find another vendor.

b. Hold additional meetings with the vendor to determine the problem and the solution to the problem.

c. Seek legal advice form the company’s attorney.

d. Offer the vendor an additional incentive to finish the contract.