Introduction
The contract managers operate based on the accepted and recognized acquisition administration frameworks. Various organizations have developed their set of rules and regulations. For example, Leads Corporation has issued such documents as Federal Contracting Cycle and DOD Directive 5000.1, mainly focusing on the acquisition management framework related to defense. Apart from the detailed work and ethics codes, a professional contract manager’s competencies are improved by training and growth through experience and practice. However, there are some critical areas on knowledge where a manager has to be exceptionally efficient, including technical, conceptual, and human relations. While engaging in government contracting and acquisition, a qualified executive program manager should be fully aware of various important concepts and practices, including total cost of ownership, cost management, and negotiation.
Background
For executive program managers working in federal contracting and acquisition, there are specialized competencies and requirements. Namely, there are various regulations in place in the United States of America regarding governmental contracting within the acquisition process, as well as the statutory requirements. Additionally, program managers will have to be particularly acquainted with how to interact with governmental employees and entities. The government provides some materials and resources for potential managers. Furthermore, program managers must be familiar with the requirements and aspects of managing government property. Moreover, during the contracting process, the project manager is the key stakeholder in ensuring that the branch of government they work with follows the legal requirements regarding government property. Lastly, project managers need to be aware that different branches of government utilize unique accountable property systems, and require fiduciary responsibility.
Literature Review
Literature provides various frameworks and solutions for executive program managers working with governmental agencies. The study by Schriber et al. (2018) focuses on the importance of integration flexibility in acquisition management. The article suggests that despite the significance of adequately calculated costs, acquiring managers should analyze whether possible integration flexibility can assist in obtaining considered targets (Schriber et al., 2018). Another recent study by Výstupová et al. (2020) compared the cost management strategies as a requirement for efficient business administration primarily in the public sector. The research highlights cost optimization as one of the vital strategic decisions (Výstupová et al., 2020). Lastly, the literature analyzes the structure of transaction cost theory and the ways it affects negotiations (Berrios & McKinney, 2017). Overall, contemporary academic articles have expanded the knowledge of the appropriate executive manager frameworks.
Findings
An overview of acquisition frameworks yields various insights regarding the total cost of ownership, cost management, and negotiation. Firstly, ownership costs are often preceded by integration costs, which add to any acquisition costs (Schriber et al., 2018). Furthermore, the cost of ownership must be integrated with technical analysis to understand the predicted decay of the asset in question (Roda et al., 2020). Studies on cost management have found that cost optimization by itself is rarely sufficient; instead, understanding the sources of costs is vital in cost management in the long term (Výstupová et al., 2020). Lastly, negotiation skills are crucial, as inadequate negotiation has led to increasing costs, a lack of transparency, and diminishing performance (Berrios & McKinney, 2017). Understanding these topics is vital for effective project management.
Conclusion
To sum up, executive contract managers have various frameworks that include different processes and procedures appropriate for acquisition management with the government. Companies choose the set of rules that best fit their organizational guidelines; however, most of the plans have very similar structures. Moreover, executive managers should still be skilled in particular topics of expertise, such as proficiency in technology, concepts, and human relations standards. In terms of the profession’s background, an executive contract manager must be aware of laws regarding contracting within the acquisition process with the US government. Additionally, a specialist is recommended to have exceptional communication skills to interact with state employees appropriately. Furthermore, the literature review provided insights into the specific frameworks and techniques applied by contemporary program managers operating with government entities. Findings suggest that executive managers must carefully examine probable integration flexibility, enhancing the acquisition of the desired target. Studies also presented the importance of cost optimization and transaction cost theory as effective procedures and tools for professional managers. Lastly, research findings revealed essential observations concerning the total cost of ownership, cost management, and negotiation.
References
Berrios, R., & McKinney, J. (2017). Contracting and accountability under leaner government. Public Integrity, 19(6), 559-575. Web.
Roda, I., Macchi, M., & Albanese, S. (2020). Building a total cost of ownership model to support manufacturing asset lifecycle management. Production Planning & Control, 31(1), 19-37. Web.
Schriber, S., King, D., R., & Bauer, F. (2018). Acquisition integration flexibility: Toward a conceptual framework. Journal of Strategy and Management, 11(4), pp. 434-448. Web.
Výstupová, L., Zámečník, R., & Kozubíková, L. (2020). The sustainability of the existing cost management system with an emphasis on the public sector. Scientific Papers of the University of Pardubice, 28(1), 176-188. Web.