CTCM Contract Management1 Exam Verified 100% Correct!!

CTCM Contract Management1 Exam Verified 100% Correct!! Contract Management Certification Certified Texas Contract Management Three (3) required classes 1. Contract Management 2. Project Management 3. Negotiations Pass certification test with score of 70% or better Apply for Certification Definition of a Contract Legal, written document to exchange goods or services for consideration (compensation) What is Contract Management The entire contracting process from planning through contract administration Contract Management Framework (Plan) Identify contracting objective and strategy Contract Management Framework (Procurement) Fairly and objectively select the most qualified contractors Contract Management Framework (Contract Formation/Rate and Price Establishment) Ensure the contract contains provisions that hold the contractor accountable for producing desired results, include all relevant terms and conditions as well as establish processes that are cost-effective and aligned with the cost of providing the goods and services Contract Management Framework (Contract Oversight) Monitor and enforce the terms of the contract Three "O's" Approach to Contract Management 1. Outline 2. Operate 3. Oversee Outline Identify need, Develop CM Team, Conduct Risk Assessment, Determine Procurement Method Operate Prepare Solicitation, Copies to CAT/CPA, Solicit Proposals, Evaluate Responses, Award Oversee Execute Contract, Monitor Performance, Manage Change, Approve Payment, Contract Closeout Contract Manager's Duties Oversees and manages the entire process (contracting/procurement process) Contracting/Procurement Process (1) Project Planning and Budget, Specification Development, Review and Evaluation of Solicitation Responses, Assuring Contract Rates/Pricing are withing budget Contract Award Contracting/Procurement Process (2) Participate in developing solicitation and writing the draft document, Point of contact for disseminating the instructions regarding the work to the contractor, receive and respond to communications between the agency and the contractor, Monitor the contractor's progress and performance to ensure goods and services confirm to contract requirements, Inspect and approve the final product/services through formal acceptance/receipt process, Perform contract closeout process Contract Administrator Oversees contract administration functions (post award) Contract Administrator (Duties) Relationship management, implementing and monitoring vendor performance and assuring contract compliance, approving payments, managing contract changes Characteristics of a Contract Administrator 1. Objective 2. Vigilant 3. Available to attend meetings 4. Responsive to contractor 5. Understand responsibilities of both parties Contract Administration and Oversight General Processes 1. Planning 2. Monitoring vendor performance 3. Payment Approval 4. Change Management 5. Dispute Resolution 6. Termination 7. Contract Closeout Non-Disclosure Statement Employees completed participation in development or award of an RFP must sign Agreement not to disclose or otherwise divulge information related to the solicitation, Required of all evaluations prior to reviewing vendor proposals, a "Non-Disclosure Statement" should be obtained from anyone wishing to see proposal responses The Legal Elements of a Contract 1. Offer 2. Acceptance 3. For Legal Purpose 4. Mutual Agreement 5. Certainty/Agreement of Subject Matter 6. Consideration ($ amount) 7. Competent Parties Certainty of Subject Matter Cause to enter a contract Identify Resources The CM oversees each step of the process from beginning to end, Certified Purchasers should also be familiar with contract management practices, Program staff provide input as to the technical requirements as SME's Conflict of Interest Statement Employees involved in specification development or award determination, Include in annual Procurement Plan Risk Assessment Three Steps 1. Identifying the Risk 2. Quantifying and Analyzing the Risk 3. Limit, Lesson, or Abolish the Risk Risk Assessment (Identifying the Risk) Internal or external factors that may affect the agency or department meeting the goals and objectives of the procurement Risk Assessment (Quantifying and Analyzing the Risk) Quantify risk and analyze he potential likelihood and impact of risk using a Risk Assessment Tool Risk Assessment (Limit, Lesson, or Abolish the Risk) Minimize Risk, Limit, Lessen, or Abolish the Risk by complementing a Risk Mitigation Plan Four types of Minimizing Risk 1. Avoid (Eliminate the risk) 2. Accept (Risk probability is so small that the effort to mitigate is not worthwhile) 3. Transfer (Make someone else responsible for the risk, e.g. insurance bonding) 4. Mitigate (Take actions to minimize the severity or probability of the risk) Procurement Methods IFB, RFP, RFI, and RFQ IFB Invitation for Bid IFB Pro's Award is simpler process Award made to the lowest responsive, responsible bidder providing the best value IFB Con's Defined specifications may be difficult to develop Does not encourage innovative solutions RFP/RFO `Request for Proposal/Request for Offers RFP/RFO Pro's Factors other than price Customized proposals w/different approaches to same business need Allows negotiations RFP/RFO' Con's Longer procurement lead times Evaluations are more complex and subjective RFQ Request for Qualifications (method usually required by statute) RFQ Pro's