Monday, January 30, 2012

10 Tips for Better Contracting: Relationship Advice for Contract Managers

It all starts with better communication.

Companies wait in suspense for months to hear who wins a contract that’s vital to their portfolios. They’ve invested a lot of money and time into getting each piece of the bid correct. In the end, for one company, it’s good news. The press releases go out and work gets started.

But the work, in fact, can begin too soon, former program managers and experts say. Any miscommunication between the contractor and the program manager from the start of a contract can cause problems to brew.

The world of procurement hinges on how the two interact. It’s so important because too often, the two sides don’t know what each other wants or expects. They may not even know what success really is, particularly on cutting-edge projects.
  

Your 10 Tips for better Contracting .
1. Learn about the program manager’s expectations and goals. Contractor and customer need to figure out milestones that point out progress.
2. Establish goals for the program that deal with cost, schedule, and performance with top management based on the contract’s requirements.
3. Get agreements in writing to be clear on issues.
4. Build a solid team in order to meet all parts of a contract. More specifically, have a strong financial manager and strong contract specialist..
5. Arrange a schedule for meeting regularly, whether in person or otherwise, whichever fits the circumstance.
6. Meet the points of contact in the program manager’s office. Contractors need to develop more than arm’s length relationships. It’s also important to know the chain of command in the program office.
7. Realize that bad news doesn’t get any better with age. Delaying bad news doesn’t help relationships. A program manager—or anyone, for that matter—doesn’t want to be blindsided with problems.
“Small problems, if you wait too long, become big problems,”
8. Grow tough skin. Contractors need to learn patience, and when people get upset, they should take the high road. In other words, act like an adult in tense situations and don’t retaliate for what is said.
9. Don’t take comments personally.
“Zone out for a few minutes and let them vent,” Once they’re done, “then begin to engage to accomplish things.”
10. Finally, learn from the mistake that were made. Deconstruct the steps that led to the collapse in the contract after it’s happened.


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