1PSM303 Commercial Contracting Assignment Brief 2026 | National Institute of Technology

Case Scenario

Task 1

SmartTech Trading (Pty) Ltd plans to purchase 50 new laptops and IT support services for its expanding workforce. In the past, unclear supplier contracts and conflicting terms caused delays, disputes, and operational inefficiencies. To prevent these issues, the company requires a structured approach to procurement that ensures clarity, quality, and legal protection.

Create a comprehensive tender documentation pack for SmartTech Trading to procure the laptops and IT services. Your submission must include:

1. Invitation to Tender (ITT) or Request for Quotation (RFQ): Clearly outline the procurement requirements and submission instructions.
2. Detailed specifications: Define the technical, quality, and service requirements of the laptops and IT support services.
3. Key Performance Indicators (KPIs): Establish measurable performance criteria such as delivery time, product quality, and support responsiveness.
4. Draft contractual terms and pricing schedule: Include payment terms, cost structures, delivery expectations, and any standard conditions.

Additionally, prepare a report analyzing legal risks in contracting, focusing on:

• Conflicting contract terms (battle of the forms)
• Misrepresentation before contract award
• Risks of relying on supplier-drafted conditions

Provide practical guidance on how SmartTech Trading can avoid these risks, including strategies for standardizing contract terms, ensuring clear written agreements, and verifying supplier information before award.

[50 Marks]

Task 2

SmartTech Trading (Pty) Ltd provides IT support services to businesses and educational institutions. Recently, the company has faced complaints regarding slow response times, inconsistent service quality, budget overruns, and delays in task completion. Management wants to improve IT service performance and customer satisfaction by implementing measurable Key Performance Indicators (KPIs) and Service Level Agreements (SLAs).

Develop a comprehensive set of KPIs and SLAs for the IT support services provided by SmartTech Trading. Your work must include:

1. Response Time
   • Define KPIs for acknowledging and responding to support requests.
   • Set realistic targets (e.g., response within 30 minutes for critical issues). ✓ Explain how response times will be measured.
2. Service Quality
   • Define KPIs such as first contact resolution rate and customer satisfaction score (CSAT).
   • Provide targets and describe how feedback will be collected and analyzed.
3. Cost Control
   • Set KPIs for managing IT support costs against budget.
   • Include realistic quarterly or monthly targets and measurement methods.
4. Delivery Performance
   • Define KPIs for completing tasks and projects on time.
   • Include measurement methods and target completion rates.
5. Service Level Agreements (SLAs)
   • Specify working hours, emergency support availability, escalation procedures, and reporting frequency.

Include recommendations for penalties or incentives if targets are not met or exceeded.

[25 Marks]

Task 3

TechNova Solutions (Pty) Ltd is a growing IT and technology services provider. The company frequently enters into agreements with suppliers and clients for software, hardware, and IT support services. Recently, unclear contracts and missing clauses caused delays, disputes, and financial risks. Management wants to implement a contract management checklist to ensure all agreements are complete, legally compliant, and minimize risk before signing.

Develop a comprehensive contract management checklist for TechNova Solutions that ensures all essential clauses are included in every agreement. Your checklist must include:

1. Legal Compliance Checks
   • Verify the contract complies with relevant laws and regulations.
   • Ensure terms of liability, indemnity, and dispute resolution are clearly stated.

2. Ethical Sourcing Requirements
   • Include clauses that require suppliers to follow ethical labor and sourcing practices.
   • Ensure sustainability or environmental standards are considered.

3. Payment and Pricing Verification
   • Confirm payment terms, pricing schedules, invoicing procedures, and cost adjustment clauses are correct.

4. Risk Assessment
   • Identify potential operational, financial, or legal risks.
   • Include measures to mitigate risks, such as guarantees, insurance, or penalty clauses.

[25 Marks]