The Supplier Agreement Management (SAM) Practice Area falls under which Capability Area?

The Supplier Agreement Management (SAM) Practice Area is focused on the selection and management of suppliers, making "Selecting and managing suppliers" the correct answer. This practice area emphasizes the importance of establishing effective supplier relationships and ensuring that they meet the necessary requirements for quality, performance, and reliability.

In the context of CMMI, this practice area entails processes such as evaluating potential suppliers, negotiating and defining agreements, and managing the performance of those suppliers throughout the lifecycle of the supplied products or services. The goal is to create a collaborative environment where both the organization and its suppliers can thrive, ultimately leading to improved outcomes and successful project execution.

Understanding this practice area is crucial because it directs organizations to cultivate strategic partnerships with suppliers, thereby enhancing the quality and efficiency of their operations.