1 / 25

Effective Contract Management: A Comprehensive Guide for Success

Gain insights into echelon's approach to contract management, including identifying key drivers, contract options, and overcoming common pitfalls. Discover the importance of involving contractors in contract development and managing projects effectively.

glora
Télécharger la présentation

Effective Contract Management: A Comprehensive Guide for Success

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Effective Contract Management - Getting it Right! 24th January 2007

  2. Content • Introduction to echelon – who are we? • echelon portfolio – who do we work with? • Identification of Drivers – how do we choose? • Contract Options – what options are open to us? • Developing the contract – methods • Pitfalls - what can go wrong? • Conclusion

  3. introduction to echelon • Extensive client & contracting experience of Partnering • Development of bespoke solutions • Full range of services offered to Social Housing clients • Innovative and well regarded • Focus on full stakeholder engagement & legacy building • Working with 20+ organisations (LAs, ALMOs & RSLs) • We are not legal advisers? • ‘Making Partnering Work’

  4. echelon portfolio

  5. Context? • How many delegates are using Partnering Contracts? • PPC/TPC? • NEC? • JCT? • Other? (define) • Why did you select that Contract? • What training was provided? Joint? • What input did Contractor have in contract development?

  6. Drivers – think…! • Does the contract drive the project or the project • drive the contract?

  7. Drivers – consider… • Volume of project • Longevity of project – ongoing, finite? 30 years? • What is the right number of Contractors? • How do we incorporate second tier? • Cost Model • - Fixed price? Target Cost? Open Book? SOR? Hybrid? • How do we incentivise?

  8. Drivers – OJEu • Procurement Route – Open, Restricted, Negotiated • Restricted seems to be preferred – why? • Definition of contract – works (£3.6m)/service (£144k) • Issue - How do we differentiate at PQQ stage? • Openness & Clarity – must do as we say! • Award Notice • Break these rules at your peril – contractors will challenge!

  9. Developing the Contract • 4 phases of development: • Pre-Tender phase • Tender process • Implementation Period – ‘Golden Hour’ • Delivery Phase

  10. Managing the Contract • Allow adequate set-up time • Where do we choose the Contract? • Pre-award of post award? • Merits in involving contractor(s) in contract development • Are we to prescriptive? • Defined Project Manager(s) • Process must be led - Make things happen!

  11. Generic Project Flowchart

  12. Project Team Organisation

  13. Pitfalls – What can go wrong? • The wrong people • Lack of cultural readiness • Unclear objectives • Inadequate performance measurement • Variation process not clear • Blurred Client/Contractor role • Poor communication • Loose specification • Contractor capability issues • Continuity

  14. Pitfalls – The Wrong People • Wrong people in roles can derail project • Lack of interpersonal skills • Traditional behaviours slip-in • Lack of understanding of mechanics • Example…..

  15. Pitfalls – Lack of cultural readiness • All parties not always ready to make project work? • Necessary organisational change not occurred • Lack of buy-in from wider stakeholders • Change doesn’t happen by itself • Contract needs to be driven • Example…

  16. Pitfalls – Unclear Objectives • No clear objectives for project • Roles and responsibilities not defined and/or • understood • Lack of mutual objectives leads to….. • Conflicting objectives • Example…

  17. Pitfalls – Inadequate performance • Measurement • Lack of clear targets • No KPIs on project • Lack of definition in collection process • Lack of structured review process • Data not benchmarked (internal & external) • Data not used to drive project • Example…

  18. Pitfalls – Variation process not clear • Claims culture • No clear guidance within contract • Poor data within (asset management data) • Lack of joint survey process • Onerous contract conditions • Risk and reward? • Example…

  19. Pitfalls – Blurred Client/Contractor Role • Who is in charge? • Poor technical dataflow (surveys) • Poor relationship with end-users • Unnecessary duplication of processes • Example…

  20. Pitfalls – Poor Communication • Delays in instructions/information • Information overload • Lack of defined protocols • No early warning/dispute resolution process • Poor record keeping • Example…

  21. Pitfalls – Loose Specification • Lack of definition in scope & requirements • Poor choices in materials etc. • Conflicting instructions within documents • Contractors like driving buses! • Example…

  22. Pitfalls – Contractor Capability • Lack of resources • Over reliance on supply chain – fishing in same pond • Lack of direct delivery • Lack of performance measurement down chain • Lack of incentive down chain • Inadequate site management • Example…

  23. Pitfalls – Lack of Continuity • Framework agreements and call-offs – continuity? • Stop-start approach affects capability • Breakdowns in supply chain continuity • Loss of economies of scale • Inadequate stock data and long-term AMP • Example…

  24. Conclusion • Many projects are being poorly managed • Lack of focus on holistic approach • Resources not allocated at right stages in process • Lack of mutual objectives • Weaknesses in performance management • Lack of understanding of new contracts

  25. Can we Fix it..? I bloody hope so..?

More Related