Unit of competency Outline
Date retreived
23/07/2026 4:52 PM AWST
23/07/2026 4:52 PM AWST
Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.
Finalise contracts
Finalise contracts
Unit of competency
National Code
PSPPROC504A
PSPPROC504A
State Code
C8258
C8258
TGA Status
Replaced
Replaced
DTWD Status
Replaced
Replaced
State Implementation and Classification
Approved Date
04/08/2008
Field of Education
080301 - Business Management
Original Release Date
04/08/2008
Nominal Hours
30
Description
This unit covers finalisation processes for contracts. The unit is for officers whose primary role is contract management. PSPPROC410A Administer contracts is the appropriate unit for officers undertaking contract management as a minor part of their work role.The unit includes completing contracts and implementing a contract review strategy. In practice, finalising contracts may overlap with other public sector generalist and specialist work activities such as acting ethically, complying with legislation, providing client service, providing leadership, developing policy, undertaking negotiations etc.This is one of 4 units of competency in the Procurement&Contract Management Competency field that address the requirements of contract management performed by specialist contract managers.Related units are:PSPPROC501A Manage contract riskPSPPROC502A Establish contract management arrangementsPSPPROC503A Manage contract performanceThe superseded unit PSPPROC404A Manage contracts is equivalent to the three units:PSPPROC502A Establish contract management arrangements PSPPROC503A Manage contract performancePSPPROC504A Finalise contractsEquivalence may be claimed for EITHER:PSPPROC410A Administer contracts ORPSPPROC502A - 504A inclusive, but not both.This is a new unit of competency, added to the Procurement&Contract Management Competency field of the Training Package in 2004.
Notes
Elements and Performance Criteria
1 Complete contracts
- 1.1 Contracts due to expire are reviewed to determine future requirements, and options for those requirements to be met are canvassed in sufficient time for decision making and transition to occur
- 1.2 Strategies are implemented to manage closure, renewal of contracts or transition to a new contract in accordance with organisational guidelines and public sector standards
- 1.3 Contracts are finalised, amended, cancelled or terminated in accordance with contractual arrangements
- 1.4 Consultation is undertaken with the contractor, and a contract completion report is issued addressing the performance of the contractor and the contract manager in accordance with organisational requirements and public sector guidelines
2 Implement contract review strategy
- 2.1 Timing of the review is determined to ensure a smooth transition to post-contract arrangements
- 2.2 Review is undertaken of contract management, contractor performance relevant to measures at each stage of the contract, user satisfaction and audit results
- 2.3 Where measures or outcomes are not met in full, variances are documented and explained
- 2.4 A review report is prepared documenting outcomes against plans, final costs, user satisfaction, lessons learnt and any shortcomings in contract planning, management policies and procedures
- 2.5 Recommendations for improvement are made and supported with evidence, as a result of lessons learnt
RANGE STATEMENT
The Range Statement provides information about the context in which the unit of competency is carried out. The variables cater for differences between States and Territories and the Commonwealth, and between organisations and workplaces. They allow for different work requirements, work practices and knowledge. The Range Statement also provides a focus for assessment. It relates to the unit as a whole. Text in italics in the Performance Criteria is explained here.
Contracts may include
simple contract
memoranda of understanding/memoranda of agreement
in-house option directives
common use arrangements/standing offers/deeds of standing offer
inter/intra-government agreements
letters of intent
licensing
Timing of the review may include
periodically throughout the contract
when issues of performance arise
prior to completion of the contract
concurrently with contract renewal process
after the contract is completed
Contract review strategy may include
planning process
evaluation considerations at each stage of the contract
sources and methods of gathering data
role of audit trails
measuring outputs
key performance indicators and their review
meeting client needs
innovation
strategies for continuous improvement
Variances may include
change of scope
negotiation of new terms and conditions
strategies for dealing with contractor performance
dissolution of contracts
The Range Statement provides information about the context in which the unit of competency is carried out. The variables cater for differences between States and Territories and the Commonwealth, and between organisations and workplaces. They allow for different work requirements, work practices and knowledge. The Range Statement also provides a focus for assessment. It relates to the unit as a whole. Text in italics in the Performance Criteria is explained here.
Contracts may include
simple contract
memoranda of understanding/memoranda of agreement
in-house option directives
common use arrangements/standing offers/deeds of standing offer
inter/intra-government agreements
letters of intent
licensing
Timing of the review may include
periodically throughout the contract
when issues of performance arise
prior to completion of the contract
concurrently with contract renewal process
after the contract is completed
Contract review strategy may include
planning process
evaluation considerations at each stage of the contract
sources and methods of gathering data
role of audit trails
measuring outputs
key performance indicators and their review
meeting client needs
innovation
strategies for continuous improvement
Variances may include
change of scope
negotiation of new terms and conditions
strategies for dealing with contractor performance
dissolution of contracts
The Evidence Guide specifies the evidence required to demonstrate achievement in the unit of competency as a whole. It must be read in conjunction with the Unit descriptor, Performance Criteria, the Range Statement and the Assessment Guidelines for the Public Sector Training Package.
