ACME Development Corporation (ADC), a developer of custom homes and apartment complexes, has decided to standardize its project management practices and processes across its national organization. The goal is to standardize with one single project-scheduling tool and to have the tool installed and be operational within 90 days. To this end, the company is forming a central project management office (PMO). Until now, project managers (there are 40 presently on staff distributed all over the United States) have been able to use whatever scheduling tool they liked, within their budget constraints. They have also been able to buy equipment and engage contractors at will. The PMO will be determining one scheduling tool that all PMs will be expected to use, exclusive of any other scheduling tools. The PMO will also develop and implement a standardized procurement process. Because the PMs are located across the United States, a Web-based solution seems likely to be the most successful tool.

As the project manager, you have been charged with implementing the procurement process, and you decide that your first project will be purchasing the scheduling tool for ACME Development Corporation.

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You have decided to move forward with a scheduling tool implementation project. In addition to purchasing the software, you need to procure additional goods and services to implement and deploy the tool. First, conduct a "make or buy" analysis for each of the following, and then develop an RFP for the items you decided to purchase:

• Technicians to install and configure the software for your environment.
• Training entity to teach the student PMs the mechanics of using the new tool.
• A new server and software to run the tool and house the project database.
• Tool usage experts to transfer knowledge to the student PMs about the use of the tool on the job for the first 60 days after going live.
• The removal and disposal of the scheduling tool software and hardware that are no longer to be used.

Your manager has scheduled an afternoon meeting with you to discuss your strategies for the procurement items for the scheduling tool implementation project.

Assignment Guidelines

• Develop your make or buy approach as well as the RFP, and be sure to respond to the following questions:
  • Did you decide to make or buy the goods and services for your project? Justify your answer.
  • What were the elements to consider in the make or buy decision?
• For each of the contracts above, address the following:
  • Which bidding method will you use?
  • Once you have selected the ideal bidding method and a bidder has been accepted, how will you ensure that the quality of the final product will be measured effectively?
  • What challenges will you need to overcome when measuring and ensuring quality? Why?
    • How will you overcome these challenges?