Construction Contract Management Guidelines and Administration - Revision history

Tkokotas at 18:01, 17 November 2018

2018-11-17T18:01:57Z

← Older revision		Revision as of 18:01, 17 November 2018
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			''Developed by Malyn Jørgensen''


	Contract plays a vital role in project management, business strategies, and relationships. It is the foundation of value for the business. Organizations both in public and private are looking for efficient performance at a reduced cost. <ref>1 https://www.cips.org/documents/CIPS_KI_Contract%20Management%20Guidev2.pdf</ref> They are now realizing the importance of contract management in delivering a successful project. Effective contract management can make or break organization's vision, strategy, and its reputation. <br />		Contract plays a vital role in project management, business strategies, and relationships. It is the foundation of value for the business. Organizations both in public and private are looking for efficient performance at a reduced cost. <ref>1 https://www.cips.org/documents/CIPS_KI_Contract%20Management%20Guidev2.pdf</ref> They are now realizing the importance of contract management in delivering a successful project. Effective contract management can make or break organization's vision, strategy, and its reputation. <br />
	The main goal of this article is to emphasize the need for contract management guidelines and administration as a tool in project management. The project and organizational benefits derived from the application of the guidelines. It will also discuss the pre-award and post-award activities, processes and practices involved, and the critical success factors for good contract management. In addition, the article will also provide a background in contract management and its principles. <br/>		The main goal of this article is to emphasize the need for contract management guidelines and administration as a tool in project management. The project and organizational benefits derived from the application of the guidelines. It will also discuss the pre-award and post-award activities, processes and practices involved, and the critical success factors for good contract management. In addition, the article will also provide a background in contract management and its principles. <br/>

Malyn at 15:33, 4 October 2017

2017-10-04T15:33:28Z

← Older revision		Revision as of 15:33, 4 October 2017
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	* Project and Contract Management Guidelines, Republic of Mauritius November 2015<br />		* Project and Contract Management Guidelines, Republic of Mauritius November 2015<br />
	http://webcache.googleusercontent.com/searchq=cache:3snkvFu8gkkJ:ppo.govmu.org/English/Documents/Project%2520and%2520Contract%2520Management%2520Guideline_Version%25201_draft%2520for%2520comment.pdf+&cd=1&hl=en&ct=clnk&gl=dk		http://webcache.googleusercontent.com/searchq=cache:3snkvFu8gkkJ:ppo.govmu.org/English/Documents/Project%2520and%2520Contract%2520Management%2520Guideline_Version%25201_draft%2520for%2520comment.pdf+&cd=1&hl=en&ct=clnk&gl=dk
			* CONTRACT MANAGEMENT AND ADMINISTRATION IN THE UNITED NATIONS SYSTEM, Joint inspection to review the shortcomings in contract management, the challenges identified in this report will continue to occur unless policies and procedures are further refined and specific action is taken to strengthen post-award contract-management practices.
			https://www.unjiu.org/en/reports-notes/JIU%20Products/JIU_REP_2014_9_English.pdf

	Furthermore, in 2013 the Business Integrity’s contract management survey conducts a survey in the importance of contract management benefits.<ref>http://www.metrocorpcounsel.com/articles/23582/business-integrity%E2%80%99s-2013-contract-management-survey-reveals-big-opportunities-saving</ref><br />		Furthermore, in 2013 the Business Integrity’s contract management survey conducts a survey in the importance of contract management benefits.<ref>http://www.metrocorpcounsel.com/articles/23582/business-integrity%E2%80%99s-2013-contract-management-survey-reveals-big-opportunities-saving</ref><br />

Malyn at 19:30, 2 October 2017

2017-10-02T19:30:50Z

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	* Chartered Institute of Procurement and Supply (CIPS) - CIPS is the premier global organization serving the procurement and supply profession. Dedicated to promoting best practice in contract, procurement, and supply. https://www.cips.org/<br />		* Chartered Institute of Procurement and Supply (CIPS) - CIPS is the premier global organization serving the procurement and supply profession. Dedicated to promoting best practice in contract, procurement, and supply. https://www.cips.org/<br />

	* International Association for Contract and Commercial Management (IACCM) - A non-profit professional organization dedicated in raising the global standards in the contract and commercial management. Its library contains over 7000 research reports, tools, templates, articles, news, and discussions relating to the entire contract lifecycle of Contract & Commercial Management.		* International Association for Contract and Commercial Management (IACCM) - A non-profit professional organization dedicated to raising the global standards in the contract and commercial management. Its library contains over 7000 research reports, tools, templates, articles, news, and discussions relating to the entire contract lifecycle of Contract & Commercial Management. https://www.iaccm.com/

