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The roles of contract managers are increasingly complex, requiring a broad
knowledge of legal contracting issues, familiarity with standard contracts of
numerous professions/organizations and purchasing and pricing strategies.
Significant skills in negotiations, leadership and teamwork skills are also
necessary.
Contract management is frequently assigned to project managers responsible
for managing the technical work, without providing the training, skills or
tools required for effective contract management. Delegation to contract
specialists, often supported with well-designed protocols and forms, is a
successful strategy to improve overall contract management results.
One area of contract management that is often overlooked is
Change Management. Planning for, identifying and
managing change allows greater control over final project cost. Change
management requires a system for recognizing potential change events,
analyzing the potential impact and then, if recognized as a change event,
negotiating contract modifications to work, budget and schedule.
Most contract managers possess the technical skills required for contract
management, but often lack the soft skills that allow projects to proceed
smoothly. Processes and systems can substitute for the lack of soft skills,
but take time to develop and implement. See our
Tools page for sample change management tools utilized on a municipal
contract.
Contract Management is often blended with contract administration duties. For
more cost-effective management, the non-discretionary or factual portions of
contract administration, such as documenting project work, schedule or
budget, implementing contract notice requirements, or tracking requests
through approval, should be allocated to a contract administrator. See our
Contract Administration page for a description of
practical, cost-effective implementation of administrative duties.
Contract management begins at the earliest phases of a project. CSG offers
consulting at all project phases- selection of appropriate project delivery
method, teaming and strategic positioning during selection, contract review
and negotiations, teaming and partnering sessions during performance,
contract administration, change management and claims review.
Contract Solutions Group offers training, consulting and tools for change
management techniques that aid in early identification, analysis and
negotiations of change events.
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