Which sequence best describes the core phases of procurement management?

Which sequence best describes the core phases of procurement management?

• A. Plan procurements, conduct procurements, administer contracts, close procurements
• B. Define requirements, design, test, deploy
• C. Initiate, plan, execute, close
• D. Identify risks, mitigate, monitor, control

Answer: (B)

Procurement management follows a lifecycle that starts with planning how to obtain goods and services from outside the organization, then carrying out the procurement, then supervising contract performance, and finally closing out the contract. Planning procurements defines what you need to buy, the approach for selecting suppliers, and the criteria for success. Conduct procurements is the stage where you seek bids or proposals, evaluate options, and award contracts. Administer procurements is the ongoing management of the contract, including monitoring performance, handling changes, and addressing issues with the seller. Close procurements completes the contract, verifies that all terms are met, finalizes payments, and releases resources. This sequence keeps the external purchase process organized from intent to fulfillment and formal closure. The other options describe different workflows—product development, general project phases, or risk management—not the structured contract life cycle used in procurement.

Procurement management follows a lifecycle that starts with planning how to obtain goods and services from outside the organization, then carrying out the procurement, then supervising contract performance, and finally closing out the contract. Planning procurements defines what you need to buy, the approach for selecting suppliers, and the criteria for success. Conduct procurements is the stage where you seek bids or proposals, evaluate options, and award contracts. Administer procurements is the ongoing management of the contract, including monitoring performance, handling changes, and addressing issues with the seller. Close procurements completes the contract, verifies that all terms are met, finalizes payments, and releases resources. This sequence keeps the external purchase process organized from intent to fulfillment and formal closure. The other options describe different workflows—product development, general project phases, or risk management—not the structured contract life cycle used in procurement.