Contract Administration

What is Contract Administration?

Contract Administration (CA) is the governance framework for the entire project. While Project Management focuses on sequencing, resourcing, and delivery, the CA function ensures that the rules of engagement — the contract — are followed.

A well-administered contract reduces disputes, stabilises cashflow, and protects the parties legally. A poorly-administered contract guarantees conflict, scope creep, delayed payments, and profit erosion.

The Core Responsibilities of a Contract Administrator

1. Documentation Control

• Managing revisions of drawings, specifications, RFIs, instructions, site diaries.
• Ensuring only the latest approved documents reach site.
• Maintaining an auditable record of directions and approvals.

2. Communication Management

Every instruction, clarification, or agreement must be documented. The CA maintains the “single source of truth”. In major disputes, the party with the strongest documentary evidence almost always prevails.

3. Time Administration

• Monitoring critical path activities and tracking delay events.
• Assessing and submitting Extensions of Time (EOTs).
• Issuing notices for delays caused by the Principal or Superintendent.

4. Cost Administration

• Valuing progress claims.
• Assessing variations and adjusting the contract sum.
• Monitoring provisional sums and prime cost items.

5. Quality & Certification

• Ensuring works align with drawings, standards, and contract documents.
• Managing hold points, witness points, test reports, and compliance certificates.

Practical CA Toolkit

• Notice Regimes: Maintain templates for delay notices, EOT intents, variation proposals, and directions received. Track the contractual time bars (e.g., 5–10 business days) and reminders.
• Evidence Pack: For each claim, keep a bundle of photos, diaries, supplier quotes, and program snapshots. Strong evidence wins adjudications.
• Revision Control: Issue transmittals when drawings/specs change; record superseded versions and site acknowledgment.
• Meeting Minutes: Action lists with owners and due dates; circulate within 24 hours and require confirmations.

The Three Pillars of CA

1. Time: EOTs, delay notices, PC date, DLP management.
2. Cost: Variations, progress claims, financial adjustments.
3. Quality: Conformance, defects, completion requirements.

The Golden Rule

"If it's not in writing, it didn’t happen."

Oral agreements are unenforceable and nearly always lead to disputes. Document everything — immediately.

The Role of Software in CA

• Automated EOT workflows with critical-path linkage.
• Variation pricing and approval tracking.
• Progress claim creation aligned with contract rules.
• Document revisions, meeting minutes, and site instructions in one place.