	* International Federation of Consulting Engineers (FIDIC) - represents the consulting engineer globally. It publishes international standard forms of contracts for works and for clients, consultants, sub-consultants, joint ventures, and representatives, together with related materials such as standard pre-qualification forms.		* International Federation of Consulting Engineers (FIDIC) - represents the consulting engineer globally. It publishes international standard forms of contracts for works and for clients, consultants, sub-consultants, joint ventures, and representatives, together with related materials such as standard pre-qualification forms. http://fidic.org/


	= References =		= References =
	<references />		<references />

Malyn at 19:29, 2 October 2017

2017-10-02T19:29:13Z

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	= References =		= References =
	<references />		<references />

	~~[https://www.cips.org/documents/CIPS_KI_Contract%20Management%20Guidev2.pdf https://www.cips.org/documents/CIPS_KI_Contract%20Management%20Guidev2.pdf]~~
	~~<br />~~
	[http://www.coreworx.com/effective-contract-management-in-engineering-and-construction-projects-pre-award-to-post-award/ http://www.coreworx.com/effective-contract-management-in-engineering-and-construction-projects-pre-award-to-post-award/]
	~~<br />~~
	~~[https://www.scribd.com/document/196148989/Contract-Management-Guidelines https://www.scribd.com/document/196148989/Contract-Management-Guidelines]~~
	~~<br />~~
	~~[http://fidic.org/sites/default/files/FIDIC_Suite_of_Contracts_0.pdf http://fidic.org/sites/default/files/FIDIC_Suite_of_Contracts_0.pdf]<br />~~
	~~[http://www.vanharen.net/Samplefiles/9789087537128_SMPL.pdf http://www.vanharen.net/Samplefiles/9789087537128_SMPL .pdf]~~
	~~<br />~~
	[http://www.metrocorpcounsel.com/articles/23582/business-integrity%E2%80%99s-2013-contract-management-survey-reveals-big-opportunities-saving 14 http://www.metrocorpcounsel.com/articles/23582/business-integrity%E2%80%99s-2013-contract-management-survey-reveals-big-opportunities-saving]

Malyn at 19:28, 2 October 2017

2017-10-02T19:28:15Z

← Older revision		Revision as of 19:28, 2 October 2017
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	* Chartered Institute of Procurement and Supply (CIPS) - CIPS is the premier global organization serving the procurement and supply profession. Dedicated to promoting best practice in contract, procurement, and supply. https://www.cips.org/<br />		* Chartered Institute of Procurement and Supply (CIPS) - CIPS is the premier global organization serving the procurement and supply profession. Dedicated to promoting best practice in contract, procurement, and supply. https://www.cips.org/<br />

	* International Association for Contract and Commercial Management (IACCM) - A non-profit professional ~~organisation~~ dedicated in ~~Raising~~ global standards in contract and commercial management. Its library contains over 7000 research reports, tools, templates, articles, news and discussions relating to the entire contract lifecycle of Contract & Commercial Management.		* International Association for Contract and Commercial Management (IACCM) - A non-profit professional organization dedicated in raising the global standards in the contract and commercial management. Its library contains over 7000 research reports, tools, templates, articles, news, and discussions relating to the entire contract lifecycle of Contract & Commercial Management.

	* International Federation of Consulting Engineers (FIDIC) - represents the consulting engineer globally. It publishes international standard forms of contracts for works and for clients, consultants, sub-consultants, joint ventures, and representatives, together with related materials such as standard pre-qualification forms.		* International Federation of Consulting Engineers (FIDIC) - represents the consulting engineer globally. It publishes international standard forms of contracts for works and for clients, consultants, sub-consultants, joint ventures, and representatives, together with related materials such as standard pre-qualification forms.
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	= References =		= References =
	*References Cite link: [http://www.mediawiki.org/wiki/Extension:Cite Cite]<br />		<references />
	**To create a reference link in the text like this <ref>[http://www.facstaff.bucknell.edu/ttoole/Toole%20PM%20Causal%20Loop%20Diagram.pdf A project management causal loop diagram, Toole, Michael, 2005.] </ref> write <nowiki><ref>[''link/title''] ''Name of link'' </ref></~~nowiki~~>

			[https://www.cips.org/documents/CIPS_KI_Contract%20Management%20Guidev2.pdf https://www.cips.org/documents/CIPS_KI_Contract%20Management%20Guidev2.pdf]

