CIV 5401: Construction management and economics II prepared by Engr. Dr. A. D.

Rafindadi
Part 3d

3d. Post contract administration.

Post-contract administration is a crucial phase in the construction project lifecycle, occurring
after the contract has been awarded and the construction work has commenced. This phase
involves managing the contract to ensure that all parties fulfill their obligations, monitor
progress, address any issues that arise, and ensure the project is completed on time, within
budget, and to the required quality standards. Proper management during this phase leads to
successful project completion, minimizes disputes, and lays the groundwork for positive
relationships between all parties involved.
1. Monitoring and Control:
• Progress Tracking: Regular monitoring of the project's progress against the agreed
schedule is essential. This involves conducting site visits, reviewing progress reports,
and comparing actual progress with planned milestones. Delays or deviations from the
schedule should be identified early, and corrective actions should be implemented
promptly.
• Cost Control: Post-contract administration includes ongoing management of project
finances. This involves tracking expenditures, managing cash flow, and ensuring that
costs remain within the budget. Any variations or additional costs must be carefully
documented and justified, with approvals obtained as required by the contract.
2. Change Management:
• Variation Orders: During the construction process, changes to the original scope of
work may be necessary. These changes, known as variations, could involve additional
work, alterations, or omissions. Each variation requires a formal variation order, which
must be agreed upon by both parties and documented to avoid disputes later.
• Impact Assessment: The impact of any changes on the project’s timeline, cost, and
quality must be assessed. Adjustments to the schedule and budget should be made
accordingly, and all changes should be communicated to relevant stakeholders.
3. Quality Assurance:
• Compliance with Specifications: Ensuring that the work complies with the contract
specifications and quality standards is a key responsibility in post-contract
administration. Regular inspections, tests, and reviews are conducted to verify that
materials and workmanship meet the required standards.
• Defect Management: Any defects or non-conformities identified during inspections
must be rectified promptly. A defect liability period is typically included in the contract,

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 CIV 5401: Construction management and economics II prepared by Engr. Dr. A. D. Rafindadi
Part 3d

during which the contractor is responsible for fixing any issues that arise after
completion.
4. Communication and Documentation:
• Stakeholder Communication: Effective communication between the contractor,
client, consultants, and other stakeholders is vital to the successful administration of the
contract. Regular meetings, progress reports, and updates help keep everyone informed
and ensure that any issues are addressed collaboratively.
• Record Keeping: Maintaining accurate and comprehensive records of all contract-
related activities is essential. This includes keeping logs of correspondence, meeting
minutes, change orders, payment certificates, and other relevant documents. Proper
documentation is crucial for resolving disputes and ensuring accountability.
5. Payment Administration:
• Payment Certificates: Payments to the contractor are typically made in installments,
based on the progress of the work. Payment certificates are issued by the project
manager or quantity surveyor, certifying the amount of work completed and the
corresponding payment due. It is important to ensure that payments are made on time
and in accordance with the contract terms.
• Retention: A percentage of each payment is often retained as a security measure to
ensure the contractor completes the work to the required standard. This retention is
released upon satisfactory completion of the project and after the defect liability period.
6. Dispute Resolution:
• Handling Disputes: Disputes may arise during the construction process, often related
to variations, delays, or quality issues. Post-contract administration involves resolving
these disputes promptly and fairly, using methods such as negotiation, mediation, or
arbitration, as specified in the contract.
• Claims Management: Contractors may submit claims for additional time or
compensation due to unforeseen circumstances or changes in the scope of work. These
claims must be carefully reviewed and managed to ensure they are legitimate and
supported by appropriate documentation.
7. Project Closeout:
• Final Inspections: As the project nears completion, final inspections are conducted to
ensure all work meets the contract requirements. Any remaining defects are noted and
must be rectified before the project is officially handed over.

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 CIV 5401: Construction management and economics II prepared by Engr. Dr. A. D. Rafindadi
Part 3d

• Handover and Final Account: Once all contractual obligations have been fulfilled,
the project is handed over to the client. The final account, including all payments and
adjustments, is settled. The contractor provides the client with as-built drawings,
operation and maintenance manuals, and other necessary documentation.
Example: Consider a scenario where a contractor is tasked with rehabilitating an existing
bridge. Here's how post-contract administration would be applied:
1. Contract Compliance: Ensure that the bridge rehabilitation work adheres to the contract
specifications, including repairs, materials, and safety measures.
2. Project Monitoring and Reporting: Monitor progress by tracking the completion of repair
phases against the established project schedule. Prepare monthly progress reports for the client.
3. Change Management: Receive a change request from the client to modify the rehabilitation
method due to unexpected structural issues. Assess the impact on the project timeline and costs
before seeking client approval.
4. Variations and Claims Management: Address a claim from the contractor related to
additional costs incurred due to unforeseen site conditions. Evaluate the claim's validity and
negotiate a resolution that accounts for the additional expenses.
5. Documentation and Records: Maintain comprehensive documentation, including
contracts, change orders, inspection reports, and correspondence with the client and
subcontractors.
6. Quality Assurance and Control: Conduct quality inspections after each phase of
rehabilitation to ensure that repairs meet the required standards. Collaborate with engineers to
review the quality of completed work.
7. Risk Management: Identify potential risks such as inclement weather affecting work
progress. Implement strategies to mitigate risks, such as adjusting the construction schedule or
using protective measures.
8. Progress Payments and Invoicing: Review contractor invoices and progress payment
requests, verifying that they align with completed work and the payment schedule.
9. Health and Safety Compliance: Regularly inspect the construction site to ensure
compliance with safety regulations, with a focus on minimizing hazards and protecting
workers.
10. Dispute Resolution: Resolve a dispute between the contractor and a supplier regarding the
delivery of materials. Facilitate discussions and find a solution that allows work to continue
without significant delays.

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 CIV 5401: Construction management and economics II prepared by Engr. Dr. A. D. Rafindadi
Part 3d

11. Communication: Maintain open lines of communication with the client, informing them
of progress, changes, and any potential challenges. Address client inquiries promptly.
12. Final Inspection and Handover: Coordinate a final inspection with the client and
structural engineers to ensure that the bridge rehabilitation work has been completed to
specifications. Address any outstanding issues before handover.
13. Project Closeout: Review all financial records, ensuring that payments and invoices are
accurately recorded. Prepare project closeout documentation, including warranties, reports, and
any required documentation for maintenance.
References
1. P. Lim, Contract administration and procurement in the Singapore construction industry. World
Scientific, 2020
2. D. Papajohn, M. El Asmar, and K. R. Molenaar, "Contract administration tools for design-build and
construction manager/general contractor highway projects," Journal of Management in Engineering, vol.
35, no. 6, p. 04019028, 2019.