Procurement question for CPFF
A prime contractor in a customer project under CPFF contract has run into unexpected technical problems. Fixing them will require a lot of additional work to be done.
The company made a decision to book more staff and equipment from their subcontractors in order to adhere to the agreed timeline. The customer agreed to this decision.
What will most likely happen?
A) The contractor‘s indirect costs will increase and the customer‘s payment for them will increase, too.
