The implementing agency typically has primary responsibility for contract management. This responsibility is often centered on a designated "PPP contract manager"-the main point of contact within government for all matters relating to the PPP.
The PPP contract typically designates a particular entity as the contractual counterpart-for example, a Health Board for a new hospital. The contract may also specify the individual contract point (and should provide for this to be changed simply, by notice to the private party). In practice, there is a lot more to contract management than these statements in the contract. The PPP contract manager-or management team-needs:
• Sufficient resources. Depending on the complexity of the contract-and resources available-the manager may be supported by a team, with members responsible for different aspects of contract management. The same individual or team could also manage more than one PPP contract. Farquharson et al's chapter on contract management [#95, pages 136-137] highlights the need for the implementing agency to budget for the cost of the team, and their training
• Appropriate skills. The 4Ps Guide to Contract Management for PFI and PPP Projects in the United Kingdom [#229, pages 15-16] provides a typical job profile and skills required for a contract manager. The United Kingdom Operational Taskforce guidance [#232, page 2] emphasizes five key skills: communication, negotiation, change management, financial competence (to understand the payment mechanism), and analytical skills. This Taskforce was itself set up in part as a response to concerns about a lack of commercially-skilled contract managers in public authorities
• Appropriate seniority. For example, the South Africa PPP Manual module on contract management [#219, pages 15-16] notes that the contract manager needs to be senior enough to have the ear of senior staff at the implementing agency and other government entities, to deal with emerging issues.
The 4Ps Guide to Contract Management for PFI and PPP Projects [#229, page 8-10] describes the process of setting up a contract management team. Drawing on the experience of contract managers in the UK, the guide emphasizes the benefit of having the contract manager involved early-ideally when contract management provisions in the contract are being designed. Continuity is also important during the contract lifetime, since the contract will most likely outlast its management team. The guide describes how careful succession planning, supported by a detailed contract management manual, can help ensure continuity [#229, page 19].