You’re the project manager for the latest multi-million dollar building renovation for your organization. The company requires maximizing the space which they’ve and the best approach is to do a staggered build out so as to better maximize the space in the existing building. You experience that the best approach was to negotiate with numerous contractors on a fixed price contract. Dissimilar contractors discussed other contracts with you, particularly ones to address the current market fluxuations in raw materials market. You ignore those other companies and settle on the agreement with the local company, who is willing to admit your terms for a fixed price contract. You find that a few weeks in a four month project which raw materials have raised by 250%. The contractor meets with you to discuss the price increase for the project. You’ve already committed the fixed price to the company and there is no contingency in budget. The contractor advises that he will go bankrupt if he is forced to finish project at this price and so the contractor sends you notification that they’re stopping work on the project. Word of the work stoppage flies through your company and your boss calls you to his office for the update. You describe what has happened but he feels which you’re responsible for allowing this to get to this point. You’re told by your boss to work something out with the contractor and to go in the negotiation with the good plan on how to mitigate the costs. On reflection of this condition, consider the below problems and how might this condition been dissimilar with a dissimilar contract approach.