Phase: 06 Finance And Contracts

The objectives of the Finance And Contracts work stream are to:

Create or finalize and/or sign all contractual documents needed to execute the awarded continuous service delivery
Prepare additional contractual documents like:
- Operational Level Agreements (OLAs)
- Templates for creating additional specific contracts during service delivery
- All additional specific contracts needed before Service Commencement
- Contracts for Rights To Use
Train all resources on contractual aspects
Initiate financial management
Create procedures and work instructions for financial management
Train all resources on financial management aspects.

Preferably all contracts are signed on the day the transition program starts. So, not only for the transition program itself, but also for continuous service delivery. This is however not always the case. It is the Capgemini Group rule that we cannot start work without having a signed contract. But, sometimes we do start the transition on a signed a Stop Gap type of contract with the Client.

And even if the contract between the Client and Capgemini has been signed, contracts between Capgemini and her subcontractors, other Capgemini entities or Third parties that deliver hardware, software or services to Capgemini or via Capgemini to the Client, may not be in place yet. This is what the Finance And Contracts work stream needs to check and take the appropriate action on, so that all contracts are in place at the moment they are needed.

Besides this, during the sales phase there are always a lot of assumptions made regarding for instance what hardware, software, tools or maintenance and support services we can (re-)use. During the transition program we need to check whether these assumptions were right and need to get proof that we are indeed allowed to use what we planned to use. Whether the hardware, software, tools, maintenance and support related contracts are owned by the Client, the Incumbent(s), Third Party services suppliers or Capgemini does not matter. We need to make sure that we have the rights to use these for the purpose we planned to use these for, on the location or from the location we planned to use these.

As interpretation of legal language in contracts is not the forte of most of our resources, we need to make sure that all resources involved in both the transition program and continuous service management and delivery, know what was contracted. Clarifying notes, contract summaries and presentations can help with that.

Contracts are one responsibility of the Finance And Contracts work stream, implementing the baseline and creating the tools and processes necessary to financially manage the Service Run is the second. Contractual terms and conditions are matched against what is required from Capgemini internal perspective and from local country or region’s legal and taxation perspectives. The baseline information has to be entered in appropriate systems and tools. Procedures and work instructions we have to be made to make sure the right information is captured at the right moment in the future of continuous service delivery. Furthermore, training our resources on capturing the right information and proof in the right place is a must for executing financial management and correct invoicing/payments in the future.

Not all work in the Finance And Contracts work stream has to be done by the work stream team. The sales team is responsible for getting a lot of contractual documents negotiated and signed. Furthermore, specific departments or teams within Capgemini might be responsible to execute the actual work, like legal teams or tool implementation teams. There also may be standard services available for certain aspects, for instance for creating a Contract Summary. It is however the responsibility of the Finance And Contracts work stream lead to make sure that all this work is ready on time.