4.3  Issue management and dispute resolution

In a Partnerships Victoria project, there is a clear distinction between service delivery issues and disputes. This is summarised in the following table.

Table 4.1: Partnerships Victoria projects: differences between service delivery issues and disputes

Service delivery issues

Disputes

Is measurable and need not involve any difference of opinion or position between the parties

Involves a difference of opinion or position between the parties (by definition)

Outcome is an interruption, change or other disturbance to service delivery

Need not involve any interruption or other disturbance to service delivery

May trigger an abatement of service fees or other remedies

The existence of a dispute will not in itself trigger an abatement of service fees

The consequences and strategies for managing service delivery issues and resolving disputes in Partnerships Victoria projects still have much in common. Most obviously, if left unresolved, a major service delivery issue or dispute may cause an irreparable breakdown in the parties' relationship and failure of the project. Similarly, not properly managing minor service delivery issues or disputes may damage the relationship and limit the benefits of the project to the parties.

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