Managing contractors and consultants

If a government agency decides to engage with citizens and stakeholders using a more innovative or complex technique, there may be a need to consider involving a skilled, independent facilitator. Using a contractor or consultant as a facilitator can also be useful when there are poor trust relations between a community and an agency and can improve perceptions of neutrality and impartiality.

Contractors are procured by agencies on a regular basis where required skills within the public sector may not be available at the time. Consultants are a type of contractor that the government defines separately for reporting purposes. The roles of the consultant need to be clarifi ed providing itemised details of the contract being considered.

If a contractor/consultant is enlisted to undertake a community engagement activity on behalf of an agency, it is important to remember that the agency retains ultimate responsibility for developing and maintaining relationships with citizens, stakeholders and communities throughout the engagement activity. The onus is also on the agency to ensure the information provided in the engagement process is accurate and that feedback and follow-up processes are timely and effective. This will generally require regular and close liaison between a contractor and the contracting agency. It is also important to ensure that learnings about engagement processes and outcomes are fed into the agency in order to support internal capability development.

Choosing and managing contractors/consultants

Effective communication

When enlisting a contractor/consultant to undertake community engagement activities on behalf of the agency, it is important to ensure that the roles and responsibilities of the contractor/ consultant, the agency project manager, external stakeholders and the agency and government decision-makers are clearly communicated and understood. This requires comprehensive briefi ngs and ongoing communication between the contractor/consultant and the agency throughout the engagement process.

Managing expectations

Developing strategies for effective communication, clarity of roles and responsibilities and transparency of process will assist the agency and the contractor/consultant in managing expectations about community engagement activities. Setting and clearly communicating the parameters for the community engagement activity is an important part of managing the expectations of a range of stakeholders. Many risks or issues can be addressed in advance by selecting the correct engagement techniques to make sure all stakeholders are properly engaged.

Skills and knowledge

To maximise effectiveness of the engagement, it is important that contractors/consultants have appropriate community engagement skills and knowledge which is aligned with the Queensland Government's priorities, and a clear understanding about:

• the purpose and objectives of the engagement activity
• agency expectations
• their role and responsibilities
• any government or agency legislative or policy requirements associated with the engagement activity
• limitations or constraints in the engagement activity
• the level of influence of the community in decision-making processes
• the groups to be engaged
• timelines and resources
• their primary contact within the agency and community
• how the expectations of those involved will be managed and
• how risks and issues will be addressed and managed as they arise throughout the engagement process.

The skills and knowledge of possible consultants should be verified with reference to demonstrated examples of how such skills have been applied in past. This may be achieved by asking consultants to provide examples of previous work (videos, reports etc.) and by contacting referees nominated by the contractor or consultant.

Contract management

A critical part of managing a contractor/consultant is the contract. All consultancies, regardless of the cost, require a written contract between the parties that is signed and dated. This may be in the form of a simple 'Letter of Acceptance' or a purchase order for low value and low risk consultancies. The letter should clearly define the requirements and obligations of both parties. Individual agency policies and procedures should be confirmed and adhered to in order to ensure that the correct processes are followed.

It is important to remember that the process does not end with the signing of the contract. Contractors/consultants need to be monitored to ensure that milestones and quality outcomes are being achieved on time and within budget. Typical measures to ensure effective management of contractors/consultants include:

• appointing a project manager (or in some cases a steering committee) with a clearly defined responsibility for the management of the consultant
• maintaining adequate records
• clearly defining performance standards expected of consultants
• clearly defining intellectual property agreements
• the department will want to know the range and representation of samples of the community, and the level of community engagement attendance to ensure the quantity and quality of consultation practice
• specifying the requirements for reports and meetings with the consultant and
• assessing the work and performance of the consultant at regular intervals.

Communication between the project manager and contractor consultant needs to be effective and regular to make sure the community engagement activity is on track and that the agency is getting what has been specified. Keep documentation of all communications on file.

Evaluation

Monitoring and evaluation of the progress at specified regular periods will ensure that clarification and modifications can be sought for optimal project outcomes.

Performance evaluation of consultants and contractors has been examined by the Commonwealth, and an audit indicated that the performance of consultants should be formally reviewed prior to progressive contract payments being made. The details of such an evaluation should be negotiated with the consultant/contractor as part of the initial contract development phase to ensure that both parties are aware of what will be assessed.

References and websites:

• Information and Procurement Division: Department of Public Works and Housing (1996) Engaging and using Consultants. Quick Guide.
• Better Purchasing Guides Index (2003) www.qgm.qld.gov.au