Introduction to Contract Management
1.0 INTRODUCTION TO CONTRACT MANAGEMENT
A contract is an agreement having a lawful object entered into voluntarily by two or more parties, each of whom intends to create one or more legal obligations between or among them. The elements of a contract are "offer" and "acceptance" by "competent persons" having legal capacity who exchanges "consideration" to create "mutuality of obligation.
i.e.
1. Offer and Acceptance
2. Competent Persons
3. Consideration
4. Mutual Obligation
5. Lawful Object
Contract law varies greatly from one jurisdiction to another, including differences in common law compared to civil law, the impact of received law, particularly from England in common law countries, and of law codified in regional legislation. Regarding Australian Contract Law for example, there are 40 relevant acts which impact on the interpretation of contract at the Commonwealth (Federal / national) level, and an additional 26 acts at the level of the state. In addition there are 6 international instruments or conventions which are applicable for international dealings, such as the United Nations Convention on Contracts for the International Sale of Goods (Vienna Sales Convention)
“The process that enables both parties to a contract to meet their obligations in order to deliver the objectives required in the contract. It covers transition and implementation, ongoing day-to-day management, evaluation, and succession planning.”
2.0 PHASES OF THE PROCUREMENT LIFE CYCLE MODEL:
The procurement life cycle has the following phases:-
1. Planning
2. Requesting and Receiving Offers
3. Evaluation of Offers
4. Contract Award
5. Contract Management
3.0 SUCCESSFUL CONTRACT MANAGEMENT
A successful contract management is stated as existing when:
• The arrangements for service delivery continue to be satisfactory to both customer and provider
• expected business benefits and value for money are being realized
• The provider is co-operative and
A contract is an agreement having a lawful object entered into voluntarily by two or more parties, each of whom intends to create one or more legal obligations between or among them. The elements of a contract are "offer" and "acceptance" by "competent persons" having legal capacity who exchanges "consideration" to create "mutuality of obligation.
i.e.
1. Offer and Acceptance
2. Competent Persons
3. Consideration
4. Mutual Obligation
5. Lawful Object
Contract law varies greatly from one jurisdiction to another, including differences in common law compared to civil law, the impact of received law, particularly from England in common law countries, and of law codified in regional legislation. Regarding Australian Contract Law for example, there are 40 relevant acts which impact on the interpretation of contract at the Commonwealth (Federal / national) level, and an additional 26 acts at the level of the state. In addition there are 6 international instruments or conventions which are applicable for international dealings, such as the United Nations Convention on Contracts for the International Sale of Goods (Vienna Sales Convention)
“The process that enables both parties to a contract to meet their obligations in order to deliver the objectives required in the contract. It covers transition and implementation, ongoing day-to-day management, evaluation, and succession planning.”
2.0 PHASES OF THE PROCUREMENT LIFE CYCLE MODEL:
The procurement life cycle has the following phases:-
1. Planning
2. Requesting and Receiving Offers
3. Evaluation of Offers
4. Contract Award
5. Contract Management
3.0 SUCCESSFUL CONTRACT MANAGEMENT
A successful contract management is stated as existing when:
• The arrangements for service delivery continue to be satisfactory to both customer and provider
• expected business benefits and value for money are being realized
• The provider is co-operative and