Unit of competency details

BSBPMG416A - Apply project procurement procedures (Release 1)


Usage recommendation:
Supersedes BSBPMG408A - Apply contract and procurement proceduresNew unit code and title. Revised and updated unit descriptor and application of unit section. New element wording. Substantially rewritten and clarified performance criteria. Expanded and updated required knowledge section. Expanded and updated range statement. Updated and clarified evidence guide. Removed assessment requirement for ‘multiple complex projects’. 17/Mar/2013
Is superseded by and equivalent to BSBPMG416 - Apply project procurement proceduresUpdated to meet Standards for Training Packages 24/Mar/2015

Release Status:
ReleaseRelease date
1 1 (this release) 18/Mar/2013

Training packages that include this unit


SchemeCodeClassification value
ASCED Module/Unit of Competency Field of Education Identifier 080315 Project Management  

Classification history

SchemeCodeClassification valueStart dateEnd date
ASCED Module/Unit of Competency Field of Education Identifier 080315 Project Management  03/Oct/2013 
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Modification History



Release 1

This version first released with BSB07 Business Services Training Package Version 8.0.

Replaces BSBPMG408A Apply contract and procurement procedures.

Unit Descriptor

This unit describes the performance outcomes, skills and knowledge required to assist with procurement for a project. It involves identifying procurement requirements, assisting with supplier selection, conducting procurement activities, and assisting with procurement finalisation activities for the project.

Application of the Unit

This unit applies to a project practitioner working in a project support role.

The individual may be operating in a large or small organisation and applying skills in the context of enterprise projects.

The project practitioner may be part of a project team under the direction of a project manager, or may work as part of a smaller scale self-directed team.

This unit has generic application to a range of industries and organisations and a range of projects, from simple to complex.

In the context of this unit a project is defined as involving:

  • a practical and comprehensive project plan
  • a documented communications strategy
  • a detailed project budget
  • strategic engagement with stakeholders
  • a risk, issues and change-management methodology
  • a quality plan with assurance and control processes
  • a supportive team-based environment.

The functions performed in project work, where formal project management methodology is not the main focus, are covered by BSBPMG522A Undertake project work.

Licensing/Regulatory Information

No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.


Not applicable.

Employability Skills Information

This unit contains employability skills.

Elements and Performance Criteria Pre-Content


Performance Criteria 

Elements describe the essential outcomes of a unit of competency.

Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the required skills and knowledge section and the range statement. Assessment of performance is to be consistent with the evidence guide.

Elements and Performance Criteria

1. Assist with procurement planning

1.1 Contribute to establishing procurement requirements  to achieve project objectives

1.2 Act under delegated authority  to contribute to the development of the procurement-management plan 

1.3 Contribute to developing procurement documentation 

2. Contribute to supplier selection process

2.1 Gather and evaluate information on potential suppliers 

2.2 Make recommendations to assist in selection of preferred suppliers

2.3 Contribute to establishing agreed terms and conditions with preferred suppliers

2.4 Identify and act in line with probity and project governance constraints 

2.5 Assist in developing contractual documentation 

3. Conduct procurement activities

3.1 Test and accept supplies to ensure quality and suitability for purpose

3.2 Undertake procurement activities  and maintain information in line with reporting, confidentiality and audit requirements

3.3 Receive, reconcile and register supplies according to established procedures

3.4 Monitor and control suppliers according to contractual supply documentation

4. Assist in finalising procurement activities

4.1 Assist in finalising procurement agreements

4.2 Assist in the review of project outcomes using available records to determine the effectiveness of procurement activities

4.3 Contribute to identifying lessons learned and possible improvements to procurement management

Required Skills and Knowledge

This section describes the skills and knowledge required for this unit.

Required skills 

  • interpersonal skills to communicate effectively with contractors and suppliers about contract performance and obligations
  • literacy skills to read and interpret contracts and procurement documentation
  • numeracy skills to calculate and confirm procurement specifications
  • planning and organising skills to participate in contract and procurement management.

Required knowledge 

  • broad legal contractual obligations of each party to supply arrangement
  • procurement-management policy, processes and procedures as applied to project management
  • project procurement-management tools and techniques
  • types of supply contracts.

Evidence Guide

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment 

Critical aspects for assessment and evidence required to demonstrate competency in this unit 

Evidence of the following is essential:

  • identifying procurement requirements in relation to a workplace project
  • applying procurement-management procedures in relation to a workplace project.

Context of and specific resources for assessment 

Assessment must ensure access to:

  • examples of project procurement documentation
  • records of project team participation in procurement tasks and activities.

Method of assessment 

A range of assessment methods should be used to assess practical skill and knowledge. The following assessment methods are appropriate for this unit:

  • direct questioning combined with review of portfolios of evidence and third-party workplace reports of on-the-job performance by the candidate
  • analysis of responses addressing different case studies and scenarios that present issues and problems in project procurement
  • oral or written questioning to assess knowledge of strategies for project procurement and contracting, and their application to different situations
  • review of procurement and contract-management plans and other documentation associated with procurement processes
  • evaluation of information gathered on potential suppliers
  • assessment of recommendations made to assist in selecting preferred contractors
  • assessment of reports produced about contracting and procurement-management issues.

Guidance information for assessment 

Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended.

Range Statement

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Procurement requirements  may include:

  • product and service definitions
  • quality specifications
  • resource identification
  • supply and delivery requirements
  • supply and engagement metrics, including:
  • employment equity
  • environmental
  • intellectual property
  • legal
  • licences, permits and certifications
  • security
  • work health and safety (WHS)
  • work breakdown structure.

Delegated authority  may be:

  • subject to frequent change in a multi-disciplinary environment
  • under limited guidance and supervision
  • within agreed authorisation and limits
  • within established organisational framework, procedures and routines.

Procurement-management plan  may include:

  • acquisition criteria
  • contract administration
  • contract closure processes
  • general conditions of contract
  • organisational procurement policy and procedures
  • preferred suppliers
  • procurement-management processes
  • procurement statements of work
  • product and quality specifications
  • project resource requirements
  • supplier selection criteria
  • statement of works
  • type of supply and contract arrangements.

Procurement documentation  may include:

  • assets and disposal actions
  • lists of suppliers
  • procurement logs and registers
  • procurement reports
  • quotes, invoices and receipts
  • records of contract planning, formation, negotiation and administration
  • test and acceptance results.

Suppliers  may include:

  • consultant
  • contractor
  • subcontractor
  • vendor.

Probity and project governance constraints  may include:

  • ethical behaviours
  • limits of authority
  • organisational policy and procedures
  • prescribed decision escalation.

Contractual documentation  may include:

  • terms and conditions of contract
  • type of supply contract:
  • cost plus
  • fixed price contract
  • good and services quotation
  • time and material.

Procurement activities  may include:

  • audit of environmentally sustainable supply practices
  • collaborating with agencies and alliances
  • conducting transfer and disposal actions
  • confirming details and obtaining additional information about quotes
  • formally receipting goods and services
  • identifying WHS issues
  • liaising with client, contractors, subcontractors and other stakeholders
  • maintaining registers and lists
  • obtaining approvals
  • obtaining quotes from potential suppliers
  • planning, specifying and/or conducting test and acceptance procedures
  • processing payment documentation
  • providing formal notice of delivery of goods and services
  • providing quotes to potential clients.

Unit Sector(s)

Management and Leadership – Project Management