M & C

Procurement Audit

The procurement audit is the review of contracts and contracting processes for completeness, accuracy, and effectiveness. Information in the audit can be used to improve the process and results on the current procurement or on other contracts. Information recorded in the audit includes:

  • Vendor performance audit
    • Scope
    • Quality
    • Schedule
    • Cost
    • Other information
  • Procurement management process audit
    • Process
    • Tools and techniques used
  • Description of good practices
  • Description of areas for improvement

The procurement audit is a technique from process 12.3 Control Procurements in the PMBOK® Guide – Sixth Edition. It is conducted periodically throughout the project, or as needed.

Tailoring Tips

Consider the following tips to help tailor the procurement audit to meet your needs:

  • Add qualitative information, such as how easy the vendor was to work with, timeliness of return- ing calls, and collaborative This can provide useful information for future procurement opportunities.

Alignment

The procurement audit should be aligned and consistent with the following documents:

  • Procurement management plan
  • Contractor status report
  • Contract closeout report
Document element Description 
What worked well Scope Describe aspects of contract scope that were handled well.
  Quality Describe aspects of product quality that were handled well.
  Schedule Describe aspects of the contract schedule that were handled well.
  Cost Describe aspects of the contract budget that were handled well.
  Other Describe any other aspects of the contract or procurement that were handled well.
What can be improved Scope Describe aspects of contract scope that could be improved.
  Quality Describe aspects of product quality that could be improved.
  Schedule Describe aspects of the contract schedule that could be improved.
  Cost Describe aspects of the contract budget that could be improved.
  Other Describe any other aspects of the contract or procurement that could be improved.
Procurement management process audit Plan procurements Indicate if each procurement was followed or not.Describe any tools or techniques that were effective for each procurement.
  Conduct procurements
  Control procurements
Good practices to share Describe any good practices that can be shared with other projects or that should be incorporated into organization policies, procedures, or processes. Include information on lessons learned.
Areas for improvement Describe any areas that should be improved with the procurement process. Include information that should be incorporated into policies, procedures, or processes. Include information on lessons learned.