V. no.

Changes made
1.  
2.  

3.  
4.  
5.  
6.  
7.  
Made by Date
 Contract Management Planner - Guidance

9
 Contract Management Planner - Guidance
The purpose of the Contract Management (CM) Planner is to enable Contract Managers to map out and mon
specific contract's life span. This guidance only covers the delivery period of the contract (i.e. from the day
provision to contract exit). Detailed guidance on Contract Management activities during procurement, mobilisatio
Contract Management Standards Guidance, which is being developed by CCS (Crown Commercial Service).

The CM Planner enables mapping of both routine and ad hoc contract related activities (e.g. such as regular sup
as well as key contractual dates (e.g. deadlines for provision and payment of invoices). The activities are groupe
improve cycle for supplier quarterly KPI reports).

This document is designed to supplement the practical and strategic guidance on contract management provided
CM Operations Manual (Tier 1 / 2 suppliers) and Process Maps (all contracts).

As a starting point, the CM Planner template is already populated with the most common contractual activities.
customise the activity list provided in accordance with the specifics of the contract they manage, as follows:

a. If the listed activity is included in the contract - add contractual reference, responsible party, frequency and the
b. If the listed activity is not in the contract, but required - agree frequency, responsible party, and dates with rele
update the CM Planner accordingly
c. If the listed activity is not relevant to scope and nature of the contract - delete it from the CM Planner
d. Add any contract-specific provisions, which are not on the provided list and which require scheduled activity fr

As many CM activities overlap, and therefore can be listed under more than one heading, the following conventio
'Governance' - Includes liaison (meetings), administration and update of governance documents
'Performance Management' - only includes client side activities. The supplier role is covered in 'Reporting' and 'G
'Continuous Improvement' - includes elements of Supplier Performance Management (SPM)
The CM Planner worked example illustrates how the template can be utilised in practice

To ensure that all scheduled activities take place, use the CM Planner Monitoring template provided, which
managers to monitor progress on scheduled activities. It can be used for a single or multiple contracts, dependin
using it.

The CM Planner Monitoring example provides detail on how the template can be populated, using a specific m
demonstration

The CM Planner should be regularly updated, specifically when the following occurs:
a. Changes made to the contract that impact on contract-related activities or frequency
b. The Contract Management team is restructured or individuals named in the CM Planner change
c. Contract Managers agree contract-related procedural/ operational changes either internally or with the supplie
contract, but impact the activities in the CM Planner
 Contract Name: [Insert Contract Name]
Contract type

Tier 1

Tier 2

Tier 3

Tier 4
Ref. Category Activity
No.

1 Reporting Performance reports X X

2 Reporting KPI dashboard X X X X

3 Reporting Development plans X X

4 Reporting Client reports X

Performance Performance reports
5 Management review X X
Performance KPI dashboard
6 Management review X X X X
Performance Improvement plan
7 Management implementation X X

Performance Contractual
8 Management milestones X X X X

Performance
9 Management Site visits X X X X

Supplier
performance/
10 Governance operational meetings X X X X
11 Governance Board meetings X X

End user/
12 Governance stakeholder meetings X X X X
Category/
departments CM
13 Governance meetings X X X X
Contract
Management
14 Governance Operations Manual X X
Supplier handbook
(service details for
15 Governance end users) X X X X
16 Governance Change review X X X X

Invoice payment
17 Financial authorisation X X X X

18 Financial Annual budget review X X X X

19 Financial Benchmark report X X

Benchmark report
20 Financial review X X

Benchmark cost
21 Financial adjustment X X
Financial stability of
22 Financial the supplier X X X X
23 Risk Risk Register X X
24 Risk Contingency plans X X X X

