Supplier Management

Contract Obligation Management

Challenge

18 months into a 5-year, £multi million network outsourcing contract, our client had no effective mechanism in place to determine whether contractual obligations were being met and were at risk of missing opportunities for financial benefit.

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Solution

We undertook a detailed review of the Master Services Agreement and all contract schedules

Key contractual obligations extracted, categorised and prioritised

Obligations captured in tracker and identified owners for each obligation

Actions were identified to determine the status of each obligation

Outcome

Obligation tracker populated with over 900 prioritised obligations

  • Obligation owners assigned and made aware of their accountabilities
  • Mechanism in place for ongoing monitoring and maintenance of the tracker
  • Key commercial levers highlighted
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Value

Ability to track supplier compliance

Ability to track supplier compliance with contractual obligations and to hold the supplier to account

Clear visibility of opportunities to extract value from the engagement where obligations delivering commercial benefit had not been met

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