Reconciliation Memo

Essay by 12jacUniversity, Master'sA, November 2009

download word file, 5 pages 0.0

This memo seeks to negotiate a contractual resolution between Span Systems and Citizen-Schwarz AG for the purpose of maintaining our one-year contract, worth six million dollars. By bridging the gap between how we are currently facilitating our business transactions with how we aspire to facilitate business transactions, we can preserve our relationship. As project manager, my responsibility is to be proactive in getting our project back on track. An interest-based negotiation is the best solution for both Span Systems and Citizen-Schwarz AG so that we can mutually benefit from the existing opportunities, avoid risks and minimize liabilities.

IssuesThe following issues are causing the current disconnects that are affecting our business transactions. User and system requirements have grown since originally determined in the system study stage and as a result, Span Systems has been behind schedule for the last couple of months so that we can fill the new demands. The actual change requests presented by Citizen-Schwarz AG have been anything but ordinary.

In an effort to keep up with the challenges presented by Citizen-Schwarz AG, quality of Span Systems' deliverables have been substandard with major bugs detected in the user stage. Understanding that this issue is due in part to changes in the project management structure within Citizen-Schwarz AG. The structural changes have affected Citizen-Schwarz AG's approval and review times. Once we detect the areas of opportunity from both organizations, we can begin to address our issues so that both parties are able to move forward with confidence.

Clarity of Purpose Minimizes LiabilityOne must understand that the enforceability of a contract rests on how explicit the wording used in each clause. Certainly the language used to express our agreement is open to interpretation and affects the scope of contractual obligations. Having said this, clarifying any ambiguity within our contract is...