CONTRACTS-QUERIES AND CONCERNS

Abstract

This study intends to cover the contract management practices and its effectiveness from the context of the public sector in Pakistan. To address this objective, a contract management process is observed. A questionnaire was developed and distributed among various respondents from government agencies, contractors, government inspection authorities, and consultancy firms. All are dealing directly or indirectly with the projects. A sample of 116 respondents was finalized with no missing values. Empirical findings suggest that the study's about most contractors and procurement agencies prefer fixed prices and payments tied to milestones. The contract management plan being mostly followed by organizations dealing in contracts. Free onboard is used by procurement agencies and organizations. The public sector does not hire qualified contract managers, which leads to issues such as incomplete clause writing and failure to interpret user requirements in the contract. Keeping both users and contracting authorities satisfied has been identified as the need for transparency in contract negotiations. Findings are strongly recommended for contract managers and other persons who are responsible for the smooth process of contracts of a company. However, future research with larger sample size and more explanatory variables for contract management may be performed. Key words: Contract Management, Contracts, Project Delivery, Public Sector, Pakistan