	[https://www.cips.org/documents/CIPS_KI_Contract%20Management%20Guidev2.pdf ~~1..2..3~~ https://www.cips.org/documents/CIPS_KI_Contract%20Management%20Guidev2.pdf]
	<br />		<br />
	[http://www.coreworx.com/effective-contract-management-in-engineering-and-construction-projects-pre-award-to-post-award/ 4 http://www.coreworx.com/effective-contract-management-in-engineering-and-construction-projects-pre-award-to-post-award/]		[http://www.coreworx.com/effective-contract-management-in-engineering-and-construction-projects-pre-award-to-post-award/ http://www.coreworx.com/effective-contract-management-in-engineering-and-construction-projects-pre-award-to-post-award/]
	<br />		<br />
	[https://www.scribd.com/document/196148989/Contract-Management-Guidelines ~~5..8..9..10...11..12..13~~ https://www.scribd.com/document/196148989/Contract-Management-Guidelines]		[https://www.scribd.com/document/196148989/Contract-Management-Guidelines https://www.scribd.com/document/196148989/Contract-Management-Guidelines]
	<br />		<br />
	[http://fidic.org/sites/default/files/FIDIC_Suite_of_Contracts_0.pdf 5 http://fidic.org/sites/default/files/FIDIC_Suite_of_Contracts_0.pdf]<br />		[http://fidic.org/sites/default/files/FIDIC_Suite_of_Contracts_0.pdf http://fidic.org/sites/default/files/FIDIC_Suite_of_Contracts_0.pdf]<br />
	[http://www.vanharen.net/Samplefiles/9789087537128_SMPL.pdf 13 http://www.vanharen.net/Samplefiles/9789087537128_SMPL .pdf]		[http://www.vanharen.net/Samplefiles/9789087537128_SMPL.pdf http://www.vanharen.net/Samplefiles/9789087537128_SMPL .pdf]
	<br />		<br />
	[http://www.metrocorpcounsel.com/articles/23582/business-integrity%E2%80%99s-2013-contract-management-survey-reveals-big-opportunities-saving 14 http://www.metrocorpcounsel.com/articles/23582/business-integrity%E2%80%99s-2013-contract-management-survey-reveals-big-opportunities-saving]		[http://www.metrocorpcounsel.com/articles/23582/business-integrity%E2%80%99s-2013-contract-management-survey-reveals-big-opportunities-saving 14 http://www.metrocorpcounsel.com/articles/23582/business-integrity%E2%80%99s-2013-contract-management-survey-reveals-big-opportunities-saving]

Malyn at 19:26, 2 October 2017

2017-10-02T19:26:01Z

← Older revision		Revision as of 19:26, 2 October 2017
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	* '''PROACTIVITY''' - Good contract management is not reactive, but aims to anticipate and respond to business needs of the future. <br />		* '''PROACTIVITY''' - Good contract management is not reactive, but aims to anticipate and respond to business needs of the future. <br />


	~~= Discussion =~~

	Generally, the project management people have a general perception that contract is purely a legal framework, that the contract drafting must be left to a specialist like lawyers. A perception that comes with a considerable risk, as it removes business people from the business document that underpins the relationship.Developing appropriate and valuable input to contract formation is a skill that is honed throughout a business career.The only way a contract can effectively represent and support the desired relationship is if it is created with input from the business people involved. <ref>http://www.vanharen.net/Samplefiles/9789087537128_SMPL.pdf</ref> They could help to ensure that contracts are designed, developed, negotiated and managed in a way that is ‘fit for purpose’ because of the knowledge, experiences, and challenges they encountered in the day to day transaction. <br />

	The significant impact of contractual issues affecting the overall performance of an organization leads to a realization that proper contract management guidance and administration is necessary to ensure minimal contractual risk, claim dispute and as a project management tool for many individuals who find themselves undertaking project management responsibilities with little or no preparation.<br />

	A good practice in contract management and administration through the guidelines application has the capacity to increase revenue and opportunities, decrease cost and enhance service delivery for the project and the organization.<br />

