Certified Texas Contract Manager Practice Exam

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Prepare for the Certified Texas Contract Manager Exam. Study with practice questions and detailed explanations. Get ready to ace your exam!

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What is a corrective action plan designed to achieve in contract management?

To outline contract terms
To resolve issues before escalation
To facilitate payments
To conduct supplier audits

The correct answer is: To resolve issues before escalation

A corrective action plan in contract management is specifically designed to address and resolve issues that have arisen during the contract's execution. Its main goal is to identify problems or deficiencies, analyze their root causes, and implement strategies for resolution before these issues escalate into larger conflicts or result in significant negative impacts on contract performance. By proactively addressing problems, a corrective action plan helps to maintain the integrity of the contract, ensuring that both parties meet their obligations and expectations. This approach can prevent disputes and foster a collaborative relationship between the contracting parties, which is crucial for successful contract management. Other options such as outlining contract terms, facilitating payments, or conducting supplier audits serve different purposes and do not directly align with the primary goal of a corrective action plan.