• Contract management with CATS CM® version 4​

    From working on contracts to contracts that work ​

    Nobody can and wants to do it alone. Responding adequately and timely to the current fast-changing environment is crucial for the organization's operations and continuity. Moreover, in recent years both suppliers and clients have been involving more and more parties, resulting in new collaboration models to facilitate this. Both clients and suppliers have seen the number of contracts increase and/or have become part of complex contract chains. This forces organizations to further improve and professionalize contract management. CATS CM® is recognized as a proven contract management methodology for over ten years. CATS stands for Contract Administration and Tracking Scenarios. It help organizations to collaborate in a way that multi-years plans get the necessary agility.

  • The methodology for contract management

    Make your contract management scalable and controllable with CATS CM®!

    Contract management is the realization of intended contract objectives. These objectives can relate to quantity and quality. Contract objectives can change during the execution of a contract. CATS CM® enables organizations to proactively manage and execute contracts with focus on the versatility and need for change in the contract objectives. For both suppliers and client. By regularly matching the collaboration, the contract and the organizational goals, added value is often larger than planned for.

    THE FOUR PILLARS

    1. The difference between the Work To Be Done and All Other Contract Matter within a contract.
    2. The roles that emerge due to the contract and which must be established to ensure successful contract performance.
    3. The Contract Management Essentials (CM Essentials), the subjects on which the contract manager should focus.
    4. The contract management process, consisting of six steps, and its implementation through the use of contract management scenarios.

    1. Work To Be Done and All Other Contract Matter

    Every contract contains articles, provisions, and appendices that can be divided into two groups for both the client and the supplier: The Work To Be Done (WTBD) and All Other Contract Matter (AOCM). This distinction is the basis for the determination of two different roles; the contract manager and the realization and verification manager. This last role is often combined with the service or project management role within an organization.

    2. Roles

    Each contract leads to a minimum of three roles for optimal execution of that contract. A contract owner, a contract manager and a realization and verification manager.

     

    • The contract owner on supplier side confirms that he can deliver Work To Be Done and has the resources to do so. The contract owner on client side needs the Work To Be Done and has the budget to obtain it from the supplier.
    • The realization and verification manager performs or receives the Work To Be Done.
    • The contract manager is responsible for All Other Contract Matter and making an optimal match between the contract performance and the contract objectives.

    3. Contract Management Essentials

    Every role has its own area of focus and expertise. The Contract Management Essentials are the ten most important areas of focus for a contract manager. The CATS CM® methodology enables organizations to realize a contract specific approach for contract management for each CM Essential. contract management process, consisting of six steps, and its implementation through the use of contract management scenarios

    4. Contract management process and contract management scenario’s

    The contract management process consists of six fundamental steps: Initiate, Plan, Do, Check, Act (Deming-cycle) and Conclude. The contract management scenario’s allow organizations to tailor the activities and the frequency at which they are performed for different types of contracts/collaborations.

    RESPONDING TO THE BIGGER PICTURE

    A good contract management process is one of the factors contributing to successful contract management, but not the only one. CATS CM® pays close attention to the total of factors for successful contract management and the relationship of the operational process with the strategic and tactical direction within an organization. For example, the drafting of a contract management policy. But also to the relationship between the management of the contract during the execution and the importance of contract management in the contract creation, the pre-award contract management.

    WANT TO KNOW MORE?

    The English version of the book on the CATS CM® methodology will be available in September 2020. To stay updated, follow the CATS CM Linkedin page!

  • The Author

    Someone with an idea is a fool, until the idea succeeds. – Mark Twain

    Linda Tonkes

    CATS CM Expert

    Developer / Writer

     

    Linda Tonkes (1977) graduated as a Chartered Accountant at NIVRA-Nyenrode and worked with Deloitte from 1996 to 2011, when she left as a senior manager. She started her own accountancy firm in 2012 and has been training and consulting on the CATS CM® methodology since 2013. In 2019 she joined CATS CM® and has contributed to this book as a co-developer of the methodology and as a co-writer.

    Arjen van Berkum

    Global Thought Leader
    in Ecosystems

     

    Arjen is a global knowledge leader in business (eco)systems. He believes contract management is a vital business function. As managing director of Betula Group, Arjen sees a good synergy between his participation in CATS CM® and his other activities. As visionairy thinker he made a valuable contribution to the book.

  • Contact

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