	== Benefits for efficient contract management through guidelines application ==		== Benefits for efficient contract management through guidelines application ==
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	= Business Case Example for Contract Management Guidelines and Administration =		= Business Case Example for Contract Management Guidelines and Administration =
	Contracts are increasingly described as a framework for business operations. More than just a semantics this is a move towards portfolio agreements that embed the relational components needed to achieve mutual objectives and the behaviors that contribute to success. Public and private organizations realize the need for contract management guidelines and administration. Some of the public institutions who use contract guidelines to drive efficiency improvements in project delivery are the following:		Contracts are increasingly described as a framework for business operations. More than just a semantics this is a move towards portfolio agreements that embed the relational components needed to achieve mutual objectives and the behaviors that contribute to success. Public and private organizations realize the need for contract management guidelines and administration. Some of the public institutions who use contract guidelines to drive efficiency improvements in project delivery are the following:
	# Best Practice Guide for Tendering and Contract Management, Government of Australia <br />		* Best Practice Guide for Tendering and Contract Management, Government of Australia <br />
	http://webcache.googleusercontent.com/search?q=cache:BIUuTlbFriYJ:www.wellington.vic.gov.au/files/a708f74e-1c2f-4365-8b53-a1d300a96e05/VCCI-Best-Practice-Guide-for-Tendering-and-Contract-Management.pdf+&cd=1&hl=en&ct=clnk&gl=dk		http://webcache.googleusercontent.com/search?q=cache:BIUuTlbFriYJ:www.wellington.vic.gov.au/files/a708f74e-1c2f-4365-8b53-a1d300a96e05/VCCI-Best-Practice-Guide-for-Tendering-and-Contract-Management.pdf+&cd=1&hl=en&ct=clnk&gl=dk
	# Good practice contract management framework, National Audit Office, United Kingdom<br />		* Good practice contract management framework, National Audit Office, United Kingdom <br />
	https://www.nao.org.uk/wp-content/uploads/2016/12/Good_practice_contract_management_framework.pdf		https://www.nao.org.uk/wp-content/uploads/2016/12/Good_practice_contract_management_framework.pdf
	# Project and Contract Management Guidelines, Republic of Mauritius November ~~2015http~~://webcache.googleusercontent.com/~~search?q~~=cache:3snkvFu8gkkJ:ppo.govmu.org/English/Documents/Project%2520and%2520Contract%2520Management%2520Guideline_Version%25201_draft%2520for%2520comment.pdf+&cd=1&hl=en&ct=clnk&gl=dk		* Project and Contract Management Guidelines, Republic of Mauritius November 2015<br />
			http://webcache.googleusercontent.com/searchq=cache:3snkvFu8gkkJ:ppo.govmu.org/English/Documents/Project%2520and%2520Contract%2520Management%2520Guideline_Version%25201_draft%2520for%2520comment.pdf+&cd=1&hl=en&ct=clnk&gl=dk

	Furthermore, in 2013 the Business Integrity’s contract management survey conducts a survey in the importance of contract management benefits.<ref>http://www.metrocorpcounsel.com/articles/23582/business-integrity%E2%80%99s-2013-contract-management-survey-reveals-big-opportunities-saving</ref><br />		Furthermore, in 2013 the Business Integrity’s contract management survey conducts a survey in the importance of contract management benefits.<ref>http://www.metrocorpcounsel.com/articles/23582/business-integrity%E2%80%99s-2013-contract-management-survey-reveals-big-opportunities-saving</ref><br />

	[[File:Benefits of good contract management.JPG\|~~700px\|thumb~~]]<br />		[[File:Benefits of good contract management.JPG\|400px]]<br />




			= Discussion =

			Generally, the project management people have a general perception that contract is purely a legal framework, that the contract drafting must be left to a specialist like lawyers. A perception that comes with a considerable risk, as it removes business people from the business document that underpins the relationship.Developing appropriate and valuable input to contract formation is a skill that is honed throughout a business career.The only way a contract can effectively represent and support the desired relationship is if it is created with input from the business people involved. <ref>http://www.vanharen.net/Samplefiles/9789087537128_SMPL.pdf</ref> They could help to ensure that contracts are designed, developed, negotiated and managed in a way that is ‘fit for purpose’ because of the knowledge, experiences, and challenges they encountered in the day to day transaction. <br />

			The significant impact of contractual issues affecting the overall performance of an organization leads to a realization that proper contract management guidance and administration is necessary to ensure minimal contractual risk, claim dispute and as a project management tool for many individuals who find themselves undertaking project management responsibilities with little or no preparation.<br />

			A good practice in contract management and administration through the guidelines application has the capacity to increase revenue and opportunities, decrease cost and enhance service delivery for the project and the organization.<br />

	= Conclusion =		= Conclusion =
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	Apart from the lack of knowledge with regards to proper contract administration, the other factors affecting poor contract management like the impact of globalization creating a thicker volume of the document, strict government rules and legislation, technological innovation like BIM, and speed of change in contracting norm.Proper contract management guidelines would enable the contract/project manager to manage the contracts more effectively and efficiently.		Apart from the lack of knowledge with regards to proper contract administration, the other factors affecting poor contract management like the impact of globalization creating a thicker volume of the document, strict government rules and legislation, technological innovation like BIM, and speed of change in contracting norm.Proper contract management guidelines would enable the contract/project manager to manage the contracts more effectively and efficiently.

