The Role of Contract Managers in Commercial Strategy and the Importance of Structured Handovers

Jim Bergman

The effectiveness of any commercial strategy hinges on seamless execution, and contract management plays a pivotal role in bridging the gap between strategy and implementation. However, organizations often overlook the importance of involving contract managers early in the commercial strategy development process and ensuring a structured handover from the strategy team. Here’s why this integration is crucial and how it can drive better outcomes.

1. Why Involve Contract Managers in Strategy Development?

Contract managers are not just administrative executors – they are strategic enablers. Their involvement in the development process ensures that commercial strategies are practical, legally sound, and aligned with organizational objectives. Here’s how their input adds value:

  • Operational Feasibility: Contract managers bring a deep understanding of the operational realities and contractual obligations that can influence strategy execution.
  • Risk Mitigation: By identifying potential legal and compliance risks early, they help shape strategies that are resilient and sustainable.
  • Alignment with Partners: Their expertise ensures that strategies are designed to align with vendor and partner agreements, fostering collaboration and trust.

When contract managers are part of the strategy development process, the organization is better positioned to translate ideas into actionable plans.

2. The Importance of a Structured Handover from the Strategy Team

Even the best-designed strategies can falter without a smooth transition from planning to execution. A structured handover from the strategy team to contract managers ensures clarity, accountability, and alignment. Here’s why this step is essential:

  • Knowledge Transfer: A structured handover ensures that contract managers receive all relevant information, including objectives, key performance indicators (KPIs), and critical constraints.
  • Continuity: It reduces the risk of miscommunication or knowledge gaps that could derail execution.
  • Stakeholder Alignment: A formal handover process fosters collaboration between teams, ensuring that everyone is on the same page.

A structured handover is not a one-time event—it’s a collaborative process that builds a strong foundation for success.

3. Best Practices for Integration and Handover

To maximize the impact of involving contract managers and ensure seamless handovers, consider these best practices:

  • Early Collaboration: Involve contract managers from the outset of strategy development to capture their insights and ensure alignment with contractual realities.
  • Detailed Documentation: Develop comprehensive handover documents that include strategy objectives, timelines, KPIs, and any relevant context or considerations.
  • Formal Handover Meetings: Schedule dedicated sessions where the strategy team can present their plans, answer questions, and address concerns from the contract managers.
  • Use Technology: Leverage contract lifecycle management (CLM) tools to streamline handover processes, centralize documentation, and track progress.
  • Feedback Loops: Establish mechanisms for contract managers to provide feedback to the strategy team as they execute the plan, fostering continuous improvement.

Conclusion

Involving contract managers in the commercial strategy development process and ensuring a structured handover from the strategy team are not just operational tasks—they are strategic imperatives. This integration creates a stronger connection between planning and execution, reduces risks, and enhances the overall effectiveness of commercial strategies.

Organizations that embrace this approach are better positioned to navigate complexities, achieve their objectives, and build lasting partnerships. After all, success is a result of not just great strategies but flawless execution—and contract managers are key to making that happen.

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Published by Jim Bergman

Jim Bergman is a commercial contract professional with global experience spanning the USA, Latin America, UK, Europe, China, South Korea, Japan, India, SE Asia, the Middle East, Africa and Australia. He has worked on a wide range of direct and indirect spend categories in numerous sectors, developing a deep knowledge of services, goods and technology procurement and sales. Across this wide array of commodity and services experience, Jim has found the keys to success in maximizing value for money through customer-supplier relationships founded on innovative category management and strategic sourcing practices, key performance metrics and measures, as well as Total Cost of Ownership principles and collaborative contracting tenets. He has shared his knowledge through advisory engagements, as well as in developing and delivering training programs both on-line and in classrooms, in both open-enrollment and internal environments. Jim has assisted his clients through all phases and steps of contracting, negotiation, strategic sourcing and bidding processes, demonstrating value generation in excess of $250 million. His audiences and clients have included over 7,000 attorneys and commercial professionals students from over 1,000 corporations and public-sector entities.

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