Unit of competency Outline

Date retreived
22/07/2026 10:07 AM AWST

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Manage contracts and contractors

Manage contracts and contractors

Unit of competency
National Code
LGAGCM710A
State Code
D2857
TGA Status
Deleted
DTWD Status
Deleted
Current Release Number
2.00
Current Release Date
11/09/2012
View on TGA
State Implementation and Classification
Approved Date
15/08/2014
Field of Education
080315 - Project Management
Original Release Date
15/08/2014
Nominal Hours
70
Description
This unit covers the skills and knowledge required of senior managers responsible for overseeing the development of tenders and the subsequent management of contracts and contractors.Effective and efficient management of external contracts is now a major component of many managers' roles. The need for high levels of accountability and transparency while managing commercial relationships is addressed in this unit.No licensing, legislative, regulatory or certification requirements apply to this unit at the time of publication.
Notes
Elements and Performance Criteria
1. Scope council process and service requirements
  • 1.1 Council procedures and protocols for management of tenders and contracts are identified, considered and used.
  • 1.2 Council's strategic and operational plans are reviewed and considered to determine scope and nature of project or service to be contracted.
  • 1.3 Size and scope of project or service to be contracted are determined and documented.
  • 1.4 Process to manage tender and contract is documented and appropriate sign-off is secured in line with standard operating procedures.
2. Ensure tender process is planned and managed effectively
  • 2.1 Anticipated expense levels of tender are identified and justified.
  • 2.2 Tender objectives, including quality, quantity, location, time frame requirements and price limits are clearly defined and documented.
  • 2.3 Processes for letting of tender are put in place in line with standard operating procedures.
  • 2.4 Selection processes are developed that comply with legislative requirements, council policies and procedures.
  • 2.5 Choice of contractor is justifiable, agreed upon and recorded according to council policies.
  • 2.6 Contract is negotiated and agreement reached to maximise benefits for council and following appropriate legal scrutiny and advice.
  • 2.7 Contract is drafted and signed according to legislative and organisational requirements and project objectives, reflecting agreement outcomes.
3. Manage contract to achieve desired outcomes
  • 3.1 Management plan is developed to ensure effective management of contract.
  • 3.2 Performance of contractual obligations is managed in accordance with agreed contract and management plan.
  • 3.3 Performance by contractor is reviewed using agreed processes, with any variances analysed and agreed changes implemented to ensure project objectives are met within legal framework of contract.
  • 3.4 Reports of project progress and outcomes are prepared and presented in accordance with management plan and standard organisational procedures.
  • 3.5 Contracts are concluded in line with management plan and contractual requirements.
4. Manage relationships with contractors
  • 4.1 Code of conduct is used and communicated to contractors to ensure relationship between parties is managed ethically, transparently and in accordance with legal requirements and council policies and procedures.
  • 4.2 Regular and formalised communication processes with contractors are established and rigorously applied.
  • 4.3 Sound business relationships with contractors are established and maintained to ensure effective communication and the early identification of potential service delivery problems.
  • 4.4 Contractual disputes that arise are managed in accordance with contractual requirements and using established mediation mechanisms.
5. Plan for improved contract management and service delivery processes
  • 5.1 Effectiveness and benefits of contracting process and related service delivery are analysed.
  • 5.2 Opportunities for process and service delivery improvements are identified and communicated to appropriate senior personnel within council.
The Range Statement relates to the Unit of Competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording in the Performance Criteria is detailed below.
Council procedures and protocols for the management of tenders and contracts may include:
codes of conduct for transparent and accountable management of contracts and contractors
tendering procedures
reporting requirements
Contracts may cover provision of:
short-term, one-off services
lengthy and complex relationships with external service providers offering services to the community
Project or service to be contracted may relate to any sphere of council operation but typically may include:
capital works
parks and gardens maintenance
provision of community care services, such as family care, disability services or child care
provision of waste and recycling service
Tender selection processes may include:
advertising period
use of selective tenders, tender panels and 'open' tenders for contracts of differing values
establishment of weighted selection criteria
establishment of a selection panel with complementary expertise
Reports of project progress may include:
compliance with required timelines
indicators of service levels and quality
actual cost against budgeted cost
customer satisfaction
Overview of assessment requirements
A person who demonstrates competency in this unit will be able to perform the outcomes described in the elements to the required performance level detailed in the performance criteria. The unit's skill and knowledge requirements must also be demonstrated. The candidate will demonstrate the capacity to manage contracts and contractors effectively, ethically and leading to the attainment of stated council objectives.
Critical aspects of evidence to be considered
The demonstrated ability to:
manage contracts and contractors within council
Context of assessment
Assessment of performance requirements in this unit should be undertaken with the context of the local government framework. Competency is demonstrated by performance of all stated criteria, including the range of variables applicable to the workplace environment.
Method of assessment
The following assessment methods are suggested:
preparation of a major workplace project report/portfolio (that may incorporate assessment of related units) as a key form of assessment that enables candidates to integrate the learning and assessment project into their regular work responsibilities, which enables integrated and holistic assessment of the complex skills and knowledge addressed in this unit
observation of the learner performing a range of workplace tasks over sufficient time to demonstrate his/her handling of a range of contingencies
written and oral questioning to assess knowledge and understanding
completion of workplace documentation
third-party reports from experienced practitioner
completion of self-paced learning materials, including personal reflection and feedback from trainer, coach or supervisor
Evidence required for demonstration of consistent performance
Evidence should be gathered over a period of time in a range of actual or simulated management environments.
Resource implications
Access to a workplace or simulated case study that provides the following resources:
relevant council documents, such as strategic and operational plans
relevant local government legislation and regulations
No information