What type of contract would be appropriate if there are no performance objectives beyond minimum requirements?

In situations where there are no performance objectives beyond minimum requirements, a Firm Fixed Price (FFP) contract is indeed the most appropriate choice. An FFP contract establishes a set price for the goods or services being procured, providing certainty for both the buyer and seller. This type of contract places the maximum risk on the contractor, as they are responsible for delivering the product or service at the agreed-upon price, regardless of any cost overruns.

The simplicity and predictability of an FFP contract align perfectly with scenarios where there is no need for additional performance incentives or detailed performance measurement beyond meeting the basic minimum requirements. Since there is no expectation for exceeding those minimum standards, an FFP promotes straightforward compliance and efficiency in contract execution.

Other contract types, such as Cost Plus Incentive Fee (CPIF), Cost Plus Fixed Fee (CPFF), and Fixed Price Incentive Fee (FPIF) contracts involve varying degrees of pricing flexibility and performance incentives, which are unnecessary in this context. These contract types are better suited for projects requiring detailed performance specifications and goals. Therefore, the FFP contract’s structure is distinctly beneficial for minimizing both complexity and risk while ensuring compliance with the contract's minimum requirements.