CPPB DOMAIN IV - CONTRACT
DEVELOPMENT AND MANAGEMENT
EXAM QUESTIONS AND ANSWERS
Actions that trigger a Request for Equitable Adjustment - ANSWER-Actions that add
or delete work, or substitute items
Reasonably Incurred Costs - ANSWER-The difference between what it would have
reasonably cost to perform the work as originally required and what it would
reasonably cost to perform the work as changed
Testing and Quality Assurance - ANSWER-The contract may require a specific type
of testing that requires verification by an outside testing lab. Defect-prevention
strategies are better than defect detection approaches. One approach is Statistical
Process Control (SPC).
Statistical Process Control (SPC) - ANSWER-Technique used to identify the
impending production of an unacceptable good before it actually occurs.
Composition of the Contract Administration Team - ANSWER-Depending on the
complexity of the contract, some or all of the following personnel may be involved in
contract administrtion activities: procurement professional, Contracting Officer's
Representative, subject matter expert, quality assurance specialist, reliability
engineer, materials and services price and cost analyst, legal counsel
Role of Contract Administration Team - ANSWER-The roles of the Contract
Administration Team should be established early so each member understands their
authority and the importance of communication and coordination. Two primary
authority levels 1)who is leading daily management of contract and 2)who makes the
final decision
Contract Risk and Potential Problems - ANSWER-Change orders, personality
conflicts, poor performance, high risk of failure, high cost, limited or no replacement
sources of supply
Monitoring Contractor Performance - ANSWER-Contractor must be held accountable
to perform at acceptable levels. The contract administration team will determine if
performance has deteriorated to the point of invoking a time period for cure or
invoking remedies.
Monitoring Quality - ANSWER-Quality has to be managed carefully to prevent an
adverse impact on the other operating areas.
Monitoring Schedules - ANSWER-After the post-award conference, all schedules of
deliverables must be detailed and finalized, including important milestones that are
critical for the successful completion of the project.
, Monitoring Risk of Failure - ANSWER-The contract administration team needs to
develop a monitoring plan that anticipates any potential problems and have a plan in
place to deal with delays.
Monitoring Subcontractors - ANSWER-If subcontractors are used, the team will have
to devlop a monitoring plan that addresses any potential problems in communication.
Monitoring Data - ANSWER-Contracts containing large amounts of data should be
tracked closely by using a detailed schedule of deliverables, delivery milestones, and
a good reporting system.
Method to Ensure Compliance: Pre-Sourcing - ANSWER-Specification-Scope Stage:
includes site visits, samples for compliance and testing e.g. highway paint,
equipment demonstrations e.g. trade shows
Method to Ensure Compliance: During Sourcing - ANSWER-Evaluation Stage:
formal presentations from short-listed proposers, technial testing, work-in-progress
inspections e.g. furniture manufacturing, plant ad-hoc (unannounced) visits e.g. to
determine capability and work force validation, tirals and testing e.g. forklifts
Main Difference between CAP and PAP - ANSWER-CAP is primarily concerned with
overall management of a contract, while PAP is specifically designed to measure
and evaluate the contractor's performance against predefined standards and criteria
outlined in the contract.
Surveillance Techniques - ANSWER-Provide for the monitoring and evaluating of all
contract requirements through a combination of methods such as sampling,
checklists, performance requirement summary lists, or other information.
Contract Risk: Proposal Risk - ANSWER-Does the contract document and the
specifications adequately describe the desired services or goods?
Contract Risk: Surety/Liability Risk - ANSWER-Does the contract document
adequately protect the entity's financial and legal interest? Example: surety bonds,
worker's compensation insurance, indemnification
Contract Risk: Contractual Risk - ANSWER-How will disputes and contract changes
be handled?
Contract Risk: Schedule Risk - ANSWER-What are the delivery time period
requirements?
Contract Risk: Performance Risk - ANSWER-How is acceptance of the
goods/services defined?
Contract Risk: Price Risk - ANSWER-What are the payment terms?
First Step After Post Award Conference - ANSWER-Procurement professional
should produce a formal report summarizing the major issues and should identify
any issues not resolved or requiring additional action.
