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You Won the Contract—Now What? Key Steps to Ensure Successful Execution

Writer's picture: Total Optim SolutionsTotal Optim Solutions



Congratulations! Winning a bid proposal is an exciting milestone for any small or medium-sized business (SMB). But now comes the hard part: successfully executing the contract. Whether you’re delivering goods or services, your next steps are crucial to ensure you meet the client’s expectations, build a strong relationship, and set yourself up for future opportunities.


Here are the key steps SMBs should take after winning a contract to ensure they execute the work successfully.


1.Establish a Robust Contract and Statement of Work (SOW)


The first and most important step after winning a contract is to formalize the agreement with a detailed contract and a well-defined Statement of Work (SOW). These documents will serve as the foundation for the project, outlining the expectations, deliverables, deadlines, and legal protections for both you and the client.


Key Elements to Include:

- Scope of work: Clearly define what you will deliver, including any specifications for goods or services.

- Timeline: Set realistic deadlines for milestones, delivery dates, and project completion.

- Payment terms: Specify when and how you’ll be paid, including any penalties for late payments.

- Roles and responsibilities: Identify key personnel on both sides who will be responsible for overseeing the project.

- Change management process: Establish a procedure for handling changes to the scope, costs, or timeline during the project.


Why This Is Critical:

Having a detailed contract and SOW ensures that both parties are aligned on expectations from the start. It reduces misunderstandings, sets a standard for performance, and provides legal protection if issues arise.


2. Create a Project Plan and Timeline


With the contract and SOW in place, the next step is to create a detailed project plan. This plan should break down the work into manageable phases, establish timelines, and identify the resources required to complete each task.


Steps to Create a Project Plan:

- Identify milestones: Break the project into key phases with specific deadlines. This

helps keep the project on track and allows for regular progress reviews.

- Assign responsibilities: Ensure that each task or milestone is assigned to a specific team member or department. Accountability is key to keeping the project moving forward.

- Set up tracking tools: Use project management software or other tools to monitor progress and flag any potential delays.


Why This Is Critical:

A project plan keeps your team organized and ensures the project remains on track. It also gives your client confidence that you have a structured approach to delivering on your promises.


3. Communicate Regularly with the Client


Clear and frequent communication is key to maintaining a strong working relationship with your client. Set up regular status meetings or check-ins to provide updates, discuss any potential issues, and ensure the client feels engaged throughout the project.


Communication Tips:

- Set expectations early: Establish how often you’ll provide updates and in what format (e.g., weekly meetings, email reports).

- Be proactive: If you foresee any issues, communicate them early and suggest solutions. Clients appreciate transparency and a proactive approach to problem-solving.

- Document conversations: Keep a record of key discussions and agreements to ensure that both parties are aligned and there’s a paper trail in case of disputes.


Why This Is Critical:

Good communication helps prevent misunderstandings, keeps the project on track, and builds trust with your client. It also shows your professionalism and commitment to the project’s success.


4. Ensure Quality Control


Whether you’re delivering goods or services, maintaining high quality is essential to fulfilling your contract and meeting client expectations. Put a quality control process in place to monitor the work at each stage and catch any issues early.


Key Steps for Quality Control:

- Set quality benchmarks: Define clear criteria for what constitutes acceptable quality for each deliverable.

- Conduct regular inspections: For goods, inspect materials before they’re shipped. For services, review work at regular intervals to ensure it meets the agreed-upon standards.

- Collect feedback: Engage the client for feedback throughout the process to ensure you’re meeting their expectations.


Why This Is Critical:

Delivering high-quality goods or services is the best way to secure future business. If you consistently meet or exceed expectations, you’ll likely win more contracts with the same client and get referrals to others.


5. Monitor Costs and Cash Flow

After winning a contract, it’s easy to focus on execution and overlook financial management. However, monitoring your costs and cash flow is crucial to ensuring the project remains profitable.


Key Financial Management Tips:

- Track expenses: Keep a close eye on costs to ensure you stay within budget. If costs are higher than expected, address them immediately with the client or find ways to cut back.

- Invoice promptly: Stick to the payment terms in the contract and send invoices as soon as milestones are completed.

- Manage cash flow: Large contracts can strain your cash flow, especially if payments are delayed. Have a plan in place for managing cash flow, whether it’s securing a line of credit or renegotiating payment terms.


Why This Is Critical:

If costs spiral out of control or payments are delayed, your cash flow can take a hit. Careful financial management ensures that your business remains profitable throughout the project.


6. Manage Risk and Be Ready for Change


Even with the best planning, unexpected challenges can arise. Be prepared to manage risk and adapt to changes throughout the project.


Risk Management Strategies:

- Identify risks upfront: At the start of the project, list potential risks (e.g., supply chain disruptions, personnel changes) and create a plan for managing them.

- Have a change management process: If the client requests changes to the scope or timeline, have a clear process in place for handling them, including any necessary changes to the budget or timeline.


Why This Is Critical:

Being prepared for the unexpected helps you stay flexible and responsive to the client’s needs, ensuring the project stays on course even when challenges arise.


7. Deliver on Time and Follow Up

Once the work is completed, make sure you deliver the final product or service on time and within the agreed specifications. After delivery, don’t just move on—follow up with the client to ensure they are satisfied and to address any final questions or concerns.


Post-Delivery Steps:

- Review deliverables: Double-check that all deliverables meet the client’s expectations before final handover.

- Request feedback: Ask the client for feedback on the project and identify areas for improvement.

- Maintain the relationship: Stay in touch with the client to keep the door open for future projects or referrals.


Why This Is Critical:

Successfully delivering on time and following up shows that you are committed to long-term success, not just completing a one-off project. This strengthens your client relationships and increases your chances of securing future contracts.


Plan, Communicate, and Execute with Precision



Winning a contract is a big accomplishment, but it’s just the beginning. To ensure a successful outcome, SMBs need to focus on creating a detailed plan, maintaining clear communication, managing quality and costs, and being prepared for the unexpected. By following these steps, you’ll not only meet your client’s expectations but also position your business for future growth and opportunities.

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