	~~________________________________________________________________________________________________________________________________________________________________________~~		= Annotated =
			* Chartered Institute of Procurement and Supply (CIPS) - CIPS is the premier global organization serving the procurement and supply profession. Dedicated to promoting best practice in contract, procurement, and supply. https://www.cips.org/<br />

			* International Association for Contract and Commercial Management (IACCM) - A non-profit professional organisation dedicated in Raising global standards in contract and commercial management. Its library contains over 7000 research reports, tools, templates, articles, news and discussions relating to the entire contract lifecycle of Contract & Commercial Management.

			* International Federation of Consulting Engineers (FIDIC) - represents the consulting engineer globally. It publishes international standard forms of contracts for works and for clients, consultants, sub-consultants, joint ventures, and representatives, together with related materials such as standard pre-qualification forms.


	= References =		= References =
	*References Cite link: [http://www.mediawiki.org/wiki/Extension:Cite Cite]<br />		*References Cite link: [http://www.mediawiki.org/wiki/Extension:Cite Cite]<br />

Malyn at 19:07, 2 October 2017

2017-10-02T19:07:01Z

← Older revision		Revision as of 19:07, 2 October 2017
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	There are 3 key stages to consider in planning for effective contract management during the pre-award stage. The below Figure 3.0 image from PMMS Contract Management Guidelines <ref>https://www.scribd.com/document/196148989/Contract-Management-Guidelines</ref> <br />		There are 3 key stages to consider in planning for effective contract management during the pre-award stage. The below Figure 3.0 image from PMMS Contract Management Guidelines <ref>https://www.scribd.com/document/196148989/Contract-Management-Guidelines</ref> <br />

	[[File:Planning for effective contract management.JPG\|~~750px~~\|thumb]]		[[File:Planning for effective contract management.JPG\|700px\|thumb]]

	==== Contract establishment ====		==== Contract establishment ====
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	To ensure an effective contract planning, it is necessary to undertake a risk assessment to consider possible issues that might arise. Figure 4.0 is a sample of contract risk.<br />		To ensure an effective contract planning, it is necessary to undertake a risk assessment to consider possible issues that might arise. Figure 4.0 is a sample of contract risk.<br />

	[[File:Sample of Contract Risk.JPG\|~~800px~~]]<br />		[[File:Sample of Contract Risk.JPG\|550px]]<br />
	Figure 4.0 Sample of Contract Risk. Image from PMMS Contract Management Guidelines <ref>https://www.scribd.com/document/196148989/Contract-Management-Guidelines</ref><br />		Figure 4.0 Sample of Contract Risk. Image from PMMS Contract Management Guidelines <ref>https://www.scribd.com/document/196148989/Contract-Management-Guidelines</ref><br />

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	: one of the elements to be considered in developing a contract management plan is the type and level of resource to manage the contract. Ensuring that the right people are in place to carry out the contract management activities is crucial. The below image outlines the typical roles in roles and responsibilities split between procurement and the operational contract manager:<ref>https://www.scribd.com/document/196148989/Contract-Management-Guidelines</ref><br />		: one of the elements to be considered in developing a contract management plan is the type and level of resource to manage the contract. Ensuring that the right people are in place to carry out the contract management activities is crucial. The below image outlines the typical roles in roles and responsibilities split between procurement and the operational contract manager:<ref>https://www.scribd.com/document/196148989/Contract-Management-Guidelines</ref><br />

	[[File:Roles in CM & P.JPG]]<br />		[[File:Roles in CM & P.JPG\|600px]]<br />
	Figure 5.0 Sample roles & responsibilities split between procurement and operational contract manager<ref>https://www.scribd.com/document/196148989/Contract-Management-Guidelines</ref><br />		Figure 5.0 Sample roles & responsibilities split between procurement and operational contract manager<ref>https://www.scribd.com/document/196148989/Contract-Management-Guidelines</ref><br />

