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Contract Management - Procurement Mini-Conference 2014
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Contract Management - Procurement Mini-Conference 2014

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Gareth Coles of WCVA at the Procurement Mini-Conference 2014.

Gareth Coles of WCVA at the Procurement Mini-Conference 2014.

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  • 1. Contract management Gareth Coles – WCVA
  • 2. This session will: • provide guidance on successful contract management • provide advice on how to improve your relationship with commissioners and purchasers • look at the key issues you should be considering before submitting your tender
  • 3. “Hello, I’m the Contract Manager, but of course you manage yourselves, don’t you?”
  • 4. What is contract management? “The process that enables both parties to a contract to meet their obligations in order to deliver the objectives required from the contract” Cabinet Office
  • 5. What is contract management? “The activities of a buyer before, during and after a contract is signed, to ensure that all parties to the contract understand and fulfil their contractual obligations.” Chartered Institute of Purchasing and Supply
  • 6. Benefits – for the buyer • Less risk of a change of supplier • Increase chances of contract renewal • Ensuring value for money • Avoid unnecessary costs • Prevent problems escalating • Shared aims • Mutual understanding
  • 7. Benefits – for the supplier • Increase chances of contract extension • Re-negotiate rather than re-tender • Improved trust • Mutual understanding • Avoid problems escalating • Provides an evidence base • Boost your reputation
  • 8. Benefits – for both Ensure that service users receive a high quality service
  • 9. 3 elements to the process 1. Service delivery management 2. Relationship management 3. Contract administration
  • 10. 1. Service delivery management Focuses on ensuring that the service that was commissioned is delivered: • as specified in the contract • to the required level of performance • to the desired quality
  • 11. 2. Relationship management Focuses on keeping the relationship between the two parties: • open, constructive and professional • focused on resolving (or easing) tensions • identifying problems early
  • 12. 3. Contract administration Focuses on: • the formal governance of the contract • changes to the contract documentation
  • 13. Each separate element of the contract management process must be proactively managed for you to have your overall contract deemed a success. Contract management process
  • 14. Topics 1. Your tender response 2. Negotiating and signing the contract 3. Contract Manager role 4. Contract management meetings 5. Documentation
  • 15. 1. Your tender response Address the service specification first and foremost • Understand what they want you to deliver • Be clear about what you can deliver • Is it achievable?
  • 16. 2. Negotiating and signing the contract Do not commence delivery if: • You haven’t signed • There is still disagreement • Not everything is written down • You are not clear about payment
  • 17. 3. Contract Manager role One appointed for each side • Responsibility for contract success • First point of dispute resolution • Escalation of problems • Agreed beforehand
  • 18. 4. Contract management meetings • Formal and minuted • Set / called by Commissioner • Periodic review of whole contract • Opportunity to discuss future requirements
  • 19. 5. Documentation Buy side: • Agenda • Minutes / notes • Evidence used Supply side: • Prepared notes • Performance reports • Remedial action plans • Evidence used
  • 20. Learning points • Each element of the process should be considered before tender submission • Winning the contract is only the part of the story • A proactive approach to contract management should be embedded in your delivery • Successful contract management will lead to greater success • And...
  • 21. Don’t assume! If they won’t do it – you do it.
  • 22. Resources and support • WCVA • Wales Co-operative Centre • County Voluntary Council (CVC) • Business Wales • Charity Commission
  • 23. Any questions?
  • 24. Thank you Gareth Coles 02920 431 771 gcoles@wcva.org.uk