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Contract Organization

  • Alberto De Marco
Chapter

Abstract

Project Management primarily consists on managing a contract between the owner and the entities charged with the higher-level portions of the project scope, namely: financing, design and development. To this end, this chapter illustrates some of the most used delivery systems and presents the tradeoffs involved in different contracting mechanisms, with focus on risk-sharing and incentive issues. The various contract architectures are depicted as decomposed into three main components: a delivery system, a payment mechanism, and an award method. At the end, the way that these elements can be put together to form a suitable contract for diverse situations is discussed.

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Copyright information

© Springer International Publishing AG, part of Springer Nature 2018

Authors and Affiliations

  1. 1.Department of Management and Production EngineeringPolitecnico di TorinoTurinItaly

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