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	* '''THE RIGHT CONTRACT''' - The contract is the foundation for the relationship. It should include aspects such as allocation of risk, the quality of service required, and value for money, as well as procedures for communication and dispute resolution.<br />		* '''THE RIGHT CONTRACT''' - The contract is the foundation for the relationship. It should include aspects such as allocation of risk, the quality of service required, and value for money, as well as procedures for communication and dispute resolution.<br />
	* '''SINGLE BUSINESS FOCUS''' - Each party needs to understand the objectives and business of the other. The customer must have clear business objectives, coupled with a clear understanding of why the contract will contribute to them; the service provider must also be able to achieve their objectives, including making a reasonable margin.<br />		* '''SINGLE BUSINESS FOCUS''' - Each party needs to understand the objectives and business of the other. The customer must have clear business objectives, coupled with a clear understanding of why the contract will contribute to them; the service provider must also be able to achieve their objectives, including making a reasonable margin.<br />
	* '''SERVICE DELIVERY MANAGEMENT AND CONTRACT ~~ADMINSTRATION~~''' - <br />		* '''SERVICE DELIVERY MANAGEMENT AND CONTRACT ADMINISTRATION''' - Effective governance will ensure that the customer gets what is agreed, to the level of quality required. The performance under the contract must be monitored to ensure that the customer continues to get value for money. <br />
	* '''RELATIONSHIP MANAGEMENT''' - <br />		* '''RELATIONSHIP MANAGEMENT''' - Mutual trust and understanding, openness, and excellent communications are as important to the success of an arrangement as the fulfillment of the formal contract terms and conditions. <br />
	*''' CONTINUOUS IMPROVEMENT''' - <br />		*''' CONTINUOUS IMPROVEMENT''' - Improvements in price, quality or service should be sought and, where possible, built into the contract terms. <br />
	* ~~People~~ skills and continuity<br />		*'''PEOPLE SKILLS AND CONTINUITY''' - There must be people with the right interpersonal and management skills to manage these relationships on a peer-to-peer basis and at multiple levels in the organization. Clear roles and responsibilities should be defined, and continuity of key staff should be ensured as far as possible. A contract manager (or contract management team) should be designated early on in the procurement process.<br />
	* ~~Knowledge~~<br />		* '''KNOWLEDGE'''- Those involved in managing the contract must understand the business fully and know the contract documentation inside out ("intelligent customer" capability). This is essential if they are to understand the implications of problems (or opportunities) over the life of the contract.<br />
	* ~~Flexibility~~<br />		* '''FLEXIBILITY''' -Management of contracts usually requires some flexibility on both sides and a willingness to adapt to the terms of the contract to reflect a rapidly changing world. Problems are bound to arise that could not be foreseen when the contract was awarded.<br />
	* ~~Change Managemnent~~<br />		*'''CHANGE MANAGEMENT''' - Contracts should be capable of change (to terms, requirements and perhaps scope) and the relationship should be strong and flexible enough to facilitate it.<br />
	* ~~Proactivity~~<br />		* '''PROACTIVITY''' - Good contract management is not reactive, but aims to anticipate and respond to business needs of the future. <br />


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	A good practice in contract management and administration through the guidelines application has the capacity to increase revenue and opportunities, decrease cost and enhance service delivery for the project and the organization.<br />		A good practice in contract management and administration through the guidelines application has the capacity to increase revenue and opportunities, decrease cost and enhance service delivery for the project and the organization.<br />

			== Benefits for efficient contract management through guidelines application ==
			* Improved quality of service and customer focus. <ref>http://www.vanharen.net/Samplefiles/9789087537128_SMPL.pdf</ref><br />
			* Greater value for money and cost control.<br />
			* Reduced crisis management.<br />
			* Decreased level of risk.<br />
			* Effective implementation in relation to risk<br />
			* Continued improvement through incentive based contracting and risk sharing<br />
			* Early identification and resolution of poor contract performance and associated problems<br />
			* Controls over performance, costs, and standards<br />
			* Identification of areas of improvement to benefit the future contracts.

	~~Figure 8.0 illustrates the benefits of efficient contract management through guidelines application.<ref>http://www.vanharen.net/Samplefiles/9789087537128_SMPL.pdf</ref><br />~~
	~~[[File: BEnefits of effective contract management.JPG]]<br />~~

			= Business Case Example for Contract Management Guidelines and Administration =
			Contracts are increasingly described as a framework for business operations. More than just a semantics this is a move towards portfolio agreements that embed the relational components needed to achieve mutual objectives and the behaviors that contribute to success. Public and private organizations realize the need for contract management guidelines and administration. Some of the public institutions who use contract guidelines to drive efficiency improvements in project delivery are the following:
			# Best Practice Guide for Tendering and Contract Management, Government of Australia <br />
			http://webcache.googleusercontent.com/search?q=cache:BIUuTlbFriYJ:www.wellington.vic.gov.au/files/a708f74e-1c2f-4365-8b53-a1d300a96e05/VCCI-Best-Practice-Guide-for-Tendering-and-Contract-Management.pdf+&cd=1&hl=en&ct=clnk&gl=dk
			# Good practice contract management framework, National Audit Office, United Kingdom<br />
			https://www.nao.org.uk/wp-content/uploads/2016/12/Good_practice_contract_management_framework.pdf
			# Project and Contract Management Guidelines, Republic of Mauritius November 2015http://webcache.googleusercontent.com/search?q=cache:3snkvFu8gkkJ:ppo.govmu.org/English/Documents/Project%2520and%2520Contract%2520Management%2520Guideline_Version%25201_draft%2520for%2520comment.pdf+&cd=1&hl=en&ct=clnk&gl=dk

