The specific nature and extent of contract administration varies from contract to contract. It can range from the minimum acceptance of a delivery and payment to the contractor to extensive involvement by audit and procurement officials throughout the contract term. Factors influencing the degree of contract administration include the nature of the work, the type of contract, and the experience and commitment of the personnel involved.

The Guidance Firm believes that contract administration starts with developing clear, concise performance based statements of work and preparing a contract administration plan that cost effectively measures the contractor's performance and provides documentation to pay accordingly.