CONTRACT ADMINISTRATION & RELATIONSHIP MANAGEMENT

 

Contract Administration is the essence of Supplier Management, but also is an integral part of overall project management.  The Federal Acquisition Regulation discusses contract administration in FAR Part 42.   FAR 42.301 lists 70 odd functions that the government identifies as being part of contract administration.

Key Elements to Consider: 

After Award, Conduct Pre-performance Conference.  Discuss:

Contract Administration includes such diverse functions as:         

        Performance Oversight-

                      Monitoring Progress (CPM, Gantt Charts, Reports, Inspection)

                      Surveillance (discussed in the lecture on Quality)

                      Delivery (expediting)

                      Documenting History - Supplier Evaluation

 Supplier Motivation

                      Punishment (or Disincentives)

                      Rewards (or Incentives)

 Assistance

                      Training (on your ways of doing things)

                      Quality audits and procurement system reviews

                      Problem solving and mutual resolution                    

Processing Payments

                      Review (invoices, costs, services/deliverables provided)

                      Verify/validate progress

                      Approve and disperse 

Administer Change Orders and Modifications

                      Initiate

                      Review

                           Negotiate

                      Incorporate into contract 

Transition between contractors 

Disputes Resolution (formal, informal, ADR) 

Termination/Partial Termination

                      For convenience

                      For default

Contract Close-out including recoupment of property, final payment, deobligation, after action reports, documenting contractor performance

 

Staffing for Contract Management:

        Oversight and Quality Assurance (QAR, COTR)

        Administrative Contracting Officer

        Expediter

        Termination Contracting Officer

        Cost Price Specialists

        Auditors 

(Students: Research and Discuss how their organizations administer contracts and look into the duties of the Defense Contract Management Agency (DCMA) and its role in supporting this function for other organizations.)

 

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CASES: 

Hardy

LINK TO DISCUSSION OF PURCHASING ORGANIZATIONS

 

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