How should a contract administrator ideally manage disputes?

The most effective approach for a contract administrator in managing disputes is to seek resolution through negotiation or mediation. This method emphasizes communication and collaboration, allowing the parties involved to work together towards a mutually agreeable solution, thereby preserving relationships and reducing costs associated with prolonged disputes.

Negotiation allows both parties to present their viewpoints and work towards a compromise. Mediation, on the other hand, involves a neutral third party who can facilitate discussions and help identify common ground. Both techniques are preferred as they tend to be less adversarial than litigation and can lead to quicker resolutions.

Engaging in negotiation or mediation demonstrates a commitment to resolving issues constructively, which is vital in maintaining professional relationships and ensuring project continuity. It also helps to avoid the escalated costs and delays that often accompany legal action or contract termination, making it a more pragmatic choice for contract administration.