Units to be assessed together
Pre-requisite units that must be achieved prior to this unit: Nil
Co-requisite units that must be assessed with this unit: Nil
Co-assessed units that may be assessed with this unit to increase the efficiency and realism of the assessment process include, but are not limited to:
PSPETHC501B Promote the values and ethos of public service
PSPGOV505A Promote diversity
PSPGOV507A Undertake negotiations
PSPGOV508A Manage conflict
PSPGOV511A Provide leadership
PSPGOV512A Use complex workplace communication strategies
PSPLEGN501B Promote compliance with legislation in the public sector
PSPPROC501A Manage contract risk
PSPPROC502A Establish contract management arrangements
PSPPROC503A Manage contract performance
Overview of evidence requirements
In addition to integrated demonstration of the elements and their related performance criteria, look for evidence that confirms:
the knowledge requirements of this unit
the skill requirements of this unit
application of the Employability Skills as they relate to this unit (see Employability Summaries in Qualifications Framework)
finalisation and review of contracts in a range of (3 or more) contexts (or occasions, over time)
Resources required to carry out assessment
These resources include:
legislation, policy, procedures and protocols relating to contract administration
Procurement guidance - confidentiality of contractors' commercial information (Commonwealth Department of Finance and Administration)
case studies and workplace scenarios to capture the range of contract finalisation situations likely to be encountered
Where and how to assess evidence
Valid assessment of this unit requires:
a workplace environment or one that closely resembles normal work practice and replicates the range of conditions likely to be encountered when finalising contracts, including coping with difficulties, irregularities and breakdowns in routine
finalisation and review of contracts in a range of (3 or more) contexts (or occasions, over time)
Assessment methods should reflect workplace demands, such as literacy, and the needs of particular groups, such as:
people with disabilities
people from culturally and linguistically diverse backgrounds
Aboriginal and Torres Strait Islander people
women
young people
older people
people in rural and remote locations
Assessment methods suitable for valid and reliable assessment of this competency may include, but are not limited to, a combination of 2 or more of:
case studies
demonstration
observation
portfolios
projects
questioning
scenarios
simulation or role plays
authenticated evidence from the workplace and/or training courses
For consistency of assessment
Evidence must be gathered over time in a range of contexts to ensure the person can achieve the unit outcome and apply the competency in different situations or environments
Units to be assessed together
Pre-requisite units that must be achieved prior to this unit: Nil
Co-requisite units that must be assessed with this unit: Nil
Co-assessed units that may be assessed with this unit to increase the efficiency and realism of the assessment process include, but are not limited to:
PSPETHC501B Promote the values and ethos of public service
PSPGOV505A Promote diversity
PSPGOV507A Undertake negotiations
PSPGOV508A Manage conflict
PSPGOV511A Provide leadership
PSPGOV512A Use complex workplace communication strategies
PSPLEGN501B Promote compliance with legislation in the public sector
PSPPROC501A Manage contract risk
PSPPROC502A Establish contract management arrangements
PSPPROC503A Manage contract performance
Overview of evidence requirements
In addition to integrated demonstration of the elements and their related performance criteria, look for evidence that confirms:
the knowledge requirements of this unit
the skill requirements of this unit
application of the Employability Skills as they relate to this unit (see Employability Summaries in Qualifications Framework)
finalisation and review of contracts in a range of (3 or more) contexts (or occasions, over time)
Resources required to carry out assessment
These resources include:
legislation, policy, procedures and protocols relating to contract administration
Procurement guidance - confidentiality of contractors' commercial information (Commonwealth Department of Finance and Administration)
case studies and workplace scenarios to capture the range of contract finalisation situations likely to be encountered
Where and how to assess evidence
Valid assessment of this unit requires:
a workplace environment or one that closely resembles normal work practice and replicates the range of conditions likely to be encountered when finalising contracts, including coping with difficulties, irregularities and breakdowns in routine
finalisation and review of contracts in a range of (3 or more) contexts (or occasions, over time)
Assessment methods should reflect workplace demands, such as literacy, and the needs of particular groups, such as:
people with disabilities
people from culturally and linguistically diverse backgrounds
Aboriginal and Torres Strait Islander people
women
young people
older people
people in rural and remote locations
Assessment methods suitable for valid and reliable assessment of this competency may include, but are not limited to, a combination of 2 or more of:
case studies
demonstration
observation
portfolios
projects
questioning
scenarios
simulation or role plays
authenticated evidence from the workplace and/or training courses
For consistency of assessment
Evidence must be gathered over time in a range of contexts to ensure the person can achieve the unit outcome and apply the competency in different situations or environments
Replaced By
| State Code | National Code | Title | Type |
|---|---|---|---|
| D3738 | PSPPROC504B | Finalise contracts | Unit of competency |
