Outcome Agreement Management Plan
Contract Name
Contract Number
Provider Name
Name of Purchasing Agency (ies)
Term
Commencement Date
Term
Expiry Date
Estimate of annual contract value (plus
GST), if applicable
Estimate of total contract value (plus
GST) (if applicable)
Document Approval
Name
Role/title
Signature
Date
Purchasing
Agency
Provider
Key:
 Italicised text is intended as guidance or examples
 Yellow highlights identify template information requiring editing
Remember to tailor the OAMP to your as required
Please refer to the User Guide and the populated example OAMP for guidance on populating the OAMP
template - www.procurement.govt.nz – search ‘OAMP User Guide’
Table of contents
1.
Purpose ............................................................................................................................................ 3
2.
Definitions and interpretations .......................................................................................................... 4
3.
Background....................................................................................................................................... 4
4.
Summary of key details ..................................................................................................................... 4
5.
Summary of key events and activities ................................................................................................ 4
RELATIONSHIP MANAGEMENT ................................................................................................. 5
6.
Categorisation ................................................................................................................................... 5
7.
Principles .......................................................................................................................................... 6
8.
Protocols .......................................................................................................................................... 6
9.
Organisation / relationship manager contact details ........................................................................... 6
10.
Key contacts ................................................................................................................................. 7
11.
Meetings ...................................................................................................................................... 7
12.
Sharing innovative ideas ................................................................................................................ 9
13.
Disputes ....................................................................................................................................... 9
14.
Establishment of a remedy plan and issue resolution ...................................................................... 9
15.
Stakeholders ............................................................................................................................... 10
SERVICE DELIVERY MANAGEMENT ......................................................................................... 11
16.
Service description ...................................................................................................................... 11
17.
RBA – acknowledging that this service contributes to improving population outcomes .................. 11
18.
RBA - working together to understand performance and support continuous performance
improvement .......................................................................................................................................... 11
19.
Management of confidential information ..................................................................................... 12
20.
Monitoring and reporting ............................................................................................................ 12
21.
Monitoring coordination ............................................................................................................. 12
22.
Audit coordination ...................................................................................................................... 12
23.
Risk management........................................................................................................................ 12
24.
Actions register ........................................................................................................................... 12
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OAMP – 28 Feb 14
25.
Incentives ................................................................................................................................... 12
CONTRACT RELATED AND CONTRACT ADMINISTRATION .......................................................... 13
26.
Payment ..................................................................................................................................... 13
27.
Payment preconditions ............................................................................................................... 13
28.
Payment procedures ................................................................................................................... 13
29.
Future year budget planning ........................................................................................................ 13
30.
Management reporting (by the Purchasing Agency) ...................................................................... 13
Appendix One – Definitions ..................................................................................................................... 14
Appendix Two – Summary of Services ...................................................................................................... 15
Appendix Three– Risk Register ................................................................................................................. 16
Appendix Four – Actions Register ............................................................................................................. 17
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OAMP – 28 Feb 14
Purpose and Overview
1. Purpose
1.1.
This Outcome Agreement Management Plan (OAMP) is part of the contracting framework
developed under the Streamlined Contracting with NGOs project.
1.2.
The purpose of this OAMP is to provide a structured approach to the management of the
Outcome Agreement (including the Framework Terms and Conditions) between the
Purchasing Agency and Provider for [service description]. A summary of the services is at
Appendix 2.
1.3.
This OAMP is designed as a management tool to ensure that Outcome Agreement contract
management activities are adequately planned, resourced, implemented and recorded. The
plan will help:

build open, constructive and collaborative relationships between the Purchasing
Agency and Provider and other stakeholders

the parties to fulfil their respective obligations

monitoring and improving performance; particularly outcomes-focused performance

ensure effective communication between the Purchasing Agency and Provider

set out procedures to be followed for dealing professionally and effectively with
problems and changes to the Outcome Agreement

create an audit trail of documentation to support and justify the important agreement
management decisions throughout the life of the Outcome Agreement.
1.4.
This OAMP is not a contractual document and is not intended to create legally binding
obligations.
1.5.
This plan is a living document. The Purchasing Agency and Provider “Relationship Managers”
should regularly refer to this plan and ensure that agreed amendments are always
incorporated into this plan so that at any point in time the current state of the agreed
arrangements relating to contract management is captured. This plan should be formally
reviewed and signed off at least once a year.
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2. Definitions and interpretations
2.1.
Terms defined in the Framework Terms and Conditions or the Outcome Agreement to which
this OAMP relates have the same meaning in this OAMP. Any additional definitions are
contained in Appendix 1.
2.2.
If there is any conflict or inconsistency between the Outcome Agreement and this OAMP the
order of precedence is:

