With the World Bank spearheading many projects across Western and Central Africa (AFW), effective management of these initiatives is paramount for sustainable development outcomes.
Data shows that the World Bank is the largest donor in AFW with 355 active projects amounting to $58 billion and 72 projects in the pipeline worth $12 billion.
Research by Weshare states that every year an economic value of $270 billion is lost due to ineffective contract management.
Recognizing this need, the World Bank AFW Procurement Units has forged a strategic alliance with the Ghana Consulting Engineers Association (GCEA) to bolster contract management expertise in the region.
Contract management involves the oversight, administration, and monitoring of contracts from initiation through completion to ensure compliance with terms, timelines, and obligations.
It also includes tasks like negotiation, execution, performance tracking, and amendment management.
The GCEA has a good track record in the delivery of procurement and project management-related training and is among the few accredited Fédération Internationale des Ingénieurs – Conseils (FIDIC) training centers in the Western and Central Africa sub-region.
The training would be held annually and facilitated by GCEA through a certified FIDIC trainer. The maiden edition is expected to end on Friday, April 19, 2024, at the Engineering Centre, Roman Ridge, Accra with fifty (50) participants from Ghana, Cape Verde, Sierra Leone, and Liberia.
Michelle Keane, the Operations Manager of the World Bank said, “GCEA has extensive expertise in the delivery of contract management related trainings within the sub-region and being an accredited FIDIC Training Center gives some quality assurance of the training being delivered.”
She further emphasized that this training will be held annually but this maiden edition is fully funded by the World Bank and hence absolutely free for all participants.
“The Bank is thus hopeful that this collaboration is going to be sustained for the benefit of not only the World Bank projects but the region as a whole and leading to the achievement of sustainable development outcomes”.
Michelle Keane, the Operations Manager of the World Bank
The World Bank Operations Manager concluded that the Bank’s Procurement Framework also emphasized effective contract management as part of the general procurement processes.
“Obviously, the Procurement Regulations for borrowers is not limited to the selection process but go beyond and above contact awards and signing. Therefore, contract management planning must be considered in the development phase of the project’s procurement strategy and should be considered part of the overall approach to procurement.”
Michelle Keane, the Operations Manager of the World Bank
Contract Management Needed In Procurement Process
Buniyaminu Abdul Kadiri, Senior Procurement Specialist at the World Bank, also indicated that “a lot of successes are seen in the contract award processes on projects”, but poor contract management remains a challenge within the region, especially on high-value infrastructure contracts.
“These contract management lapses usually lead to contract duration overruns, interest on delayed payments, claims on idle time as well as resources, which affect the delivery of project development objectives and lead to slow disbursements.
“This collaboration will thus go a long way to improve delivery on World Bank-funded projects.”
Buniyaminu Abdul Kadiri
Contract management is an important thing for any organization because the mismanagement of contracts can easily lead to all kinds of trouble including legal ones.
Efficient contract management minimizes risk, protects the interests of both parties, is a good resource for decision-making, and can even resolve disputes should they arise.
Furthermore, a well-managed contract reduces costs and streamlines the contract process while developing good relations between your organization and the other party.
If done right, contract management ensures that a business stays efficient and can give businesses an insight into what’s to come.
Moreover, your organization won’t have to fear contract auditing since contract management guarantees compliance with regulations which also maintains control of relationships with third parties.
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