Procurement in a Nutshell – Crown Commercial Service publishes Contract Management Framework Summary
21st November, 2025
Earlier this month, the Crown Commercial Service (CCS) published guidance in the form of a Contract Management Framework Summary, including key principles that should be adopted by public bodies when managing contracts.
Whilst this framework is mostly applicable to larger, high value contracts and businesses, the principles are broadly relevant to everybody. This nutshell comprises a roundup of the key principles to keep in mind.
Principles that should be followed:
1. Ensure that contracts are known and understood by all those who will be involved in their management
- Adequate resources should be identified and applied well before the contract is awarded.
- There should be an effective handover or transition from sourcing the contract to its execution.
2. Be clear about accountability, roles and responsibilities
- Contract ownership, management processes and governance mechanisms should be clearly defined, including identifying roles and responsibilities and the appropriate levels of seniority.
- There should be a contract management plan.
3. Establish and use strong governance arrangements to manage risk and enable strategic oversight
- Governance structures should be proportionate to the size and risk of the contract.
- Understand and use contractual options e.g. rectification plans and step-in rights.
- Appropriate business continuity and contingency plans should be in place.
4. Adopt a differentiated approach based on risk
- Direct the strongest resource to contracts where the risk and rewards are the highest.
- Consider a ‘self-managing’ approach with the exception of lower risk contracts.
5. Manage contracts for business/public service outcomes
- Owners of the required outcome should be accountable for the success of the contract performance and they should work closely with commercial staff to manage contracts.
- Focus on successful outcomes.
6. Accept change and plan for it
- Flexible approaches to change should be developed for changes incurred when joint working with suppliers.
- Accept that change will affect both parties during contract life.
- Costs should be controlled via robust change control mechanisms.
- Senior level assurance and controls are in place to prevent changes from altering the strategic intent of a contract.
7. Measure and report on performance and use KPIs and data efficiently to incentivise good performance
- Contracts should be administered proactively and efficiently.
- Maximum use of benchmarking and performance measurement data.
- Use a balanced scorecard to measure ‘hard’ data such as KPI performance alongside ‘soft’ measures e.g. customer satisfaction and relationship management, with a focus on achieving outcomes.
- React quickly to issues.
- KPIs and incentives should be appropriate and proportional to the contract.
- KPIs and incentives should be challenged regularly to ensure mechanisms evolve through the life of the contract.
8. Drive continuous improvement, value for money and capture innovation
- Contract tools and provisions to leverage relationships should be actively used.
- Continuous drive for value for money.
- Seek out and implement innovative ideas for improvement.
9. Accept that successful delivery of major projects is best achieved through a single fully integrated team
- Supplier and client should work as a single team with one focus and delivery of the successful outcomes.
10. Ensure links are made with organisation and/or government wide supplier relationship management (SRM) programmes
- Ensure close working relationship with CCS to establish where suppliers are covered within SRM programme.
- Make sure performance and relationship issues are captured.
- Be aware of the broader relationship between the department, the Crown and the supplier.
11. Adopt and encourage commercial behaviours
- Understanding what drives suppliers and know how to assess profit vs excess profit.
- Be open and receptive to ideas.
- Explore and use appropriate commercial structures (e.g. alliances) but remain competent and robust in protecting Crown’s commercial position and driving value for money.
- Use open book and audit provisions with confidence.
- Use CCS’s Model Service Contract where appropriate.
For further information please contact Melanie Pears or Tim Care in our Public Sector team.
Please note that this briefing is designed to be informative, not advisory and represents our understanding of English law and practice as at the date indicated. We would always recommend that you should seek specific guidance on any particular legal issue.
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