25 Insurance Insurance renewals X X X X

Continuous Contract benefits

26 Improvement review X X X X

Continuous Supplier development

27 Improvement plans review X X
 Continuous CM governance
28 Improvement review X X X X

Continuous Review of supply

29 Improvement chain development X X

Alternative provision
30 Exit planning X X X X

Contract extension
31 Exit deadline X X X X

Exit Plan/ handover

32 Exit information X X X X
33 Exit Exit management X X X X
[Insert Contract Name] Contract Ref.:

Detailed action Contract Ref. Responsible Party

Ensure Performance Report provided by the supplier by

contractual deadline
Ensure KPI report provided by the supplier (if separate from
Performance report) by contractual deadline
Ensure Service Development Plan provided by supplier
Client side report on contract performance submitted to
contract board/ SMT/ key stakeholders
Review the reports and escalate any underperformance
issues via agreed routes
Review the KPI dashboard and escalate any
underperformance issues via agreed route
Review if benefits identified in suppliers development plan
have been delivered by agreed deadlines
[For works/ project/ phased contracts] Review if the relevant
milestones were achieved by supplier and escalate any
delays

[For works/ FM/ ICT etc. contracts which include tangible

deliverables on client sites, e.g. cleaning, maintenance, IT
support etc.] Attend site with supplier [end user/ stakeholder]
representatives to:
a. Ensure that all the contracted provisions have been
delivered
b. Ensure that the delivery is to contractual standard
c. Gain feedback from end users

Schedule/ attend/ administer meeting

Schedule/ attend/ administer meeting

Schedule/ attend/ administer meeting

[Add any regularly scheduled category/ departmental

meetings relating to scope/ sub-category of the contract]

Review and update Ops Manual with any changes to

contract, processes or procedures
Review the handbook and ensure it is updated with latest
contact details and any changes to KPIs/ Call-offs/ scope of
service etc
Ensure any changes made to the contract during previous
financial year are reflected in:
a. Contract documentation (with authorised change
documents)
b. Contract budget
c. Supplier performance and provision
Ensure supplier invoice includes all required information
and/or authorisations/ sign-offs from end users and authorise
payment, within contractual timescales

Conduct annual contract budget review at the end of the

financial year, to:
a. Assess spend against projected costs for previous financial
year, flagging up and escalating any significant increase/
decrease in spend and the reason for it
b. Ensure any expected savings, rebates, credits and profit
share for the financial year have been provided. Flag up and
escalate if any of these haven't been provided or are not at
expected levels
c. Make any required budget adjustments for next year, to
accommodate:
1. Indexation
2. Contractual changes
3. Changes to demand for call-off type provision
4. Changes to costs following benchmarking/ VFM review
Ensure benchmark reports provided by supplier or
commissioned from third party, in accordance with contractual
provisions
Review and comment on benchmark report within contractual
timescales
Ensure adjusted costs agreed within contractual timescales,
or escalation/ dispute/ exit invoked, if no agreement is
reached
Conduct periodic check of supplier financial stability (eg Dun
& Bradstreet)
Review and update the risk register
Review and update the contingency plan
Ensure relevant insurances and indemnities provided under,
or linked to the contract are renewed prior to expiry of
previous policies

a. Review and update the expected benefits, in line with the

latest priorities of the contracting organisation, which are
relevant to the contract
b. Review if the contract scope, length, and provision
methods are in line with the updated benefit expectations
c. Recommend amendments/ amend the contract to align
with the latest set of benefits

Service Development Plans reviewed and agreed with

supplier for implementation
[Task for the line manager of the Contract Management
function or internal review team/ audit]
a. Review that there is sufficient staff for the scope of CM
work and that staff are adequately trained, appraised and
have required commercial and contractual understanding
b. Review that the IT resources and systems used for CM are
fit for purpose and effectively used
b. Confirm that risk, cost and performance are under control

[For contracts with sub-contractors identified in the contract or

specific SME support provisions] Review the management of
sub-contractors with supplier, specifically in terms of
(assuming open book accounting provisions included in the
contract):
a. Rates paid to sub-contractors
b. Profit margins retained by main supplier
c. Timescales for sub-contractor payments from payment of
main supplier invoice by client
d. SLA/ KPI targets set for sub-contractors
e. Sub-contractor selection process
f. Sub-contractor performance review process
g. Sub-contractor training and development

[at least 6 months prior to contract expiry date]

