Contract management

•  Preparing for management of the contract needs to be fully addressed whilst the procurement is in progress. Authorities need to have suitable contract management processes in place when the contract comes into force to facilitate the smooth running of the project and the achievement of value for money. Different skills will be required between the construction and operational phases of the contract.

•  Authorities should produce a Contract Administration Manual which gathers together information on the processes and procedures for managing the operation of the contract; including responsibilities and timescales.  Key contract documents should be maintained on a shared basis with the Contractor.

•  Authorities should consider producing user guides and undertaking training to assist service users who are involved in contract monitoring to understand their role.

•  Authorities should consider preparing a draft Project Directory that will be expanded and informed as the project develops towards and beyond contract signature. The Directory will include various Protocols, lets management, malicious damage, utilities, etc.

•  Authorities should carry out a trial running of the payment mechanism, as a joint undertaking with the Contractor, before contract signature to test out the system in "real life" scenarios, and to ensure a common understanding of the payment mechanism. Historically the payment mechanism has proven quite difficult or very difficult to use. It is essential that Authorities test their mechanisms in a "live" environment so that they can make sure that the system is effective.

•  Authorities should focus on ensuring that operational performance is maintained throughout the operational period even when there are changes in the public sector's requirements rather than concentrating solely on "managing the contract".  

•  Planning and training days should be held involving both the Authority and the Contractor to encourage better understanding and agreement between the parties in respect of key terms of the services contract.

•  Authorities should have detailed communications strategies for dealing with the Contractor, service users and stakeholders, and should include how communication should be between the end users and the Contractor. These strategies should be reviewed and updated regularly.  Good communication is key to ensuring that issues can be resolved.

•  Training for contract managers should be provided to improve skills.