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Evidence Guide: DEFPBC001 - Employ the fundamentals of a Performance Based Contract

Student: __________________________________________________

Signature: _________________________________________________

Tips for gathering evidence to demonstrate your skills

The important thing to remember when gathering evidence is that the more evidence the better - that is, the more evidence you gather to demonstrate your skills, the more confident an assessor can be that you have learned the skills not just at one point in time, but are continuing to apply and develop those skills (as opposed to just learning for the test!). Furthermore, one piece of evidence that you collect will not usualy demonstrate all the required criteria for a unit of competency, whereas multiple overlapping pieces of evidence will usually do the trick!

From the Wiki University

 

DEFPBC001 - Employ the fundamentals of a Performance Based Contract

What evidence can you provide to prove your understanding of each of the following citeria?

Define a PBC

  1. Main elements of the Performance Based Contract (PBC) are defined for employment within contract management practice
  2. Goals of the PBC are defined to meet identified key contractual elements
  3. Method of application required for the key elements of a PBC is identified and defined
Main elements of the Performance Based Contract (PBC) are defined for employment within contract management practice

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Goals of the PBC are defined to meet identified key contractual elements

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Method of application required for the key elements of a PBC is identified and defined

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Establish a PBC

  1. Key stakeholder benefits are described within the PBC
  2. Limitations and associated risks are identified and described within the PBC
  3. PBC creation processes are applied and incorporate any risk mitigation measures identified
Key stakeholder benefits are described within the PBC

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Limitations and associated risks are identified and described within the PBC

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

PBC creation processes are applied and incorporate any risk mitigation measures identified

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Design a PBC

  1. Performance measure types are described in the PBC and are used to improve contract performance management
  2. PBC reward and remedy types are described within the contract in conjunction with risk mitigation measures
  3. PBC design principles are applied to maximise supplier motivation and encompass strategic contract management benefits
Performance measure types are described in the PBC and are used to improve contract performance management

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

PBC reward and remedy types are described within the contract in conjunction with risk mitigation measures

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

PBC design principles are applied to maximise supplier motivation and encompass strategic contract management benefits

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Assessed

Teacher: ___________________________________ Date: _________

Signature: ________________________________________________

Comments:

 

 

 

 

 

 

 

 

Instructions to Assessors

Evidence Guide

ELEMENTS

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1

Define a PBC

1.1

Main elements of the Performance Based Contract (PBC) are defined for employment within contract management practice

1.2

Goals of the PBC are defined to meet identified key contractual elements

1.3

Method of application required for the key elements of a PBC is identified and defined

2

Establish a PBC

2.1

Key stakeholder benefits are described within the PBC

2.2

Limitations and associated risks are identified and described within the PBC

2.3

PBC creation processes are applied and incorporate any risk mitigation measures identified

3

Design a PBC

3.1

Performance measure types are described in the PBC and are used to improve contract performance management

3.2

PBC reward and remedy types are described within the contract in conjunction with risk mitigation measures

3.3

PBC design principles are applied to maximise supplier motivation and encompass strategic contract management benefits

Required Skills and Knowledge

ELEMENTS

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1

Define a PBC

1.1

Main elements of the Performance Based Contract (PBC) are defined for employment within contract management practice

1.2

Goals of the PBC are defined to meet identified key contractual elements

1.3

Method of application required for the key elements of a PBC is identified and defined

2

Establish a PBC

2.1

Key stakeholder benefits are described within the PBC

2.2

Limitations and associated risks are identified and described within the PBC

2.3

PBC creation processes are applied and incorporate any risk mitigation measures identified

3

Design a PBC

3.1

Performance measure types are described in the PBC and are used to improve contract performance management

3.2

PBC reward and remedy types are described within the contract in conjunction with risk mitigation measures

3.3

PBC design principles are applied to maximise supplier motivation and encompass strategic contract management benefits

Evidence required to demonstrate competence in this unit must be relevant to and satisfy all of the requirements of the elements and performance criteria on at least one occasion and include:

applying relevant risk mitigation measures within the Performance Based Contract (PBC) framework

applying the principles of PBC to the management of strategic contracts

defining the goals, benefits and limitations of a PBC in accordance with strategic business requirements

defining the two key elements of a PBC to meet strategic contract management requirements

defining the types of rewards and remedies and relevant performance measures used in a PBC to achieve strategic outcomes

describing the process for creating a PBC

identifying contract risks

understanding how a PBC motivates the supplier and applying this in managing a PBC.

Evidence required to demonstrate competence in this unit must be relevant to and satisfy all of the requirements of the elements and performance criteria and include knowledge of:

communication techniques to effectively communicate decisions

complex strategic contractual provisions

contract strategy and construction

Defence business units that incorporate PBC methodologies

PBC design principles

PBC features in comparison with a standard contract and key performance indicators

PBC reward and remedy types

government procurement processes and options

strategic contract management benefits

theory and benefits of PBC management.

Range Statement

Range is restricted to essential operating conditions and any other variables essential to the work environment.

Non-essential conditions may be found in the Companion Volume Implementation Guide.