6.7 The partnership is intended to be long term and it is therefore important that a strong relationship is built and maintained between all the parties. However, personnel on both sides are likely to change during the project's life so contract managers should not rely on individual relationships.
6.8 Key factors of a good relationship include:
• understanding and respect for each party's objectives and point of view;
• shared knowledge and objectives;
• sound knowledge of the contract and contractual documents;
• good flow of information and open channels of communication;
• a wish to work together to resolve issues with support from all levels within the organisations;
• good decision making processes, and a clear understanding of each parties decision making parameters;
• trust between parties; and
• desire by all parties for the project to succeed.
6.9 Concerns about the wider relationship should be discussed to avoid problems becoming more serious. Successful projects are ones with good public and private sector relationships. A key relationship is between the public and private sector contract managers. If this relationship does not appear to be constructive, then both parties should consider whether a change of personnel is necessary.
6.10 It is essential that the Authority, the Contractor and users continue to build a strong relationship between all the parties throughout the operational phase. Authorities should consider holding annual joint planning days, partnering workshops and training sessions with the Contractor and sub-contractors so that both parties understand each other's viewpoints.
6.11 Authorities should make any payment deductions which they are entitled to. Research on operational projects has found that where Authorities chose to waive their right to make deductions, there was no apparent correlation between waiving deductions and good performance. Further guidance on this is provided within Briefing Note 1: Payment Mechanisms in Operational PPP Projects available at www.scotland.gov.uk/Topics/Government/Finance/18232/BF1.
6.12 Projects should consider working up a partnership agreement or shared vision document which sits outside the PPP/NPD contract. This would not be legally binding but would set out the parameters of the public and private sector working relationship and include practical details. For example, the respective points of contact for each of the parties and their roles. This will assist the handover of contract management responsibilities.