Satisfy Supplier Agreements
Agreements with the suppliers are satisfied by both the project and the supplier.
SP 2.1 Review COTS Products
Review candidate COTS products to ensure they satisfy the specified requirements that are covered under a supplier agreement.
In the event that COTS products are desired, care in evaluating and selecting these products and the vendor may be critical to the project.
For Supplier Sourcing
Integral to the selection decision are proprietary issues and the availability of the products.
Typical Work Products
1. Trade studies
2. Price lists
3. Evaluation criteria
4. Supplier performance reports
5. Reviews of COTS products
Subpractices
1. Develop criteria for evaluating COTS products.
2. Evaluate candidate COTS products against the associated requirements and criteria.
These requirements address the following:
· Functionality, performance, quality, and reliability · Terms and conditions of warranties for the products
· Risk
· Suppliers' responsibilities for ongoing maintenance and support of the products
3. Evaluate the impact of candidate COTS products on the project's plans and commitments.
Evaluate according to the following:
· Cost of the COTS products
· Cost and effort to incorporate the COTS products into the project
· Security requirements
· Benefits and impacts that may result from future product releases. Future product releases may provide additional features that support planned or anticipated enhancements for the project, but may also result in the supplier withdrawing support of the version for the product that is acquired by the project.
4. Assess the suppliers' performance and ability to deliver.
5. Identify risks associated with the selected COTS product and the supplier agreement.
6. Select the COTS product to be acquired.
In some cases, selection of COTS products may require a supplier agreement in addition to the agreements in the product’s license.
Examples of agreements with COTS suppliers include the following:
· Discounts for large quantity purchases
· Coverage of relevant stakeholders under the licensing agreement, including project suppliers, team members, and the project’s customer
· Plans for future enhancements
· On-site support, such as responses to queries and problem reports
· Additional capabilities that are not in the product
· Maintenance support, including support after the product is withdrawn from general availability
7. Plan for the maintenance of the COTS product.
SP 2.2 Execute the Supplier Agreement
Perform activities with the supplier as specified in the supplier agreement.
Typical Work Products
1. Supplier progress reports and performance measures
2. Supplier review materials and reports
3. Action items tracked to closure
4. Documentation of product and document deliveries
Subpractices
1. Monitor supplier progress and performance (schedule, effort, cost,and technical performance) as defined in the supplier agreement.
2. Monitor selected supplier processes and take corrective action when necessary.
Examples of processes to be monitored are quality assurance and configuration management.
3. Conduct reviews with the supplier as specified in the supplier agreement.
Reviews cover both formal and informal reviews and include the following steps:
· Preparing for the review
· Ensuring that relevant stakeholders participate
· Conducting the review
· Identifying, documenting, and tracking all action items to closure
· Preparing and distributing to the relevant stakeholders a summary report of the review
4. Conduct technical reviews with the supplier as defined in the supplier agreement.
Technical reviews typically include the following:
· Providing the supplier with visibility into the needs and desires of the project’s customers and end users, as appropriate
· Reviewing the supplier's technical activities and verifying that the supplier’s interpretation and implementation of the requirements are consistent with the project’s interpretation
· Ensuring that technical commitments are being met and that technical issues are communicated and resolved in a timely manner
· Obtaining technical information about the supplier’s products
· Providing appropriate technical information and support to the supplier
5. Conduct management reviews with the supplier as defined in the supplier agreement.
Management reviews typically include the following:
· Reviewing critical dependencies
· Reviewing project risks involving the supplier
· Reviewing schedule and budget
Technical and management reviews may be coordinated and held jointly.
6. Use the results of reviews to improve the supplier's performance and to establish and nurture long-term relationships with preferred suppliers.
7. Monitor risks involving the supplier and take corrective action as necessary.
8. Revise the supplier agreement and project plans and schedules as necessary.
SP 2.3 Accept the Acquired Product
Ensure that the supplier agreement is satisfied before accepting the acquired product. Acceptance reviews and tests and configuration audits should be completed before accepting the product as defined in the supplier agreement.
Typical Work Products
1. Acceptance test procedures
2. Acceptance test results
3. Discrepancy reports or corrective action plans
Subpractices
1. Define the acceptance procedures.
2. Review and obtain agreement with relevant stakeholders on the acceptance procedures before the acceptance review or test.
3. Verify that the acquired products satisfy their requirements.
4. Confirm that the nontechnical commitments associated with the acquired work product are satisfied.
This may include confirming that the appropriate license, warranty, ownership,usage, and support or maintenance agreements are in place and that all supporting materials are received.
