Sometimes the customer can even help the supplier by offering ways to get certain raw materials from companies that offer better value for money, which further reduces the cost of the final product. Establishing a relationship of trust For any open book policy to be successful, there must be a relationship of trust, and this is what then allows the open book policy to succeed. It will not be constructive or even almost successful if the supplier does not trust the customer. There is no industry standard for how costs incurred are accounted for. Some public sector framework agreements and civil engineering contracts have standard formats, but in most cases it is up to the customer to have access to the contractor`s records and accounting systems and then agree on how costs can be monitored and verified on the basis of data from such systems. While weekly reporting and tactical planning can be done by the contractor`s local operational team, more detailed and strategic planning requires the support of specialized planners and project managers. In the context of the contractual agreement, it is appropriate to specify the level of aid that contracting entities can expect from the contractor. If the support level is included in the management fee or is provided for a fee. This is particularly the case today, when most contractors have reduced the size of their central support teams after pressure to cut administrative costs and expect local superiors to provide the service, often with mixed results. Achieving a detailed operational view requires time, a series of planning tools, and specific expertise that most local operations teams do not have. It is obvious that an element of confidentiality must be incorporated into the agreement and that the customer will not be able to pass on the information he has seen to the supplier`s competitors. If you need help with an open book contract, you can publish your legal needs on the UpCounsel marketplace. UpCounsel only accepts the top 5 percent of lawyers on its site.

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