any properly made change or variation to the Outcome Agreement

the Outcome Agreement

this OAMP.
3. Background
3.1.
[Background to initiative/services being delivered under the Outcome Agreement- refer to
User Guide for additional information].
4. Summary of key details
4.1.
The table on the cover page of this OAMP summarises the key details of the Outcome
Agreement.
5.
Summary of key events and activities
5.1.
The following table summarises the main events and activities during the life of the Outcome
Agreement, including:

invoicing

payment

reporting to the Purchasing Agency

relationship meetings and review meetings.
Activity/Event
Date/Duration/Frequency
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Outcome
Agreement
Reference
Relationship Management
This section (6-15) is about how the Purchasing Agency and Provider will work together, and how the
relationship between them will be managed.
6.
Categorisation1
The Purchasing Agency, if it wishes to use this categorisation tool, will determine which
quadrant the Service being purchased fits.
high
Strategic
Strategic
security
security
Strategic
Strategic
critical
critical
Tactical
Tactical
acquisition
acquisition
Tactical
Tactical
drive
profit
low
high
relative cost $
Key
Tactical
Acquisition
Tactical
Drive
Strategic
security
Features: low spend and low risk/client vulnerability/business exposure
Approach: minimal attention, one off contracts. The relationship tends to be
more transactional in nature, i.e. less frequent communication, lack of
discussion or engagement at a strategic level etc.
Features: high cost but low risk/client vulnerability/business exposure,
generally many suppliers
Approach: Short term contracts, on-going active sourcing for competitive price.
(not many contracts for NGO services would fall in this quadrant)
Relationships in this quadrant tend to be more commercially focussed/driven.
Features: low cost but high risk/client vulnerability/business exposure/Provider
is a key or important stakeholder
Approach: medium to long term contracts/relationships, may consider
alternative sources of supply.
Relationships in this quadrant tend to be more collaborative and open. There is
more of a strategic focus, with risk management generally being one of the key
drivers for the purchasing agency.
1
all engagements with NGOs are expected to be collaborative engagements, however within that broad definition
there will be a further level of categorisation.
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Strategic
Critical
Features: high cost and high risk/client vulnerability/business exposure/
Provider is a key or important stakeholder
Approach: medium term contracts/relationships, develop and actively manage
relationships. Relationships in this quadrant should be very collaborative and
open. There should be a strong strategic focus – from both sides.
7.
Principles
7.1.
Each party agrees to manage the Outcome Agreement in a manner that is consistent with
Kia Tutahi Relationship Accord (The Relationship Accord between the Communities of
Aotearoa New Zealand and the Government of New Zealand) and the Code of Funding
Practice.
7.2.
Both parties agree to approach the management of the relationship in line with the
following principles:
 act honestly and in good faith
 communicate openly and in a timely manner
 work in a collaborative and constructive manner – including towards the resolution of
real or perceived problems and issues
 recognise each other’s responsibilities
 encourage quality and innovation to achieve positive outcomes; and
 maximise value for money to the Government in purchasing services that contribute
towards achieving the specified Outcomes – ensuring flexibility so that services can be
adapted (following discussion) to meet identified and agreed needs.
8.
Protocols
8.1.
Each party agrees to work in the following way:
 A commitment to open and regular communication, including early notification of
problems or issues (i.e. working together in an environment of ‘no-surprises’).
 Possible breach – as soon as reasonably practicable, the Purchasing Agency (or
Purchasing Agencies, if applicable), on the one hand, and Provider, on the other, will
keep each other informed about potential breaches of the Outcome Agreement, and
discuss their consequences, i.e. building on the “no surprises” approach above.
 Unexpected events – As soon as reasonably practicable, each party agrees to notify the
other if an unexpected or force majeure type event (i.e. an event outside their control)
occurs that may prevent or delay their performance under the Outcome Agreement. At
the same time they will also notify each other about what, if any, steps need to be taken
to manage service delivery while the event continues.
 [Describe any other protocols agreed between the Purchasing Agency/ies and the
Provider]
9.
Organisation / relationship manager contact details
9.1.
The contact details for sending information related to the Outcome Agreement and this plan
are as follows:
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OAMP – 28 Feb 14
[Purchasing Agency] [Replicate if multiple Agencies party to the Outcome Agreement this OAMP relates to]
Address:
Phone:
Fax:
Email:
Relationship
Manager
[Provider]
Address:
Phone:
Fax:
Email:
Relationship
Manager
10.
Key contacts
10.1.
The key personnel (other than the Relationship Managers referred to above) associated with
the Outcome Agreement are as follows:
Organisation
Name
Contact details
Purchasing Agency
Provider
11.
Meetings
[OPTION 1]
11.1.
The Provider and each Purchasing Agency will meet at least [six] monthly to:
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Role






