- Contractual Execution Period

The contractual execution period is the timeframe agreed upon in the contract for completing the project or delivering the required services. This period usually starts from the date of signing the contract or issuing the work commencement order and is determined based on the nature and size of the project.

Importance of the Contractual Execution Period

1. Regulating the Schedule: Determines the time needed to complete the entire project.
2. Ensuring Parties' Commitment: Obligates contractors to execute the work within a specific timeframe.
3. Resource Planning: Helps in appropriately allocating human, financial, and material resources.
4. Risk Management: Reduces the likelihood of delays that could affect cost or work quality.

Factors Influencing the Determination of the Period

1. Nature of the Project: Large and complex projects require a longer duration.
2. Availability of Resources: Such as raw materials or skilled personnel.
3. Environmental Conditions: Seasons or weather that may affect the schedule.
4. Announcements by the Demanding Party: Such as providing licenses or facilitating site access.

Procedures for Monitoring Execution Period

1. Scheduling: Dividing the execution period into sub-phases with deadlines for each phase.
2. Periodic Reports: Providing regular progress reports to the announcing party.
3. Continuous Evaluation: Comparing actual progress with the plan and making adjustments when necessary.

Challenges Associated with the Execution Period

1. Unexpected Delays: Due to factors such as natural disasters or material shortages.
2. Changes in the Scope of Work: May lead to an extension of the contractual period.
3. Overlap Between Projects: If the contractor manages multiple projects, it may affect adherence to the schedule.

Its Role in Tendering

• It is a key element in evaluating bids, as the execution period affects the decision-making process of the announcing party.
• It contributes to monitoring the commitment of contractors and achieving project goals within the timeframe.

The contractual execution period is one of the most important clauses in contracts, ensuring a balance between execution speed and work quality.