- PSPPROC504B - Finalise contracts
Assessor Resource
PSPPROC504B
Finalise contracts
Assessment tool
Version 1.0
Issue Date: April 2024
The unit applies to those whose primary role is contract management.
This unit covers the ability to finalise processes for contracts. It 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 promoting the values and ethos of public service and local government, undertaking negotiations, promoting compliance with legislation in the public sector or local government, managing contract performance, managing procurement risk, planning to manage a contract, planning for procurement outcomes and making procurement decisions.
PSPPROC414A Manage contracts is the appropriate unit for people undertaking contract management as a minor part of their work role.
No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.
You may want to include more information here about the target group and the purpose of the assessments (eg formative, summative, recognition)
Prerequisites
Not applicable.
Employability Skills
This unit contains employability skills.
Evidence Required
List the assessment methods to be used and the context and resources required for assessment. Copy and paste the relevant sections from the evidence guide below and then re-write these in plain English.
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package. | |
Overview of assessment | Competency must be demonstrated in the ability to finalise contracts consistently in accordance with legislative and organisational requirements. |
Critical aspects for assessment and evidence required to demonstrate competency in this unit | Assessment must confirm the ability to: develop and implement an appropriate review strategy for contracts that are ending complete relevant contract closure processes ensure appropriate records have been kept apply contract review techniques make written recommendations for improvements to the procurement process based on review results uphold probity standards in all dealings with contractors. Consistency in performance Competency should be demonstrated by providing evidence of undertaking a range of relevant work tasks in an actual or simulated procurement environment on at least two separate occasions. |
Context of and specific resources for assessment | The unit of competency is to be assessed in the workplace or a simulated workplace environment. Access may be required to: legislation, policy, procedures and protocols relating to procuring goods and services, and managing and finalising contracts codes of conduct and codes of practice workplace scenarios and case studies relating to a range of procurement activities associated with finalising contracts case studies that incorporate dilemmas, and probity requirements relating to finalising contracts. |
Method of assessment | The following assessment methods are suggested: questions to assess understanding of relevant legislation and procedures review of strategies and approaches adopted for finalising contracts review of contract management plans, contracts, contract variations, contractor performance reports, contract closure plans, transition plans, risk assessments and other contract finalisation documentation prepared by the candidate in a range of contexts review of stakeholder engagement approaches adopted by the candidate. In all cases, practical assessment should be supported by questions to assess underpinning knowledge and those aspects of competency which are difficult to assess directly. Questioning techniques should suit the language and literacy levels of the candidate. |
Guidance information for 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. Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example: PSPETHC501B Promote the values and ethos of public service PSPGOV507A Undertake negotiations PSPLEGN501B Promote compliance with legislation in the public sector PSPPROC503B Manage contract performance PSPPROC505A Manage procurement risk PSPPROC506A Plan to manage a contract PSPPROC507A Plan for procurement outcomes PSPPROC508A Make procurement decisions. |
Submission Requirements
List each assessment task's title, type (eg project, observation/demonstration, essay, assingnment, checklist) and due date here
Assessment task 1: [title] Due date:
(add new lines for each of the assessment tasks)
Assessment Tasks
Copy and paste from the following data to produce each assessment task. Write these in plain English and spell out how, when and where the task is to be carried out, under what conditions, and what resources are needed. Include guidelines about how well the candidate has to perform a task for it to be judged satisfactory.
Required skills |
communication skills to: consult and negotiate with contractors and stakeholders, involving complex oral and written exchanges of information write review and closure reports make recommendations about improvements to the contract management process provide feedback teamwork skills to: model effective team management approaches respond to diversity refer issues to the correct person problem-solving skills to finalise outstanding issues so the contract can be closed initiative and enterprise skills to identify improvements to the contract management process of contract management planning and organising skills to: manage contract closure documentation plan and organise contract closure meetings, reports and reviews learning skills to keep up-to-date with: best practice examples in procurement practice relevant procurement legislation, policies and procedures technology skills to: operate organisational IT systems use electronic procurement templates |
Required knowledge |
commonwealth, state or territory, and local government legislation, policies, practices and guidelines: relating to contract finalisation and review, including environmental purchasing and corporate social responsibility guidance such as OHS and equity and diversity organisational procurement policies, practices and approval processes contract finalisation and review for a range of contractual situations privacy and confidentiality issues, including the requirement to appropriately classify information to ensure transparency as well as to treat bids as commercial-in-confidence probity principles and issues codes of conduct, codes of practice and standards of individual behaviour relating to finalising contracts information, knowledge management and record keeping for official or historical records equal employment opportunity financial and accounting issues relevant to the contract aspects of contract law, trade practices law and commercial law relevant to the finalisation of contracts relating to complex procurement |
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included. | |
Contracts may include: | formal written contracts standing offers (panels) multi-use lists and similar arrangements inter and intra-government agreements letters of intent memoranda of understanding and memoranda of agreement licensing agreements in-house option directives. |
Timing of contract review may include: | periodically throughout the contract when performance issues arise prior to contract completion concurrently with contract renewal process after the contract is completed. |
Contract review may include: | planning process evaluation considerations at each stage of 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 contract. |
Copy and paste from the following performance criteria to create an observation checklist for each task. When you have finished writing your assessment tool every one of these must have been addressed, preferably several times in a variety of contexts. To ensure this occurs download the assessment matrix for the unit; enter each assessment task as a column header and place check marks against each performance criteria that task addresses.
Observation Checklist
| Tasks to be observed according to workplace/college/TAFE policy and procedures, relevant legislation and Codes of Practice | Yes | No | Comments/feedback |
|---|---|---|---|
| Contracts due to expire are reviewed to determine future requirements, and options for meeting those requirements are canvassed in sufficient time for decision making and transition to occur. | |||
| Strategies are implemented to manage closure, renewal of contracts, or transition to a new contract according to organisational guidelines, probity requirements and public sector standards. | |||
| Contracts are finalised, amended, cancelled or terminated according to contractual arrangements. | |||
| Consultation is undertaken with contractor, and a contract completion report is issued addressing the performance of contractor and contract manager according to organisational requirements and public sector standards. | |||
| Timing of contract review is determined to ensure a smooth transition to post-contract arrangements. | |||
| Contract review is undertaken covering contract management, contractor performance relevant to measures at each stage of the contract, user satisfaction and audit results. | |||
| Where measures or outcomes are not met in full, variances are documented and explained. | |||
| Review report is prepared documenting outcomes against plans, final costs, user satisfaction, lessons learnt and any shortcomings in contract planning, management policies and procedures. | |||
| Recommendations for improvement are made and supported with evidence, as a result of lessons learnt. |
Forms
Assessment Cover Sheet
PSPPROC504B - Finalise contracts
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Assessment Record Sheet
PSPPROC504B - Finalise contracts
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Assessment task 1: [title] Result: Competent Not yet competent
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