Report about Procurement and Contract Management 2022

Procurement and Contract Management

Introduction
Contract management forms an integral component of the procurement life cycle and a plan for
managing contracts helps managers mange contracts professionally by addressing such issues as
performance monitoring, transition management, and ensuring both parties involved in the contract
fulfill their legal obligations under the contract (Goodrich, 2013). The effective management of
contracts post award of the contract, in addition to quality evaluation processes and effective
planning during the project initiation stage help ensure the successfully delivery of contracts. This is
especially true for public contracts in which taxpayers expect to get the best value for their money
apart from getting public services that improve the welfare of the majority, for instance the
construction of roads. Contract management refers to the process of managing the creation,
execution, and analysis of contracts in order to maximize financial and operational performance for
an organization, while reducing financial risks in the meantime (Stackpole, 2010). There are four
stages in the process of procurement management that include planning procurement management;
conducting procurements, controlling procurements, and finally, closing procurements. This report
outlines the procurement management for the provision of engineering services as a prerequisite for
the construction of Gawler East Link Road. Included in the report is the particulars of the project
from a project management perspective and an evaluation if the performance of the project is
satisfactory in the context of procurement and contract management.
Part A: Project Particulars
The tender for the construction of the Gawler East Link road has the objective of catering to the
growth in housing in the Gawler East area in alignment with the Gawler East Development Plan
Amendment. The road will offer local traffic direct access to the Main North Road without having
to pass through Gawler town center helping reduce travel time and cutting costs as well as
improving safety on the road. Further, the project will confer social and economic benefits to the
Gawler Town residents.
Project Scope
Upgrading of the Potts Road intersection with Para Road and Main North Road
Upgrading of Potts Road between the Gawler East Link Road and Main North Road
Construction of a three kilometer Gawler East Link Road starting from Potts Road to Calton Road
through the Springwoods development site; this section will include building of a new bridge over
South Para River.
The contract is for the provision of engineering services intended to provide support in procurement
of the Design and Construction Contract.
The Client

The client in this case is the Department of Planning, Transportation, and Infrastructure,
Government of South Australia
Budget
The budget for the contract is $ 55 million and the project is to be undertaken in the Gawler East
Region, under the municipality of the Gawler Council. The exact location of the road is shown in
the map below (marked by the yellow line)
Source: (Gameng, 2018)