Contract Management Maturity Model ( CMMM) --- Five Levels (Gist)

(Noted for my consumption and ready reference from a write-up found on the web.  Google search will throw many results on this topic).

CMMM is a tool used for measuring  the Contract Management Process capability of an organization,  and to take corrective actions towards continual improvements.   Efficient  contract management processes help organizations to achieve competitive advantage over its competition.    The five levels of Contract Management (Process) Maturity Models are as follows:

Level-1:  Ad hoc & Sporadic

Some  Contract Management Processes are used but they are used in some contracts.   Some Informal Documentation system also exists but it’s use is ad hoc and sporadic.  Processes are not used across all projects.  

Level-2:  Basic.  

Some basic processes are used and are used in selected projects.   Some formal documentation process exist but not used across all projects.  

Level-3:  Structured.  

Fully established processes exist and they are used throughout the organization.

Level-4:  Integrated.  

Here the processes are integrated with other functions or corporate processes in an organization.

Level-5:  Optimized. 

Here, organizations use performance matrix to assess the efficacy of the processes and necessary corrective steps towards continual improvement are taken.  Lessons-of-experience and the best practices learned are recorded and used towards continual improvement of the processes.

Jaikishan  (10th Nov 2014)