The Contracting Advantage
From Clauses to Culture.
What we hear
Contracts full of risk mitigation and punishment clauses that everyone signs and no one uses to run the relationship?
A different way to see it
A contract is a cultural document. If it reads like a threat, it will produce the behaviour of a threat. If it reads like a partnership, it can produce one.
How it works
We shape contracts around agreed outcomes, joint operating rhythm and shared incentives, without giving up commercial protection.
The outcome
Contracts that run the relationship instead of sitting in a drawer. Commercial protection and collaboration in the same document.
How it connects
Locks in Negotiation outcomes and enables Supplier Development to happen.
Questions about Contracting
What is Contracting in the Collaborative Procurement Operating Model?+
Contracting is Domain 08 of the Execution phase (Activate). A contract is a cultural document. If it reads like a threat, it will produce the behaviour of a threat. If it reads like a partnership, it can produce one.
How does Practical Procurement approach Contracting?+
We shape contracts around agreed outcomes, joint operating rhythm and shared incentives, without giving up commercial protection.
What outcome should procurement leaders expect from the Contracting advantage?+
Contracts that run the relationship instead of sitting in a drawer. Commercial protection and collaboration in the same document.
How does Contracting connect to the rest of the operating model?+
Locks in Negotiation outcomes and enables Supplier Development to happen.