Change Summary
Release Date | Release Version | Change Description | Link |
|---|---|---|---|
April 20th, 2026 | 2026.1.1 | Enabled stage skipping in adverse action workflows based on the Response Required setting. |
Overview
An Adverse Action is a formal notification process used in government contracting to address client concerns about a contractor's performance. These notifications are typically more structured than informal complaints, such as emails or verbal feedback, and often take the form of official letters.
The Adverse Action process involves:
Receiving the client’s notice
Conducting an internal review and developing a response
Sending a plan of action to the client for approval
Implementing the approved plan to address the issue
This process ensures client concerns are systematically addressed, promotes accountability, and strengthens client-contractor relationships. The described capability streamlines this workflow by managing communication, tracking progress, and ensuring Compliance with required steps.
This document is a step-by-step guide on how you can use the Adverse Action feature on Contracts in your organization to efficiently track, review, and address adverse actions received from clients.
Prerequisites
Ensure that TechnoMile Contracts Suite has already been installed and configured. The version of this package must be 2025.1 or higher.
Adverse Action on Contracts
Login to your Microsoft Dynamics instance.
Go to Contracts and open a Contract Record.
Select Adverse Action in the drop-down menu.
Click New Adverse Action.
Specify mandatory details and click Save.
Notes:The Response Required field is set to Yes by default when the Action Type field is set to Corrective Action Required (CAR), Cure Notice, Show Cause Letter, Termination, or Cancellation.
The Response Due Date field is mandatory if the Response Required field is set to Yes. By default, it is set to five business days.
The Adverse Action record is created.
Go to Team Members and click New Team Member.
Specify details and click Save and Close.
Notes:
You can also create new Employee records to add as team members by clicking New Employee/Contractor, specifying details, and then clicking Save & Close.
You can also select Add from Contract in the Actions drop-down menu, select the Team Member Name checkbox, and click Add to include any team member already associated with the parent Contract.
The team member is added. Similarly, you can assign additional Roles, such as Data Reviewers, Approvers, and Final Reviewers.
Go to Deliverables and click New Deliverable.
Specify details and click Save & Close.
NOTE
Some of the fields are auto-populated based on the parent Contract record.
The Deliverable record is created. An email is sent to all the Stakeholders stating the same.
Select Send For Review in the Actions drop-down menu.
Click OK.
The Adverse Action record is sent for review and the Adverse ActionStatus field is automatically updated to Collaborate. An email is sent to the Data Reviewers asking them to review the Adverse Action record.
NOTE
When the Response Required is No, you can skip the BPF stages and finalize the Adverse Action.When set to Yes, the BPF follows the standard flow.
You can modify the Response Required field only during the Draft stage; you cannot change its value (from No to Yes or from Yes to No) in later stages, such as Collaborate or Negotiate.
As a Data Reviewer, open the email, review the Adverse Action record details, and decide whether to approve or reject it. Click Approve/Reject, enter comments, and then click Submit.
Notes:Data Reviewers can access the SharePoint location for Adverse Action related documentation by clicking the corresponding link.
Data Reviewers with a valid Microsoft Dynamics license can access the Adverse Action record by clicking the corresponding link.
IMPORTANT
The Contract Manager can view the Review Status and Comments of each team member along with the Approval History section on the Team Members tab.
An email is sent to the Contract Manager each time a Data Reviewer, Approver, or Final Reviewer takes action on the Adverse Action record (reviews, approves, or rejects), along with a link to the record.
An email is sent to all the Stakeholders every time the Adverse ActionStatus field is updated.
Once the Adverse Action record is reviewed by all the Data Reviewers, an email is sent to the Contract Manager informing them about the completion of the review process along with a link to the Adverse Action record.
Based on the feedback provided by the Data Reviewers in the form of rejection, the Contract Manager can update the Adverse Action record and resend it for review by following Steps 10 and 11.
As a Contract Manager, upon completion of the go back to the Adverse Action record and select Send For Approval in the Actions drop-down menu.
Click OK.
The Adverse Action record is sent for approval. An email is sent to the Approvers asking them to approve the Adverse Action record.
As an Approver, open the email, review the Adverse Action record details, and decide whether to approve or reject it. Click Approve/Reject, enter comments, and then click Submit.
IMPORTANT
Once the Adverse Action record is approved or rejected by all the Approvers, an email is sent to the Contract Manager informing them about the completion of the approval process along with a link to the Adverse Action record.
Based on the feedback provided by the Approvers in the form of rejection, the Contract Manager can update the Adverse Action record and resend it for review by following Steps 10 and 11.
As a Contract Manager, you can view Data Reviewer and Approver comments on the Team Members tab.
If the Response Required field is set to No, then the negotiate step is skipped, and the Contract Manager can proceed directly to the final review process (Step 16).
Once the Adverse Action record is approved and the Response Sent Date field is specified by the Contract Manager, the Adverse ActionStatus field is automatically updated to Negotiate.
The Negotiation process takes place outside the CRM through emails, chats, or other mobile communication between the client and your team.
If the client provides a response, it can either be an approval or a rejection.
In case of a rejection by the client, the Contract Manager can escalate the record by selecting Escalate in the Actions drop-down menu. This action prompts the Contract Manager to specify the Escalation Reason field, sets the Escalated Date field to current date, updates the Adverse Action Status field to Collaborate, and the Review/Approval Status field to Rejected.
Once the record is escalated, all the Stakeholders receive an email stating the same.
Post escalation, the Contract Manager can update the Adverse Action record based on the feedback and resend it for review by following Steps 10 and 11.
As a Contract Manager, in case of an approval by the client, select Send for Final Review in the Actions drop-down menu.
Click OK.
The Adverse Action record is sent for final review and the Adverse ActionStatus field is automatically updated to Awaiting Final Approval.
An email is sent to the Final Reviewers asking them to review the Adverse Action record.
As a Final Reviewer, open the email, review the Adverse Action record details, and decide whether to approve or reject it. Click Approve/Reject, enter comments, and then click Submit.
IMPORTANT
Once the Adverse Action record is approved or rejected by all the Final Reviewers, an email is sent to the Contract Manager informing them about the completion of the final review process along with a link to the Adverse Action record.
Based on the feedback provided by the Final Reviewers in the form of rejection, the Contract Manager can update the Adverse Action record and resend it for review by following Steps 10 and 11.
As a Contract Manager, upon completion of the final review process, go back to the Adverse Action record and specify values in Final Resolution and Corrective Action Summary fields.
Click Save.
The Adverse ActionStatus field is automatically updated to Finalized.
