Managing relationships

An important element in the formation and management of any contract is the relationship that exists between the parties. Having a professional, constructive relationship with the contractor is a key ingredient in the successful delivery of the outcomes sought by the contract.

The aim of relationship management is to keep the communications between the parties open and constructive, non adversarial and based on mutual understanding. This should assist in preventing problems arising and also with resolving them in a timely manner should they arise. Having a professional, constructive relationship should assist the effective management of performance, particularly under-performance, should it occur. Maintaining a good relationship does not mean that issues of non-compliance or under-performance cannot be discussed and acted upon. It means that there is a greater likelihood that such issues can be discussed and resolved in a cooperative manner.

Relationships will begin to form at the early stages of the procurement cycle. In circumstances where the contract manager is appointed following contract award, the contract manager should seek to build on existing relationships.