• "Because of the legal considerations, many organizations treat contract administration as an administrative function seperate from the project organization" (comp. PMBOK3, p. 290)

(9.4) Vertragsabwicklung

(9.5.1) Process Input

... generated by predecessor processes

(9.5.2) Process Definition

Contract Administration is the process for "[...] for managing the contract and relationship between buyer and seller, reviewing and documenting how a seller is performing or has performed to establish required corrective actions [...]"  (comp. PMBOK3, p. 269): It's a process which both parties have to do for their own purposes: "The Contract Administration process ensures that the seller's performance meets contractual requirements and that the buyer performs according to the terms of contract" (comp. PMBOK3, p. 290).

The subject Procurement Management operates on the base of other contracts concerning concepts

(9.5.3) Tools and Techniques

PMBOK Mentioned Methods

  • A Contract change control system is the set of rules and procedures "[...] by which the contract can be modified"
  • Buyer conducted performance review "[...] is a structured review of the seller's progress to deliver project scope and quality, within cost and schedule, as compared to the contract"
  • Inspections and audits - if specified in the contract - may be required by the buyer and are supprted by the seller  
  • Performance reporting is the base for evaluating a seller and his ability to fullfill the contract 
  • A Payment system should be used.
  • Claims administration is the area of "contested changes and constructive changes [...] where the buyer and the seller cannot agree on compensation for the change [...]". These claims must be documented and then resolved by administrating persons, organizations and so on  
  • A Records management system "[...] is used by the project manager to manage contract documents and records ", it's used "[...] to maintain an index of contract documents and correspondence, and assist with retrieving and archiving that documentation"
  • Information technology can be used "[...] to enance the efficiency and effectiveness of contract administration by automating portions of the records management system [...]"

(comp. PMBOK3, pp. 293f).

Open Source Tools

  • NN

(9.5.4) Process Output

  • The Contract Documentation contains at least all contracts and may be added by additional documents like pre-versions or "unapproved contract changes"
  • Requested Changes "[...] may result from the contract administration process": both, the buyer and the seller may request a change which must get the "approval through the Integrated Change Control process"
  • Recommended Corrective Actions "[...] is anything that needs to be done to bring the seller in compliance with the terms of the contract" without changing the content of the contract
  • Updates of the Organizational Process Assets can be evoked by the correspondence which must be hold for the future, or by documented payment schedules and requests, or by  seller performance evaluation documentation
  • Updates of the Project Management Plan :: Procurement Management Plan are evoked by updates of the Procurement Management Plan
  • Updates of the Project Management Plan :: Contract Management Plan  are evoked by updates of the Contract Management Plan

(comp. PMBOK3, pp. 294f)

(9.5.5) Output Using Successor Processes

Successors using the initially generated output as own input(1):

Processes using the updates as input(2):

  1. For details see FAQ/Q1:1
  2. For details see FAQ/Q1:2