PM 0018 –CONTRACTS MANAGEMENT IN PROJECTS

 

DRIVE

SPRING 2016

PROGRAM

MBADS (SEM 4/SEM 6)

MBAFLEX/ MBA (SEM 4)

PGDPMN (SEM 2)

SUBJECT CODE & NAME – PM 0018 –CONTRACTS MANAGEMENT IN PROJECTS

BK ID – B2014

CREDIT AND MARKS – 4 CREDITS AND 60 MARKS

 

 

Q1. Explain essential elements of project contract. How a project contract is formed?

  • Essential elements of project contract
  • Formation of project contract

Answer:

Essential elements of project contract

We have studied that a contract is an agreement enforceable by law. To beenforceable by law, an

 

Q2. What is bidding? Describe the bidding process from the buyer’s perspective. (Define bidding and mention the purpose of bidding, Describe 6 steps of the bidding process from the buyer’s side.) 10

Answer: Bidding:Bidding can be defined as a process of setting a price that an individual iswilling to pay for buying a product or service (as in an auction) or for sellinga product or service (as in project tenders). It can also be defined as aprocess to determine the price of a product, and it is mostly prevalent inauctions, stock exchange and real estate. The purpose of bidding is toprovide competition and thereby, reduce costs for an owner.The owner holds a meeting for all bidders to whom he/she has sent arequest for proposal or a request for bid. These conferences, which may bediscretionary or

 

 

Q3. Explain the structure of a contract. (List the elements of the contract structure, Explain the elements) 10

Answer: Contract Structure:There are several types of contracts in different industries. Contracts differin their terms such as type of work, number of parties involved, degree ofrisk, price of the contract, etc. However, the structure of a contract is almostsimilar in most industries. Most contracts follow the same basic format.Generally, contracts begin with a Preamble and continue with recitals orintroduction. Some contracts may not include the recitals or introductionunits, for example, contracts with short time periods. All contracts have amain section, the body of the contract, which addresses the reason why

 

 

Q4. Explain Co-operative Benchmarking Process (COBAP). (Explain the 8 steps of the COBAP process) 10

Answer: Co-operative benchmarking –an approach to partnering:In the case of partnerships, benchmarking can help in improving theperformance of organisations. The main motive for partnering is continuousimprovement, which is not possible without benchmarking.The Co-operative Benchmarking Approach to Partnering (COBAP) involvespartnering as a long term approach for

 

 

 

Q5. Explain process of procurement. Using the Internet search, list the procurement activities in the construction industry.

  • process of procurement

 procurement activities in the construction industry

Answer:

Process of Procurement

The procurement process includes the activities of procuring goods orservices, paying the bills, and closing the procurement contracts.The steps of the procurement process are shown in Fig

 

 

Q6. What are the different contract forms of PPP (Public Private Partnership). (Explain the 4 contract forms of PPP) 10

Answer: The 4 contract forms of PPP: The different contract forms of PPP are given below:

Management contracts: These contracts have a short-term tenure ofaround 2 to 5 years. In these contracts, the public sector retains theownership of the contract and enters into an agreement with the privatesector for managing a whole or a part of a public enterprise. The publicsector uses the skills and