You Won It! Now What?

April 13, 2006

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Now, to the big question: What happens next if your company is the one that is awarded the contract? After you have congratulated yourself, what should you be doing and thinking about? Simply put, it is now up to you to fulfill the requirements of the contract, whether it's to produce a product, provide a service or build a structure.

Although it is impossible to cover the infinite variety of situations that might be involved in any given contract, we can offer a checklist of the actions you need to take immediately upon receiving a contract. The items on the checklist may seem obvious to you, but most companies get into trouble simply because they fail to do the obvious.

Contract Performance Checklist

Reread the Contract. You probably hoped that you had heard the last of this, but here we go again. The first thing you should do upon being awarded a contract is to read, read, read the provisions. Recheck your delivery dates, packaging requirements, reports you may be required to submit, and delivery destination. Make sure you haven't missed something -- let's hope you are not surprised at what you may find.
Record Important Contacts. Look on the face of the contract and jot down the name, address, telephone number, and e-mail address of the following contacts so you will have the information handy for on-going reference:
- Procuring Contracting Officer (PCO)
- Administrative Contracting Officer (ACO)
- Paying Office
- Government Inspector (You should be contacted by this individual. This might be a local person who will work with you to get the contract completed. If it is a military contract, the local Defense Contract Management Agency (DCMA) should be a big help to you. Think of these people as part of your management team to help complete the contract.)
Don't Take Unnecessary Actions. If the PCO or the ACO directs you to take a specific action, you must do so. But don't act on anyone else's direction! If you do, you will be liable for any costs or consequences that may result. Only the PCO, ACO, Contracting Officer's Representative (COR) or the contract itself can authorize you to take any action.
Resolve Any Questions. If you have any questions about what a specific provision means or if you find any inconsistencies in your contract, contact the Contracting Officer (CO) immediately and ask for a meeting or "post-award conference." Open the lines of communication and develop a good working relationship right away. If you are really new to the process, ask for all the assistance that the CO is willing to give you. There is no question that is too "dumb" or "embarrassing;" what is really embarrassing is not performing on the contract. Address any problem right away before it gets out of hand.
Keep accurate, timely and well-documented records. Even in this paperless society, a paper trail is important. You have no case if you can't prove what was said and done. We have found that simple misunderstandings can easily degenerate into a "he said, she said" sort of situation where no one wins and the relationship with the government people becomes, shall we say, "touchy."
Determine internal responsibilities. Make sure your people understand what is to be done and in what time frame. This will help ensure that everything goes smoothly and that delivery is made in accordance with the terms of the contract.
Issue orders and plan production. Place any long lead items on contract immediately to ensure that there will be no holdup with production.
Produce/provide the service. If everything was planned out properly, this part should go relatively smoothly. If not, don't forget to keep the Contracting Officer informed. If you see that delivery under the contract may be affected, seek an extension before the due date to avoid being delinquent.
Review your quality control program. Make sure procedures are in place and are adequate to guarantee that the quality of the item will meet government requirements. If necessary, update your procedures and your manual.

Copy this checklist, and then put it and all other information in the work order or folder. If you miss something, this will make it easier to go back and make changes.