Contract Management & National Contract Management Association (NCMA)

1. Contract Management&National Contract Management Association (NCMA)

2. Purpose:Introduce Young Professionals, Universities and Colleges to – • National Contract Management Association • The Contract Management (CM) Profession • Benefits of student membership in NCMA • Benefits of NCMA student chapters • Information about CM curriculum development

3. What is the NCMA? • NCMA leads and represents the contract management profession • NCMA’s vision is that enterprises will succeed through improved buyer–seller relationships based on common values, practices, and professional standards. • NCMA’s mission is to improve organizational performance through effective contract management http://www.ncmahq.org

4. What is Contract Management? • Contract management is the art and science of formulating, executing, administering and closing a business transaction between two or more parties. • Both buyers and sellers participate in the contract management process. • Job scope ranges from the administrative skills of managing, organizing, and planning, to the excitement and challenge of negotiating a major contract. • Management of Government business

5. What skills do you need? • Contract management skills are developed through continuing education and practice. • A successful contract manager has developed skills in 3 main areas • Technical • Prepare and issue solicitations, bids, and proposals • Analyze procurement requirements and supplier capabilities • Conceptual • Executing strategic goals and vision of organization • Human relations • Focus on the "people" aspect of contract management • Human relations seen to be the most important skill for the future of their jobs and careers

6. Contract Roles • Buyers – purchaser of product(s) or service(s) • Key Terms: Acquisition, Purchasing AgentsContracting Officers, Subcontract Managers/Administrators • Sellers – provider of product(s) or service(s) • Key Terms: Sales Agents, Business Development, Contracting (Contract Administrator) • Negotiators • Maintenance or Management of Contract • Applies to both Buyers and Sellers • Note: One person can have all roles

7. Contract Manager Responsibilities • Customer Relations • External • Buyers are customers to Sellers • Internal • Project Managers or Business Development needing a requirement filled through a procurement • Coping with Contract Regulations • U.S. Government contracts: Federal Acquisition Regulation (FAR) • Federal agencies may also have FAR supplements • Commercial contracts: Uniform Commercial Code (UCC) • International contracts: Export Administration Regulations (EAR) and International Traffic in Arms Regulations (ITAR)

8. Contract Manager Responsibilities (Cont’d) • Problem Solver • Work with customer to structure effective acquisition strategy and tactics • Well described requirement and clear contracting vehicle • If there are hoops to jump through, jump through them together • Don’t gain the reputation of being a problem causer • Business Advisor • The shortest route to success may not be the best • Rule interpretation, interpret to the benefit of your customer • The skill comes from building alternative that works

9. What Does It Take? • Contract Management demands competence in • Leadership • Management • Contract law • Economics • Accounting & finance • Marketing • Operations management • In short – a “walking MBA” • Organizations need to quickly identify and hire entry level professionals to be able to deal with threats and opportunities

10. Contract Management – Jobs! • High demand profession in both the government and industry • Search on Monster.com with “contract administrator” results 2,000+ jobs nationwide • Search on Monster.com with “procurement” results more than 5,000 jobs • Search on usajobs.gov with “procurement” results 1,800+ jobs • Washington, DC has the most jobs available within the field Contract management is a recession proof industry

11. Contract Management – Money!NCMA Salary Survey Findings • Median = US $82,000 • Annual median salary by experience • <5 years = $52,000 • 5 to 9 years = $70,000 • 10 to 14 years = $80,000 • 15 to 19 years = $89,000 • 20 to 29 years = $99,000 • 30+ years = $101,000

12. NCMA Salary Survey Findings (Continued) • Annual median salary by age (in US $) • Under 35 = $57,000 • 35 – 44 = $77,000 • 45 – 54 = $89,000 • 55 and up = $92,200

13. Contract Management – monthly magazine Journal of Contract Management Three Annual National Educational Conferences CM News—Monthly e-mail newsletter Chapter Affiliation Networking Opportunities with the People Who Matter Audio Seminars—Access these live, monthly seminars Professional Certification Programs E-Courses Job opportunities: www.ContractManagementJobs.com Access to Salary Survey Benefits of NCMANCMA provides contract professionals in the private and public sectors, buying and selling worlds, the knowledge and connections that foster lifetime career management excellence through…

14. Student Membership & Chapters — Why? “The foundation of integrity within the (federal acquisition) system is a competent, experienced, and well-trained, professional workforce.” • FAR Part 102-2(c)(1) • Major Employers seeking better and more in depth knowledge in candidates when hiring new contract management professionals

15. Student Member Benefits • Receive all the benefits of Regular Members • Contract Management magazine • CM News (e-newsletter) • Access to local and national training/educational opportunities • Member discounts • Networking opportunities leading to possible future intern programs or full-time employment • Access to www.ContractManagementJobs.com • Post resume • Apply for jobs online • > 1,000 worldwide jobs posted every year

16. Student Membership Requirements • To qualify: • Must be full-time student; • Must be an undergraduate; • Must be pursuing a business degree; • Must be in an accredited, degree-granting institution; and • Not hold full-time employment in CM or related career field • Annual Dues = $0 • Initiation fee is waived

17. Student Chapter Benefits • Networking opportunities • Learn from each other • Learn from mentor chapter • Closer working relationship with faculty/W&M or NCMA advisor • More in-depth relationship to national NCMA organization

18. Tools For Contract Management Curricula • NCMA has developed summary Contract Management Body of Knowledge (CMBOK) • Access to NCMA library • University Advisor kit (see next slide) • Support from other professors within field • Support from both National NCMA and Host (local) chapter

19. Summary • CM is an established and growing career field • In excess of 128,000 jobs • Supporting and facilitating acquisition of R&D, production, construction and many other supplies and services • Located at Federal, State, and Local Government level • Located in all industries selling to Government • Located in companies selling to and buying from industry • Working at both prime and subcontract level • CM profession greatly facilitated by trained, competent, and professional workforce • Employers place great value on CM knowledge in candidates • NCMA provides a bridge to CM profession and career