M55EKM | Contract Management

Running Head: BUSINESS AND CORPORATION LAW 0
Contract Management
Student’s Name

Contract Management1
Contents
Introduction......................................................................................................................................2
General Role of Contract Manager..................................................................................................2
Universal Aspect related to Contract Management.........................................................................5
Conclusion.......................................................................................................................................9
References......................................................................................................................................12

Contract Management2
Introduction
Contract management is a process to manage the contracts developed with many of the people
such as employees, customers, vendors and/or partners and so on (Apttus.com, 2018). It does not
only include preparation of a contract but this process ensures that all the terms and conditions of
a contract are in place and properly complied with (Goodrich, 2013). Management of the
amendments that arise in the terms of a contract while it is execution is also a part of contract
management. While discussing the contract management, the discussion of Contract Manager is
necessary. As the name implies a contract manager is a person who is responsible for contract
administration/management (Sports-management-degrees.com, 2018). The term of contract
manager can further be understood while looking after his/her role, responsibility, and duties.
The presented report is focused on the role of Contract Manager. In addition to the role of a
contract manager, another related aspect such as the settlement of contracts, potential disputes,
liabilities of parties and business planning will also be discussed. The role of contract manager is
necessary to study in order to understand the fact that how valuable he/she is. It will develop an
understanding of the reader that how important a contract manager is and what function he/she
carries.
General Role of Contract Manager
Contract managers play a vital role in an organization as they oversee and direct all the contract
through the lifecycle of a contract (Linsley, 2018). Regardless of the nature of the organization,
the functions of a contract manager usually remain the same. They serve their duties as a liaison
between the organization, customers, vendors, individual contractors, and employees and provide
services like record keeping, recommendations, monitoring, negotiation, change management

Contract Management3
and many more (Sparrow 2012: 120). The role of a contract manager becomes more critical
when it comes to engineering and constructions. The reason behind the same is that in the field
of construction, there are more chances of disputes and in order to define the obligations and
rights of the parties and to settle the cases, a contract manager and his/her effective manager
need to be there. Similarly, in automotive sectors, a contract manager needs to be there. The
reason behind the same is that this industry is facing many challenges due to fluctuating market
conditions (Ultria.com, 2018). Further, in this industry, there is a trend of joint ventures and
partnerships between the companies and in such a scenario the role of contract manager becomes
more crucial and necessary. In addition to this, an effective contract management can develop a
long-term business relationship, and the same can bring profitable results to the business (Uher
and Davenport 2009). Moving towards the role of a contract manager, the same is defined as
hereunder:
Drafting, negotiation, and evaluation of contracts:
This is to be stated that the role of a contract manager starts with the preparation of a contract. A
contract manager is a person who is responsible for the management of all kinds of contract
(Naughter, 2017). In order to perform their duties, such contractors define the purpose of the
contract in addition to the expectations of the parties from a contract. They evaluate the whole
scenario and then after make negotiations (Paulsen, 2018a). They provide such
recommendations, which make all the parties satisfied at the end of a contract. Communication
and monitoring are important for the success of a business and contract manager ensure the
presence of the same. In the automotive sectors, such managers are responsible to draft the
contract and set the terms after negotiation while dealing with the other partner companies,
employees, suppliers of machines and other materials and customers.