Contract jargon explained_2
7 September 2012
Q: I am preparing to negotiate a new contract with a supplier, but I keep hearing phrases such as "full turnkey" and "management contracting" used without explanation. What do they mean, and are there any similar terms that I may hear?
A: Darren Ford, purchasing and supply management development manager at CIPS, replies: These are just shorthand for types of contracts, and they all have straightforward definitions.
"Full turnkey", in its original sense, means a contract where your prime contractor undertakes all responsibility for any aspect of the service you are contracting for. In essence,...