It is important that the most up-to-date version of the contract incorporating any variations is formally evidenced in writing and appropriately stored. This provides the basis for making payments and the ongoing management of the contract.

It is likely by the contract management phase that a system for maintaining documents for the particular contract will already have been established. If this is not the case, a recordkeeping system containing all appropriate documentation should be established in accordance with the entity's recordkeeping policy and practices. If a system already exists it should be reviewed to ensure that it is appropriate to the contractual arrangement. Any additional recordkeeping requirements should be identified and any gaps in documentation addressed.

The following case study highlights a situation where good recordkeeping paid off.

The most up-to-date version of the contract incorporating any variations should be formally evidenced in writing and appropriately stored.

Case Study: The benefits of good recordkeeping

An entity was considering an extension of a major contract (in accordance with an option under the contract). All staff associated with the original tender process and initial operation of the contract had moved to other jobs. An external consultant was engaged to assist in deciding whether the extension option should be exercised and then negotiating the extension. The consultant reported that the meticulous recordkeeping of the original contract manager had resulted in major savings in the updated contract. The records provided evidence of the effectiveness (or otherwise) of previous contract clauses, of successful approaches to managing services that could be included in the updated contract, and evidence of early problems that strengthened the agency's negotiating position in exercising the option to extend the contract.