Vendor management of critical infrastructure rollout projects

The client, concurrently managing seven business-critical infrastructure rollout projects, had discovered discrepancies in supplier invoicing and delivery. Due to absence of established contract management processes, the suppliers had on several occasions overcharged deliveries and submitted unnecessary change requests that caused delays to the projects' implementation timelines without any consequences. To ensure successful project delivery and increase suppliers' contractual and commercial compliance, the client required support in managing the complex contracts related rollout projects.

To support the client's needs, two PIR consultants were engaged as contract managers to manage selected business critical contracts and ensure contractual and commercial compliance. Together with the client, PIR established a governance model and contract management process that ensured regular follow-up on the ongoing project progress, including e.g., payments, delays, claims, liquidated damages.  Through PIR's governance structures, the client was able to improve overall supplier compliance and successfully achieved combined CAPEX and OPEX savings of MUSD 2,2 during a 6-month period and ensured that the client had a working governance model in place for future projects.