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CONTRACTS

MANAGEMENT
Aspects of a
Contract
Document: Written manifestation
of an agreement between parties

Relationship: The personal or


professional commitment that forms
the understanding between people
who enter into agreements, either
oral or written
CONTRACT MANAGEMENT
PROCESS
Phase 1: Pre-award

1. Plan
3. Request
purchase 2. Plan
Contractors
and contracting
response
acquisitions

Phase 2: Award Phase 3: Post-award


Contract
Award
5. Contract 6. Contract 7. Contract
4. Select Administrati
Negotiation close-out or
Contractor on
and formation termination
Contracts Administration Role
Commercial
Procurement Process
LOA/NTP Drafting and Finalization
Contract Drafting and Finalization
SAP Contract Filing

End-User
Manage/co-manage the Project
Specification of amount to be paid by MNTC per billing
Process the RFP, typically with attached RO and Contractual Sufficiency Sheet

Contracts
Ensure that Contractual requirements and documentation (including
requirements to bill) are met
Recommend appropriate actions to handle Contract claims or to raise
counterclaims
DRAFT

Contracts Admin and End-User Scope


Contracts Admin End User
Project Ensuring that Project is Supervision of Project
Monitoring well-documented Go-No Go Decision
(inputs and documents Making
from end-user) Determining Project
Progress
Updating of status of
Project
Billings Checking of SAP Concerns
Contractual Sufficiency Process Billings
of Billings
Negotiations Assists/leads Leads negotiation or
negotiation gives inputs to the
negotiation
Claims/ Recommendation on Input potential time,
Counterclai addressing/preventing cost, and quality
ms claims and concerns and
counterclaims supporting documents
Warranty Monitor end of terms
Proper Documentation
Pre-Award and Award Post-Award
Phase Minutes of the Meeting
Specifications Site Instruction
Detailed Engineering Work Inspection Request (WIR)
Design Materials Approval Request
Bill of Quantities (MAR)
Bid documents Shop Drawings
Conditions of Contract
Claims/Counterclaims

Variation means any


change to the Works, which is
instructed or approved as a
variation.
Who can initiate?
Employers
representative

Contractor
Common Reasons

Different site conditions


Change in scope
Insufficient/lacking of
drawings
New, additional, or change in
Specifications
Implication

Time

Cost
Summary
Issue Site
Employers Instructio
Representati n Contractor
ve Contractor to
Approv submit:
ed by 1. Cost
YES
both proposal;
Employers parties? 2. Request for
Contractor Representati time extension.
Propose a ve
variation NO

Approv
ed by
*PROCEED YES
both
parties?

*Assumed complete construction documents


THANK YOU

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