DEVELOPMENT AND MANAGEMENT
EXAM QUESTIONS AND ANSWERS
Actions that trigger a Request for Equitable Adjustment - ANSWER-Actions that add
or delete work, or substitute items
Reasonably Incurred Costs - ANSWER-The difference between what it would have
reasonably cost to perform the work as originally required and what it would
reasonably cost to perform the work as changed
Testing and Quality Assurance - ANSWER-The contract may require a specific type
of testing that requires verification by an outside testing lab. Defect-prevention
strategies are better than defect detection approaches. One approach is Statistical
Process Control (SPC).
Statistical Process Control (SPC) - ANSWER-Technique used to identify the
impending production of an unacceptable good before it actually occurs.
Composition of the Contract Administration Team - ANSWER-Depending on the
complexity of the contract, some or all of the following personnel may be involved in
contract administrtion activities: procurement professional, Contracting Officer's
Representative, subject matter expert, quality assurance specialist, reliability
engineer, materials and services price and cost analyst, legal counsel
Role of Contract Administration Team - ANSWER-The roles of the Contract
Administration Team should be established early so each member understands their
authority and the importance of communication and coordination. Two primary
authority levels 1)who is leading daily management of contract and 2)who makes the
final decision
Contract Risk and Potential Problems - ANSWER-Change orders, personality
conflicts, poor performance, high risk of failure, high cost, limited or no replacement
sources of supply
Monitoring Contractor Performance - ANSWER-Contractor must be held accountable
to perform at acceptable levels. The contract administration team will determine if
performance has deteriorated to the point of invoking a time period for cure or
invoking remedies.
Monitoring Quality - ANSWER-Quality has to be managed carefully to prevent an
adverse impact on the other operating areas.
Monitoring Schedules - ANSWER-After the post-award conference, all schedules of
deliverables must be detailed and finalized, including important milestones that are
critical for the successful completion of the project.
, Monitoring Risk of Failure - ANSWER-The contract administration team needs to
develop a monitoring plan that anticipates any potential problems and have a plan in
place to deal with delays.
Monitoring Subcontractors - ANSWER-If subcontractors are used, the team will have
to devlop a monitoring plan that addresses any potential problems in communication.
Monitoring Data - ANSWER-Contracts containing large amounts of data should be
tracked closely by using a detailed schedule of deliverables, delivery milestones, and
a good reporting system.
Method to Ensure Compliance: Pre-Sourcing - ANSWER-Specification-Scope Stage:
includes site visits, samples for compliance and testing e.g. highway paint,
equipment demonstrations e.g. trade shows
Method to Ensure Compliance: During Sourcing - ANSWER-Evaluation Stage:
formal presentations from short-listed proposers, technial testing, work-in-progress
inspections e.g. furniture manufacturing, plant ad-hoc (unannounced) visits e.g. to
determine capability and work force validation, tirals and testing e.g. forklifts
Main Difference between CAP and PAP - ANSWER-CAP is primarily concerned with
overall management of a contract, while PAP is specifically designed to measure
and evaluate the contractor's performance against predefined standards and criteria
outlined in the contract.
Surveillance Techniques - ANSWER-Provide for the monitoring and evaluating of all
contract requirements through a combination of methods such as sampling,
checklists, performance requirement summary lists, or other information.
Contract Risk: Proposal Risk - ANSWER-Does the contract document and the
specifications adequately describe the desired services or goods?
Contract Risk: Surety/Liability Risk - ANSWER-Does the contract document
adequately protect the entity's financial and legal interest? Example: surety bonds,
worker's compensation insurance, indemnification
Contract Risk: Contractual Risk - ANSWER-How will disputes and contract changes
be handled?
Contract Risk: Schedule Risk - ANSWER-What are the delivery time period
requirements?
Contract Risk: Performance Risk - ANSWER-How is acceptance of the
goods/services defined?
Contract Risk: Price Risk - ANSWER-What are the payment terms?
First Step After Post Award Conference - ANSWER-Procurement professional
should produce a formal report summarizing the major issues and should identify
any issues not resolved or requiring additional action.
