Home Forums PMP Questions and Answers Discussion Procurement Management Question 2

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  • #1788
    Gary
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    Although your company is not the lowest bidder for project, the client has come to expect a good performance from your company and wants to award the contract to you. To win the contract, the client asks you to eliminate your project management costs, the client says that your company has good project management processes and project controls unnecessarily inflate your costs. What should you do under these circumstances?

    a) Eliminate your project management costs and rely on experience
    b) Remove costs associated with the project team communications, meetings and customer reviews
    c) Remove meeting costs but not the project manager’s salary
    d) Describe the costs incurred on past projects that do not use project management

    #1789
    Gary
    Guest

    The correct answer is D.

    Project management activities are not optional. Choice D addresses the real problem by giving the client information that they may not have. An alternate choice is to explain that project management and its associated costs are reasons for the company’s past performance and success.

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