Q An assignment on Contract Management & legal aspects Home, - Contract Management Contract Management Executive Summary Contract management is an important part which is in correspondent with legal aspects required for different organisations. This aspect has been given adequate focus in this study. The aspects of contract management, letter of intent and memorandum of understanding has been thoroughly defined in this study. This study also accesses the different steps required for change in a project along with reasons what might cause project delays. Thus, this study pays adequate importance in these certain aspect. 1. Assessment and difference among contract, letter of intent and memorandum of understanding A contract can be defined as an agreement in the written or spoken form which is bound by law. According to Fried (2015), a contract is aligned in accordance with employment, tenancy or sales. A letter of intent is basically an outline of agreements between two or more parties that can be stated as a declaration of documents. As opined by Adrián-Martínez et al. (2016), this document is made ready before the agreements are finalised by the parties. A memorandum of understanding is essentially a nonbinding agreement between two or more parties (apapracticecentral.org, 2018). This aspect usually comes to work in establishment of official partnership. The ultimate difference between contract and the rest of the two aspects is that a contract can be in verbal or non-verbal form. However, a letter of intent and memorandum of understanding are both written documents. The primary difference between a letter of intent and memorandum of understanding is the former is not legally binding (tokyo-mou.org, 2018). On the other hand, the latter carries a weight as it can be asserted can legally binding. Thus, the difference between all these three aspects can be thoroughly understood. 2. Assessment of eight areas required for a change in project management In a project life cycle, various changes are inevitable. As forwarded by Kerzner and Kerzner (2017), there are a total of eight steps in accordance with Kotter’s 8 Step Change Model that are needed to be followed in case of changes. These steps are as follows: Creating a sense of urgency The first step includes making all employees aware in which area project changes are required. For example, a project might require implementation of a new software or equipment. This will get added to the ultimate aim of the whole project and by creating urgency; team members of a project can understand its importance. Creating a guiding coalition The next process includes assessment of impact that the change would cause. Integration of a project team who would handle the changes would aid in a constructive approach (Ubani et al. 2015). This process would essentially aid in establishment of a work for the required positions needed for the change. Assessment of vision This process helps in identifying the necessary changes required and aids in creating a focused goal. It also aids in a reassessment of aims and objectives of the whole project. Through this, the project team members would be able to take the necessary steps required. Communication of the vision Communication is one of the most important aspects required in a project management. As asserted by Cole (2017), communication of necessary changes would help all team members to access the vision so that entire organisation can benefit from it. Removal of obstacles The next step includes elimination of obstacles after their identification. All employees can access which factors are needed to be removed so that the project can be moved forward at a faster pace. If an employee does not know how to operate equipment, it can slow down the whole process. It can be identified as an obstacle, therefore providing the necessary training would help in smooth conduction of the project along with its changes. Creation of short-term goals Short-term goals are essentially helpful in an aspect of change management. According to Brown et al. (2015), short-term goals help in focusing on an immediate action that is required. Therefore, by setting short-term goals, an organisation can set goals with a time-limit. This would not only make the employees work faster but also keep them motivated to work within time. Consolidation of improvements After the necessary changes, it is important to keep them under thorough observation. It is because the changes might not always result in the desired action. Therefore, long-term goals should be set on the basis of the short-term goals so that the changes can be incorporated in an organisation in a successful manner. Anchoring the changes The last step includes implementation of the required changes. For example, in this step, the project team members would evaluate the final step and implement the finalised changes in the project. Through this, not only the vision of the project can be reached but also the whole organisation can be moved towards a positive direction. 3. Evaluation of three types of delays for project delivery In a project, there are various causes which might lead to a delay in the process of its delivery. Some of the aspects are stated as follows: Delay caused by product suppliers and subcontractors A project can be delayed because of not getting the necessary materials for its due times. This might happen if a supplier has too much of a workload and is not able to meet all deadlines in due time (pmi.org, 2018). For instance, if there is a strike within the primary dealers, then the suppliers would not be able to deliver the project within due time. Delays caused by team members Delays can also be caused due to team members because one might not understand the task which can lead to slow conduction of work. As per the view of Anysz and Buczkowski (2018), more steps can lead to less productivity. Thus it can lead to a delay in project delivery. Delay due to task complexity Project delay can be caused if a task is essentially complex. For instance, if a project has far too many financial projections, then complexity might arise. If a task is too many steps and sub steps, then it can certainly contribute to the delay of a project.