Establishing a robust contract management framework to improve NTG and supplier relationships and contractual compliance

Effective contract management is integral to realising the value of good planning and procurement. As such, the main focus of the Buy Local Plan in this stage is to ensure that local benefits recognised in the planning stage, sought through tender, then reflected in the contract, are subsequently delivered upon during the term of the contract.

Four sectors in a donut chart: agency planning, tendering, contract formation, contract management (highlighted).Historically, contract management practices across NTG have varied considerably between agencies. The Buy Local Plan is developing a standardised contract management framework, to be used as a model by agencies in their contract management activities. The purpose of a contract management framework is to provide a clear, uniform approach to managing and administering contracts for goods and services. Whilst the intent of this measure is specifically targeted at managing local content obligations throughout the contract term, it will also have broader impact by allowing more accurate management of other contractual obligations, and the overall relationship between government and its suppliers.

Any contract management framework adopted by NT Government needs to be proportionately relative to the value, complexity and significance of the contract. By taking this approach of understanding and applying contract management effort where it is most needed, efficiencies are achieved and the overall procurement contract management life cycle benefits.