Agree with Category lead:
a. Best route to market
b. Strategies for market warming
c. Required changes to scope and specification
d. Required changes to SLA/KPIs
[If contract includes extension options, include the deadlines
by which such extension should be authorised by the
procuring organisation and confirmed to supplier, with
advance notice period to give time for required authorisations
to be obtained by deadline]
Ensure Exit plan/ handover information is provided by
supplier in accordance with contractual timescales/ prior to
contract expiry
[include time dependent activities from Exit plan)
[Insert Contract
Ref] Contract Period: [Insert contract period]

Frequency Jan Feb Mar Apr

nsert contract period]

May Jun Jul Aug Sep

Oct Nov Dec
*Worked Example for guidance only*

Contract Name: Joint venture for provision of professional advisory services

Ref. Category Activity Detailed action

No.

Quarterly reports on performance against 12 KPIs.

contractor to provide supporting documentation on
Performance request. (See KPI worksheet for details of what and
reports / KPI how monitored)
1 Reporting dashboard

Draft business plan submitted no later than 6 weeks

Business Plan prior to end of Financial year. The plan to be agreed 2
4 Reporting issue weeks before end of Fin. Yr.

Audited accounts Provide audited accounts within 6 months of the

5 Reporting provision relevant accounting reference date

Reports on
6 Reporting undertaken work Progress reports on works undertaken

If KPI failed > contractor to provide programme for

improvement of performance on the specific KPI within
20 days of notice issued by Client.
Client has 20 days to confirm if the improvement
Performance programme is accepted. (if improvement is not achieved
Performance reports / KPI within timescales in the agreed programme, the contract
7 Monitoring dashboard review may be terminated)
Annual
Performance Annual review of the companies' performance over the
8 Governance review meeting past year

Supplier
performance/
operational
9 Governance meetings Meetings with Managing Director to review performance
 Meetings between Category Representative and
10 Governance Board meetings Managing Director

Review of adjustments needed to hourly rates on basis

11 Financial Hourly rates review of criteria set in 14.2.1-3

Profit share Parties agree a service Discount (profit share based on

12 Financial approval (Discount) 50%/50%) for following financial year

Profit share
13 Financial payments Discount (see 6 above) paid in quarterly instalments

Profit share
adjustment
(Discount Discount (see 6 above) adjusted if actual profit is higher
14 Financial adjustment) than the estimated profit, on 50%/50% basis

VFM review takes place 2011 and 2014, March-May.

Both parties can agree extensions.
If VFM not delivered, remedial programme to be put in
place by contractor (schedule 4). Client to respond
within 20 business days. If actions not achieved by
15 Financial Benchmarking deadlines contract can be terminated.
16 Risk Risk register A review of the Risk Registers

Etc.
 Contract Ref.: XXX

Contractual Ref. Responsible Party Frequency Jan

Contractor -
provide reports
Contract Manager -
approvals or notice
to issue
7.1, 21A improvement plan if Quarterly
Schedule 2, 17 (KPIs) KPI failed on 2 (February, May, contractor/ Client
(Quarterly reports), occasions in any 12 August and query feedback
Annex 9 (KPIs) rolling months November) received
Contractor -
provide plans
9.2 (requirement); 9.3 Contract Manager -
(content) approvals Annual

Contractor- report
Contract Manager -
check audited
14.9 accounts provided Annual

Contractor- report
Contract Manager - Quarterly
check reports (February, May,
provided and work August and
19.2 of adequate level November)

contractor/ Client
query feedback
received
Contractor/
Contract Manager-
Sch. 2, 4.4 joint attendance Annual

Contractor - set up
Category Manager
7.5 - attendance Bi-monthly X
 Contractor/ x
Category (review of KPI
Representative - query feedback
Sch. 2, 4.3 joint attendance Monthly from contractor)
Contractor/
Contract Manager -
14.2 joint review Annual

Contractor -
provide proposals
Contract Manager -
14.5 review and approve Annual

Contractor -
payments
Finance Manager -
check relevant
credit is provided in Quarterly (April,
14.6 the monthly invoice July, Oct. and Jan.) 1 Jan.

