What are the key steps and considerations to be made when mobilising a framework with new contractors that have in the past used Option A, but in future will be using Option C?
For me, the big one would be setting up common and open book arrangements in terms of what you expect to be presented to justify Defined Cost on a monthly basis; and what you records want easy access to in terms of being able to go down a level or two of detail. You want your auditor to buy-in to the process as well i.e. be involved. Remember there is the balance between being having sufficient confidence that what is presented is a true and fair reflection of Defined Cost versus the cost of doing it : if you leave it to big consultancy practices who charge by the hour, some - mentioning no names -will recommend seeing everything for some reason !
This would actually be a good question to post on the LinkedIn BuiltIntelligence forum as it is a more discursive that normal.
I agree with Jon’s comments but would broaden this to establishing the Working Practices for all the key processes in the contract e.g. early warnings, design management, Subcontractor acceptance, programme, testing and inspection, payment, inspection of Defined Cost and compensation events.
Option C is a shared risk contract and establishing collaborative working practices for the key processes will enable greater efficiency and effectiveness for both Parties.