	In 2013~~, The~~ Business Integrity’s contract management survey conducts a survey in the importance of contract management benefits.<ref>http://www.metrocorpcounsel.com/articles/23582/business-integrity%E2%80%99s-2013-contract-management-survey-reveals-big-opportunities-saving</ref><br />		Furthermore, in 2013 the Business Integrity’s contract management survey conducts a survey in the importance of contract management benefits.<ref>http://www.metrocorpcounsel.com/articles/23582/business-integrity%E2%80%99s-2013-contract-management-survey-reveals-big-opportunities-saving</ref><br />

	[[File:Benefits of good contract management.JPG]]<br />		[[File:Benefits of good contract management.JPG\|700px\|thumb]]<br />

	~~= Business Case Example for Contract Management Guidelines and Administration =~~

	= Conclusion =		= Conclusion =

Malyn at 06:46, 2 October 2017

2017-10-02T06:46:38Z

← Older revision		Revision as of 06:46, 2 October 2017
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	= Section 3 - Critical Success Factors for Good Contract Management =		= Section 3 - Critical Success Factors for Good Contract Management =
	* ~~Good Preparation~~ - An accurate assessment of project goal helps create a clear output-based specification. An Effective evaluation procedure and selection will ensure that the contract is awarded to the right service provider.<br />		The following factors are essential for good contract management. <ref>https://www.scribd.com/document/140551425/Successful-Contract-Management</ref>
	* ~~The right contract~~ - The contract is the foundation for the relationship. It should include aspects such as allocation of risk, the quality of service required, and value for money, as well as procedures for communication and dispute resolution.<br />		* '''GOOD PREPARATION''' - An accurate assessment of project goal helps create a clear output-based specification. An Effective evaluation procedure and selection will ensure that the contract is awarded to the right service provider.<br />
			* '''THE RIGHT CONTRACT''' - The contract is the foundation for the relationship. It should include aspects such as allocation of risk, the quality of service required, and value for money, as well as procedures for communication and dispute resolution.<br />
	* ~~Single business focus~~ - Each party needs to understand the objectives and business of the other. The customer must have clear business objectives, coupled with a clear understanding of why the contract will contribute to them; the service provider must also be able to achieve their objectives, including making a reasonable margin.<br />		* '''SINGLE BUSINESS FOCUS''' - Each party needs to understand the objectives and business of the other. The customer must have clear business objectives, coupled with a clear understanding of why the contract will contribute to them; the service provider must also be able to achieve their objectives, including making a reasonable margin.<br />
	* ~~Service delivery management and contract administration~~<br />		* '''SERVICE DELIVERY MANAGEMENT AND CONTRACT ADMINSTRATION''' - <br />
	* ~~Relationship Management~~<br />		* '''RELATIONSHIP MANAGEMENT''' - <br />
	* ~~Continuous Improveent~~ <br />		*''' CONTINUOUS IMPROVEMENT''' - <br />
	* People skills and continuity<br />		* People skills and continuity<br />
	* Knowledge<br />		* Knowledge<br />
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	* Proactivity<br />		* Proactivity<br />

	~~__________________________________________________________________________________________________________________________~~

	~~'''DISCUSSION'''~~
	~~____________________________________________________________________________________________________________________________________________________________________<br />~~

			= Discussion =

	Generally, the project management people have a general perception that contract is purely a legal framework, that the contract drafting must be left to a specialist like lawyers. A perception that comes with a considerable risk, as it removes business people from the business document that underpins the relationship.Developing appropriate and valuable input to contract formation is a skill that is honed throughout a business career.The only way a contract can effectively represent and support the desired relationship is if it is created with input from the business people involved. <ref>http://www.vanharen.net/Samplefiles/9789087537128_SMPL.pdf</ref> They could help to ensure that contracts are designed, developed, negotiated and managed in a way that is ‘fit for purpose’ because of the knowledge, experiences, and challenges they encountered in the day to day transaction. <br />		Generally, the project management people have a general perception that contract is purely a legal framework, that the contract drafting must be left to a specialist like lawyers. A perception that comes with a considerable risk, as it removes business people from the business document that underpins the relationship.Developing appropriate and valuable input to contract formation is a skill that is honed throughout a business career.The only way a contract can effectively represent and support the desired relationship is if it is created with input from the business people involved. <ref>http://www.vanharen.net/Samplefiles/9789087537128_SMPL.pdf</ref> They could help to ensure that contracts are designed, developed, negotiated and managed in a way that is ‘fit for purpose’ because of the knowledge, experiences, and challenges they encountered in the day to day transaction. <br />
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	[[File:Benefits of good contract management.JPG]]<br />		[[File:Benefits of good contract management.JPG]]<br />
	________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

