Consulting Q&AWhat would be the interest of having a framework agreement with a regular consultant?
Petunia UlfssonPetunia Ulfsson asked 1 year ago

1 Answers
Mikel StasiukMikel Stasiuk answered 1 year ago

A framework agreement is an overarching contract between buyers and suppliers. It lays out the terms under which new purchases can be made throughout the contract’s life. Framework agreements can be helpful for both parties because they provide clarity about the scope of the work, the expected deliverables, and the fee structure.

Having a framework agreement in place can also help to build trust and strengthen the relationship between the company and the consultant. In some cases, framework agreements can even lead to reduced costs for the company, as consultants are often willing to offer discounts for repeat business.

Moreover, when hiring a consultant, or talking about strategy with your regular consultant, you can bring up the interest of having a framework agreement which can be implemented to solve and meet your recurrent business problems and needs. If the consultant thinks your framework proposal is good enough, then you’re good to go. But it’s not always easy to negotiate a consulting framework agreement with your consultant.

Furthermore, the interest of you having a framework agreement with your (regular) consultant could be most appropriate for situations such as the following:

● When your project involves repetitive activities.

● Where, numerous call-offs over an extended period of time are planned.

● When the project involves a series of small purchases leading to a costly selection procedure, which is wasteful (albeit the value of the framework agreement as a whole could be large).

● When a project calls for separate, "upstream" services, where the methods aren’t very different.

Thus, all in all, the interest of having a framework agreement with a regular consultant or as a matter of fact, with a new consultant, can be implemented provided both parties agree to sign one.