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What A Contract Administration Process Can Do For Your Projects
Construction and/or engineering projects can produce thousands of documents, and for the contracting client and contractors, it can be fairly hard to keep track of everything. These documents may include contractual agreements, bid documents, purchase orders, cost controls, variations or change orders, drawings, plans, and any other relevant documents that will keep the project on schedule and on budget. How can one company maintain an organized approach to managing a project with heaps of paper work?
The completion of every construction or engineering project is never accomplished without good contract administration process. Contract administration enables every company to manage every stage of their project. This means the design, tendering, and construction stage. Each stage will produce its own relevant set of documents. The design stage may require administration of the design brief, preparation of specifications, and contractual agreements while the construction stage may need administration of the, among others, cost control and reports.
By implementing an efficient and systematic contract administration, companies can provide a timely flow of information to relevant parties such as the architects, the contractors, the engineers, the contracting party, and any other concerned person who needs to obtain details or reports of the project. This efficient flow helps those involved in the project to come up with good decisions that in turn move the construction in the right direction as well as secure on time and within budget delivery.
In addition to the efficiency in accessing needed information, contract administration can also address and resolve contract claims and disputes. With every stage of the project being carefully controlled, from the budget to the quality, critical missteps may be caught and resolved or documented evidence may provide clarity to a claim.
The adequacy and performance of a project’s contract administration largely depends on the expertise and resources of the company. Most businesses will outsource this specific aspect of their projects as the specialized service allows them to be better focused on other concerns of their commercial organization, and not sacrifice the management of current building or engineering jobs. By relying on service providers that offer contract administration, businesses could possibly guard against claims and disputes as well as prevent bigger construction costs.
The completion of construction and/or engineering projects can be relatively complex. How it progresses along the way will depend on the control and enforcement of every aspect of the project. Contract administration not only ensures that the timely flow of much needed information will get to the relevant people, but it also guarantees that inconsistencies and inaccuracies are spotted and addressed, resulting in projects that are delivered on time, within budget, and according to the contracting party’s specifications.