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Summary of Main Tasks of Contract Administration

The document discusses the main responsibilities of contract administration which include contract administration planning, monitoring contract performance, managing contract changes, processing payments, resolving disputes, contract termination, managing records, and contract close-out. It also discusses the key responsibilities of a contract administrator such as participating in developing solicitation documents, monitoring contractor performance, authorizing payments, exercising remedies for deficient performance, resolving disputes, maintaining records, and documenting events. The contract administrator must have skills like understanding procurement policies, communicating effectively, operating as part of a team, understanding contract terms, and organizing and managing meetings.

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0% found this document useful (0 votes)
67 views4 pages

Summary of Main Tasks of Contract Administration

The document discusses the main responsibilities of contract administration which include contract administration planning, monitoring contract performance, managing contract changes, processing payments, resolving disputes, contract termination, managing records, and contract close-out. It also discusses the key responsibilities of a contract administrator such as participating in developing solicitation documents, monitoring contractor performance, authorizing payments, exercising remedies for deficient performance, resolving disputes, maintaining records, and documenting events. The contract administrator must have skills like understanding procurement policies, communicating effectively, operating as part of a team, understanding contract terms, and organizing and managing meetings.

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Milto
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Summary of Main Tasks of Contract Administration

 Contract Administration Planning (Policies, Systems and Procedures),


 Monitoring Contract Performance and Reporting,
 Management of Contract Changes/Variations,
 Processing Payments,
 Resolution of Claims and Dispute Resolution,
 Contract Termination,
 Managing Contract Records
 Evaluation of Contract Performance, and
 Contract Close-out

Procurement
This discipline primarily deals with:
a) Preparation of the invitation to tender documents, inclusive of determining the contract
type and the general and particular conditions of contract in consultation with concerned
end-users, consultants and other disciplines within the Entity,
b) Tender opening and evaluation,
c) Purchasing and logistics operations for the requirements of the Procurement Entity on
assignments directly implemented by the Entity, and
d) Maintaining databases on market prices and sources of supply/vendors.
I. Administration
This discipline primarily deals with:
a) Payment to contractors,
b) Budget control on contract by contract basis,
c) Personnel issues and implementation of training and staff development plans, and
d) Cost accounting for key operations.
II. Operations
This discipline supervises the physical implementation of each contract:
a) Monitoring actual progress versus contract work plan/schedule,
b) Controlling cost overruns due to increased volume of operations or costs growth due to
variation orders,
c) Measurement of periodic work accomplishment,
d) Supervision of compliance with quality standards of inspection, testing, etc., and
e) Operation of management information system (MIS) for optimum coordination and access
to information amongst all disciplines.
III. Engineering and design
This discipline primarily deal with:
a) Providing technical support to the operations unit,
b) Technical assessment of new procurement operations, and
c) Provision of design services as needed for the implementation of current and future
operations.
IV. Document control office
This office is in charge of:
a) Orderly operation of the Procurement Entity’s filing set-up i.e. maintains
chronologically sorted originals of all external correspondence on contract by contract
basis plus records of relevant internal correspondence and minutes of meetings, and
b) Registry operations i.e. receipt, filing and distribution of correspondence to all
concerned disciplines.

2.11 Contract Administrator Responsibilities


The primary responsibilities of the contract administrator are:
 Participating, as necessary, in developing the solicitation and writing the draft documents.
Contract administration must be considered during this process.
 Monitoring the contractor’s progress and performance to ensure goods and services
conform to the contract requirements.
 Managing any state property used in contract performance.
 Authorizing payments consistent with the contract terms.
 Exercising state remedies, as appropriate, where a contractor’s performance is deficient.
 Resolving disputes in a timely manner.
 Documenting significant events.
 Maintaining appropriate records.
The number of participants in the contract administration process will vary in number from one
to many depending on the size, level of risk and complexity of the contract. Early in the
procurement process, identify staff to participate in contract administration. Identify a single
Contract Administrator and others to assist him/her. Assign roles and responsibilities which may
include:
 Determining the sequence of activities, dependencies, required or desired outcomes, and
acceptable performance levels.
 Developing a timetable and start and end date for each performance component. Include
milestones with accompanying timeframes, and monitoring and reporting requirements.
 Monitoring contractor activity on a specified frequency to identify problem areas.
 Meeting with the contractor on a regular basis to review progress, discuss problems and
consider necessary changes.
 Providing access to state facilities, equipment, data, staff, materials and information.
 Contacting other staff as necessary to provide equipment and data.
 Establishing scope of authority, clear lines of communication and reporting and specific
individuals who will interact directly with the contractor.
 Establishing control of correspondence, data and reports.
 Identifying potential problems and solutions.
 Defining terms or conditions of default.
 Establishing a procedure, identifying a responsible person and establishing a timeframe
for handling noncompliance.
 Establishing a procedure, identifying a responsible person and establishing a timeline for
making necessary contract decisions or modifications.

2.12 Skills of the Contract Administrator


Contract administration is not a clerical activity. The Contract Administrator must be proactive
both with the control and with his/her own organization and ideally needs to have the following
competencies:
 A basic understanding of procurement policies, procedures and practice,
 An understanding of organizational goal,
 An ability to communicate well both internally and with private sector contractor,
 An ability to operate in a team and as a team leader,
 An understanding of the terms and conditions of the contract being managed and of their
significance,
 An understanding of project planning methods,
 The ability to organize and manage effective business meetings, and
 The ability to motivate contractors to meet tough targets.

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