11.2.
review and discuss achievement of client outcomes, including joint exploration of the
‘story’ (i.e. causal factors) behind performance measure baseline data, partners, ‘what
works’ (i.e. effective and efficient strategies, services or actions) and priority action plans
explore relevant learnings
refocus and review the services provided
plan for future change or continuation or transfer/wind-down of the service
have free and frank discussions around progress to date
review and confirm the performance measures (how much, how well, better off) are the
right ones.
The parties acknowledge that any agreement in a meeting will not vary the Outcome
Agreement unless varied in accordance with the procedures in Clause 15.2 of the Framework
Terms and Conditions.
[OPTION 2]
11.3.
During the term of the Outcome Agreement, there will be a number of regular meetings.
The following diagram summarises the meetings hierarchy:
E.G.
Meeting ground rules
11.4.
The parties have agreed the following ground rules for meetings:
 openly express ideas and questions (no hidden agendas)
 equal status around the table (except the Chair of the meeting, someone may need to
take charge)
 respect the attendees
 active listening to ensure participation at all times
 keep an open mind (avoid quick assumptions)
 silence is taken for consent
 everyone should be engaged in the same discussion to avoid separate discussions
happening at the same time, but one person should speak at a time and generally, be
allowed to continue until finished
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


focus on constructive solutions that are consistently driven by the desire to achieve the
specified outcomes
achieve a group consensus
speak honestly at all times and avoid surprises.
Description of scheduled meetings
11.5.
Meeting Name [E.G. Executive Forum]
Meeting Owner
[Purchasing Agency’s representative]
Frequency & expected Duration
Annual – 1 hour
Attendees
[Purchasing Agency]:

[Provider]:

