Which one of the following terms might be the most appropriate title for a plan underpinning this approach, to ensure value for money, and payment linked to actual progress?

Periodic progress reports may be required by a contract manager. Part of this could include reporting actual progress against planned progress. In many cases, achievement of planned stages would result in (part-) payment(s) being released to the contractor.

Which one of the following terms might be the most appropriate title for a plan underpinning this approach, to ensure value for money, and payment linked to actual progress?
A . Part-payment plan
B . Milestone / gateway plan
C . Stage or staged plan
D . Roadmap or road sign plan

View Answer

Answer: B

Explanation:

Milestone plan.

This is difficult, and if you opted for ‘staged’, that is understandable. ‘Milestone’ or ‘gateway’ are terms often used to describe a situation in which a particular point must be reached on a project, prior to release of funds. By this means, a close linkage can be made between outputs achieved and payments made. The idea of stages goes towards this, and ‘progress payments’ ie payment based on alleged progress or simply time, have been shown in many cases, to be ineffective in achieving value for money.