	~~'''CONCLUSION'''~~		= Business Case Example for Contract Management Guidelines and Administration =
	~~____________________________________________________________________________________________________________________________________________________________~~
			= Conclusion =

	All over the world projects are losing billions of monies due to poor contract. However, the problem is not the contract failing rather than the poor contract management practices. <br />		All over the world projects are losing billions of monies due to poor contract. However, the problem is not the contract failing rather than the poor contract management practices. <br />

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	Apart from the lack of knowledge with regards to proper contract administration, the other factors affecting poor contract management like the impact of globalization creating a thicker volume of the document, strict government rules and legislation, technological innovation like BIM, and speed of change in contracting norm.Proper contract management guidelines would enable the contract/project manager to manage the contracts more effectively and efficiently.		Apart from the lack of knowledge with regards to proper contract administration, the other factors affecting poor contract management like the impact of globalization creating a thicker volume of the document, strict government rules and legislation, technological innovation like BIM, and speed of change in contracting norm.Proper contract management guidelines would enable the contract/project manager to manage the contracts more effectively and efficiently.

	~~=== References ===~~
	References Cite link: [http://www.mediawiki.org/wiki/Extension:Cite Cite]To create a reference link in the text like this <ref>[http://www.facstaff.bucknell.edu/ttoole/Toole%20PM%20Causal%20Loop%20Diagram.pdf A project management causal loop diagram, Toole, Michael, 2005.] </ref> write <nowiki><ref>[''link/title''] ''Name of link'' </ref></nowiki>* Create a reference list like this one, by writing <nowiki><references /></nowiki> <references />
	________________________________________________________________________________________________________________________________________________________________________		________________________________________________________________________________________________________________________________________________________________________
	== References ==*References Cite link: [http://www.mediawiki.org/wiki/Extension:Cite Cite]<br />		= References =
			*References Cite link: [http://www.mediawiki.org/wiki/Extension:Cite Cite]<br />
			**To create a reference link in the text like this <ref>[http://www.facstaff.bucknell.edu/ttoole/Toole%20PM%20Causal%20Loop%20Diagram.pdf A project management causal loop diagram, Toole, Michael, 2005.] </ref> write <nowiki><ref>[''link/title''] ''Name of link'' </ref></nowiki>



	[https://www.cips.org/documents/CIPS_KI_Contract%20Management%20Guidev2.pdf 1..2..3 https://www.cips.org/documents/CIPS_KI_Contract%20Management%20Guidev2.pdf]		[https://www.cips.org/documents/CIPS_KI_Contract%20Management%20Guidev2.pdf 1..2..3 https://www.cips.org/documents/CIPS_KI_Contract%20Management%20Guidev2.pdf]
	<br />		<br />

Malyn at 19:37, 1 October 2017

2017-10-01T19:37:10Z

Show changes

Malyn at 18:07, 22 September 2017

2017-09-22T18:07:38Z

← Older revision		Revision as of 18:07, 22 September 2017
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	____________________________________________________________________________________________________________________________________________________________		____________________________________________________________________________________________________________________________________________________________
	All over the world projects are losing billions of monies due to poor contract. However, the problem is not the contract failing rather than the poor contract management practices. <br />		All over the world projects are losing billions of monies due to poor contract. However, the problem is not the contract failing rather than the poor contract management practices. <br />
	The issues of non-compliance with the rules of legislation can be attributed to a general lack of knowledge with regards to managing projects or proper contract administration. Guidance is required to ensure adherence to the laws, to support the application of good practice within a project to avoid project/contract cost overruns and delays, and to support the development and application of an effective overall organizational approach to contract management.<br />
			The issues of non-compliance with the rules of legislation can be attributed to a general lack of knowledge with regards to managing projects or proper contract administration. Guidance is required to ensure adherence to the laws, to support the application of good practice within a project to avoid project/contract cost overruns and delays, and to support the development and application of an effective overall organizational approach to contract management.<br />

	Apart from the lack of knowledge with regards to proper contract administration, the other factors affecting poor contract management like the impact of globalization creating a thicker volume of the document, strict government rules and legislation, technological innovation like BIM, and speed of change in contracting norm.Proper contract management guidelines would enable the contract/project manager to manage the contracts more effectively and efficiently.		Apart from the lack of knowledge with regards to proper contract administration, the other factors affecting poor contract management like the impact of globalization creating a thicker volume of the document, strict government rules and legislation, technological innovation like BIM, and speed of change in contracting norm.Proper contract management guidelines would enable the contract/project manager to manage the contracts more effectively and efficiently.