5. Document the results of the acceptance review or test.
6. Establish and obtain supplier agreement on an action plan for any acquired work products that do not pass their acceptance review or test.
7. Identify, document, and track action items to closure.
SP 2.4 Transition Products
Transition the acquired products from the supplier to the project.
Before the acquired product is transferred to the project for integration,appropriate planning and evaluation should occur to ensure a smooth transition.
Typical Work Products
1. Transition plans
2. Training reports
3. Support and maintenance reports
Subpractices
1. Ensure that there are appropriate facilities to receive, store, use,and maintain the acquired products.
2. Ensure that appropriate training is provided for those involved in receiving, storing, using, and maintaining the acquired products.
3. Ensure that storing, distributing, and using the acquired products are performed according to the terms and conditions specified in the supplier agreement or license.
GG 2 Institutionalize a Managed Process
The process is institutionalized as a managed process.
Commitment to Perform
GP 2.1 (CO 1) Establish an Organizational Policy
Establish and maintain an organizational policy for planning and performing the supplier agreement management process.
Elaboration:
This policy establishes organizational expectations for establishing,
maintaining, and satisfying supplier agreements.
Ability to Perform
GP 2.2 (AB 1) Plan the Process
Establish and maintain the plan for performing the supplier agreement management process.
Elaboration:
Typically, portions of this plan for performing the supplier agreement management process are a part of the project plan. Often, however, some portions of the plan reside outside of the project with an independent group, such as contract management.
GP 2.3 (AB 2) Provide Resources
Provide adequate resources for performing the supplier agreement management process, developing the work products, and providing the services of the process.
Elaboration:
Examples of resources provided include the following tools:
· Preferred supplier lists
· Requirements tracking programs
· Project management and scheduling programs
GP 2.4 (AB 3) Assign Responsibility
Assign responsibility and authority for performing the process,developing the work products, and providing the services of the supplier agreement management process.
GP 2.5 (AB 4) Train People
Train the people performing or supporting the supplier agreement management process as needed.
Elaboration:
Examples of training topics include the following:
· Regulations and business practices related to negotiating and working with suppliers
· Acquisition planning and preparation
· COTS products acquisition
· Supplier evaluation and selection
· Negotiation and conflict resolution
· Supplier management
· Testing and transitioning of acquired products
· Receiving, storing, using, and maintaining acquired products
Directing Implementation
GP 2.6 (DI 1) Manage Configurations
Place designated work products of the supplier agreement management process under appropriate levels of configuration management.
Elaboration:
Examples of work products placed under configuration management include the following:
· Statements of work
· Supplier agreements
· Memoranda of agreement
· Subcontracts
· Preferred supplier lists
GP 2.7 (DI 2) Identify and Involve Relevant Stakeholders
Identify and involve the relevant stakeholders of the supplier agreement management process as planned.
Elaboration:
Examples of activities for stakeholder involvement include the following:
· Establishing criteria for evaluation of potential suppliers
· Reviewing potential suppliers
· Establishing supplier agreements
· Resolving issues with suppliers
· Reviewing supplier performance
GP 2.8 (DI 3) Monitor and Control the Process
Monitor and control the supplier agreement management process against the plan for performing the process and take appropriate corrective action.
Elaboration:
Examples of measures used in monitoring and controlling include the following:
· Number of changes made to the requirements for the supplier
· Cost and schedule variance per supplier agreement
Verifying Implementation
GP 2.9 (VE 1) Objectively Evaluate Adherence
Objectively evaluate adherence of the supplier agreement management process against its process description, standards, and procedures, and address noncompliance.
Elaboration:
Examples of activities reviewed include the following:
· Establishing and maintaining supplier agreements
· Satisfying supplier agreements
Examples of work products reviewed include the following:
· Plan for Supplier Agreement Management
· Supplier agreements
GP 2.10 (VE 2) Review Status with Higher Level Management
Review the activities, status, and results of the supplier agreement management process with higher level management and resolve issues.
(The following goal is not required and its practices are not expected for a maturity level 2 rating, but are required for a maturity level 3 rating and above.)
GG 3 Institutionalize a Defined Process
The process is institutionalized as a defined process.
GP 3.1 Establish a Defined Process
Establish and maintain the description of a defined supplier agreement management process.
GP 3.2 Collect Improvement Information
Collect work products, measures, measurement results, and improvement information derived from planning and performing the supplier agreement management process to support the future use and improvement of the organization’s processes and process assets.
