Term: Procurement Methodology/Model

The sum of the client’s decisions on how to contract the Work:

  • How the Work will be bundled
  • How the Work will be paid for (cost-plus or firm price; milestone or scheduled payments)
  • How risk will be allocated (which party provides any necessary capital; which party is subject to the risk of rising costs through the contract term)
  • The contract duration (the base term and any option periods)