Objectives
Input
Outcomes
Responsibility (to coordinate)
Administration
Agenda
11.6.
Meeting Name [repeat for each forum]
12.
Sharing innovative ideas
12.1.
The Executive Forum is an opportunity for the Purchasing Agency and Provider to share any
ideas or observations about where the Purchasing Agency or other Purchasing Agencies
could benefit from using any Provider IP and/or new IP.
13.
Disputes
13.1.
In the event of a Dispute the process detailed in the Framework Terms and Conditions will
apply, however the parties agree the Issue Resolution process at Clause 14 will be used as a
mechanism to seek to resolve disputes without needing to formally mediate.
14.
Establishment of a remedy plan and issue resolution
14.1.
Where an issue, for example breach of a minor condition, arises the Purchasing Agency and
Provider are expected to work together to address the issue, including developing a Remedy
Plan (refer Cl 12.2(b) of the Framework Terms and Conditions).
14.2. Unless otherwise agreed by the Purchasing Agency and Provider, at each stage of escalation
the issue must be resolved within [5] business days or it will be automatically escalated to
the next level in accordance with the following escalation model. This escalation model
operates alongside the Dispute Resolution process in Section 9 of the Framework Terms and
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Conditions. [note any escalation process needs to be consistent with the structure of the
Purchasing Agency and Provider’s respective organisations. Diagram below should be edited
to align with respective organisation structures].
Mediation
Escalate
Deputy Secretary
Escalate
Resolution
Chief Executive
Escalate
Escalate
Director
Resolution
General Manager
Escalate
Manager
Escalate
Resolution
Manager
Escalate
Escalate
Day to day working together –issue arises and not
resolved
Agency
NGO Provider
15.
Stakeholders
15.1.
Outside the key contacts identified in Section [10] above, the following stakeholders have
been identified for the Outcome Agreement. For each stakeholder the level of planned
engagement has been categorised and, where relevant, communications objectives,
messages and methods identified.
Stakeholder
Name
Interested in
Concerns
Communication
objectives
Targeted key
messages
(Outputs)
(Rational & emotional)
[Develop as a
landscape
table]
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Comms Channels
How?
Service Delivery Management
The following sections 16-25 inclusive contain some summary information about the services and
the monitoring, reporting and audit requirements from the Outcome Agreement. The information in
these sections does not take precedence over anything recorded in the Outcome Agreement.
16.
Service description
16.1.
[A summary description of the services to be provided under the Outcome Agreement –
reference A3 Service Summary for multi- service outcome Agreements.]
17.
RBA – acknowledging that this service contributes to improving population outcomes
17.1.
The agreed population outcome that relates to this service is all ……….. This means that both
parties would like to see ……….. There are [four] “vital few” or prioritised indicators of
success for this population outcome. They are ……. (refer to Appendix 1, Outcome
Agreement).
17.2.
The clients of the services described in the Outcome Agreement are drawn from this
overarching population group and as such agreed outcomes delivered to clients are
acknowledged as contributing to these aligned population outcomes. Both parties recognise
that this contribution is part of the rationale for funding these services as one of the most
effective ‘means’ to achieve agreed ‘ends’ (i.e. improved population outcomes).
18.
RBA - working together to understand performance and support continuous performance
improvement
18.1.
This section outlines the 7 questions linked to improving performance accountability.
Application of the 7 questions supports parties to understand and agree upon prioritised
actions for performance improvement.
Who are our clients (Client Group)
How can we measure if our clients are better off (Client Outcome)
How can we measure if we are delivering the services well (Quality Measures)
How we are doing on the most important of these measures (Baseline data and story)
Who are the partners that have a role to play in doing better? (Partners)
What works to do better, including no-cost and low cost ideas? (Common sense ideas
and research where available)
What do we propose to do? (Action Plan)
18.2.
It is anticipated that at contract monitoring and management meetings, both parties will
actively engage in using the 7 questions as part of working collaboratively together to
achieve improved services and outcomes for clients.
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19.
Management of confidential information
19.1.
If the Provider gives the Purchasing Agency any information that relates to the Outcome
Agreement, which it considers to be commercially sensitive, it will mark it as “commercially
sensitive” or “provided in confidence”.
19.2.
If the Provider holds any information that the Purchasing Agency is required to disclose in
response to a request under the OIA, then the Purchasing Agency will notify the Provider in
writing, requesting information. The Provider agrees to promptly provide copies of the
requested information to the Purchasing Agency. The Purchasing Agency will pay the
Provider any reasonable costs of providing the information (provided the Purchasing Agency
can recover those costs from the person who made the request under the OIA).
20.
Monitoring and reporting
20.1.
Reporting: The Purchasing Agency will take a flexible approach to monitoring and reporting.
If a report or scheduled meeting is serving little purpose, then by agreement the Purchasing
Agency and Provider may agree to amend or discontinue it (noting that agreement needs to
comply with the Outcome Agreement variation process).
20.2.
Monitoring: [Describe any requirements specific to the Outcome Agreement]. [This section
to capture the logistical and administration details associated with the monitoring activity.
The scheduling of the monitoring is captured in the Outcome Agreement]
21.
Monitoring coordination
21.1.
Details of coordinated monitoring– ensure alignment with the obligations in the
Government Agency Agreement.
22.
Audit coordination
22.1.
Details of coordinated audit – ensure alignment with the obligations in the Government
Agency Agreement.
23.
Risk management
23.1.
The risk analysis and risk register is contained at Appendix 3. The parties will use the risk
analysis and risk register to guide their consideration and management of risks identified by
either party.
24.
Actions register
24.1.
The actions risk register is contained at Appendix 4. The actions register will be used to
capture the various action items identified during the management of the Outcome
Agreement.
25.
Incentives
25.1.
[detail any operational requirements/arrangements related to any incentives agreed in the
Outcome Agreement]
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Contract Related and Contract Administration
This section is about the administration of the contract and payment processes.
26.
Payment
26.1.
Amounts / Timing
Payment
No.
Amount
Provider Invoice to be
received by [Purchasing
Agency]
Payment to be made by
(date)
If payments are captured in
the Summary of events table
in Section 5 then delete from
here
27.
Payment preconditions
27.1.
[Document any payment preconditions here; e.g. reporting required before release of
payment]
28.
Payment procedures
28.1.
[On receipt of Provider invoice ……]
28.2.
[Approving authority, etc]
29.
Future year budget planning
29.1.
Detail any process for budget planning
30.
Management reporting (by the Purchasing Agency)
30.1.
The following table details the Purchasing Agency management reporting in connection with
the Outcome Agreement.
Report Name / Description
Report Owner
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Audience
(Distributed to)
Frequency
Appendix One – Definitions
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Appendix Two – Summary of Services
Purchasing
Agency
E.G MSO
Purchasing
Agency contact
(name/DDI)
Anna Smith
09-202-0202
Contract
Start
Date
Contract
End Date
1/07/2014
30/06/2016
Service
Description
Resettlement
Services
Practice Guidelines/ Service
Specifications
www.mso/practiceguidelines/res
ettlement
Monitoring
Frequency
Payment
Frequency
Reporting
Frequency
Audit
Frequency
Approval
Frequency
Monthly
Monthly
Quarterly
Annual
annually
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OAMP Template – Final– 28 Feb 14
Volumes
150
Rate -if
applicable
F13
Contract
Amount
F14
Proposed
Funding
F15
Proposed
Funding
$500,000
$500,000
$500,000
Comment
Appendix Three– Risk Register
The Risk Register will be managed by the Purchasing Agency. The Register should be reviewed on a regular basis, including being reviewed as part of
relationship meetings between the parties.
Risk
Area
Risk Description
Likelihood
Impact
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OAMP Template – Final– 28 Feb 14
Risk Rating
Mitigation/Management
Closed
Appendix Four – Actions Register
#
Action
OAMP Template – final – 28 Feb 14
Allocated to
17
Expected Completion Date
Closed