Operational Contract Managment, Line of Balance Method, Operational Supply Strategies, Renewal of Contract

Operational contract management
“Operational contracts” often involve the
repetition of similar activities (e.g. supply of
production components, office cleaning services,
etc.)

Contrasting the approach:
 Contract management roles
 formal teams are often not required
 sometimes end-users may deal directly with
suppliers
 Planning
 sometimes, only a simplified version of the contract
management plan is needed
ITC M9:U8:8.2-1

, Operational contract management
Contrasting the approach (cont’d):
 Risks
 Sometimes there is less risk to worry about
 Having a risk register is still useful!
 Measuring & controlling performance:
 This is equally important here ...
 ... although the process may be less formal
 Sometimes there is no need for a review report
 Contract administration & relationship
management:
 Are broadly similar and equally important
ITC M9:U8:8.2-2

, Action Point 8.2-1


Operational versus project-type contract
management

Describe the main differences of approach in your company
(or one that you know well) between managing operational and
project-type contracts.




ITC M9:U8:8.2-3