Contractor -
payments
Finance Manager -
check relevant
credit is provided in
14.7 the monthly invoice Annual

Contractor -
3.2 and 8 provide reports
Schedule 4 (VFM Contract Manager -
procedure) approvals 2011 and 2014
Internal procedure Contract Manager Bi-annual
 Contract Period: March 2007 to Feb. 2017

Feb Mar Apr May Jun

Report due
(Feb. 2012 will be
first time
improvement report
is due if any KPI
failed twice or more contractor/ Client
in previous 12 query feedback
months) received Report due

6 wks prior to end 2 wks prior to end

of Fin. Yr of Fin. Yr

X X

contractor/ Client
Client queries query feedback Client queries
submitted received submitted

x
(Business plan
x (Annual meeting review)
(see 8 above)
 x x
x (review of KPI (Hourly fees x
(review of Client query feedback review; Profit share (review of Client
x KPI queries) from contractor) review and sign off) KPI queries)

1-Apr

1-Apr

1-Apr

1 March 2011 1 May 2011

1 March 2014 1 May 2014
(Start) (End)
x
 Jul Aug Sep Oct Nov

contractor/ Client contractor/ Client

query feedback query feedback
received Report due received Report due

X (within 6 months
of audited accounts
reference date)

X X

contractor/ Client contractor/ Client

query feedback Client queries query feedback
received submitted received

X (profit share
update; Hourly fees
sign off) X X
x x
(review of KPI x (review of KPI
query feedback (review of Client query feedback
from contractor) x KPI queries) from contractor) x

1-Jul 1-Oct

X (14 days from

determination of
Actual Operating
Profit)

x
 Dec

Client queries
submitted
x
(review of Client
KPI queries)
(audited accounts
review)
Contract Name/ Ref. Ref. No. Category Activity
Detailed action Contract Ref. Responsible party
Action deadline Progress (choose from Comments
drop down menu)
*Worked example of monitoring for guidance only*
Contract Name/ Ref. Ref. No. Category Activity

Professional Services Performance Performance reports /

JV 7 Monitoring KPI dashboard review

Professional Services Supplier performance/

JV 9 Governance operational meetings

Professional Services
JV 11 Financial Hourly rates review

Professional Services Profit share approval

JV 12 Financial (Discount)

Professional Services
JV 13 Financial Profit share payments
nly*
Detailed action Contract Ref. Responsible party

Contract Manager
If KPI failed > contractor to provide programme for 7.1, 21A - approvals or
improvement of performance on the specific KPI within 20 Schedule 2, 17 notice to issue
days of notice issued by Client. (KPIs) improvement plan
Client has 20 days to confirm if the improvement programme (Quarterly if KPI failed on 2
is accepted. (if improvement is not achieved within timescales reports), Annex occasions in any
in the agreed programme, the contract may be terminated) 9 (KPIs) 12 rolling months

Contract Manager
- review of KPI
query feedback
Meetings with Managing Director to review performance Sch. 2, 4.3 from supplier

Contract Manager
- joint review and
Review of adjustments needed to hourly rates on basis of agreement on
criteria set in 14.2.1-3 14.2 adjustments

Contract Manager
- review and
Parties agree a service Discount (profit share based on approve proposals
50%/50%) for following financial year 14.5 provided by client
Finance Manager
- check payment
Discount (see 6 above) paid in quarterly instalments 14.6 made
Action deadline Progress (choose from Comments
drop down menu)

01/5/14 - Reports provided, but two KPIs

4/30/2014 In progress failed for 2nd time. Notice to Improve issued

15/4/14 - meeting took place and KPIs

reviewed, with follow up action agreed.
However see action in 2 regarding latest
4/30/2014 Completed report.

4/5/14 - supplier provided proposals, but

there are is a dispute on two of the
4/30/2014 Delayed proposed amendments to hourly rates

1/5/14 - Supplier yet to issue the proposed

discount proposal. Chased and will chase
again and escalate if not provided by
4/30/2014 Delayed 10/5/14

1/5/14 - Discount included in latest invoice

4/30/2014 Completed as credit