Abstract
In many countries, access to basic services such as health, education, clean water, markets and other economic services is still lacking. Therefore there is still a large demand for improving local infrastructure. As a result, there is a large demand for the services of competent local construction firms who can take on the challenges of developing and maintaining the infrastructure facilities in both rural and urban communities. Providing the local construction industry with access to these market prospects, require an efficient contracts management organisation, capable of planning and supervising the works as well as taking care of all financial and administrative activities. This capacity can be established in local government institutions by equipping them with the necessary systems and procedures and with personnel with the skills and knowledge required to take on this management role.