The study aimed at contract administration and performance of an organisation with a case of national water and sewage corporation Kampala branch and examined the intricate relationship between contract administration practices and organizational performance within the National Water and Sewage Corporation (NWSC) Kampala branch. The research aimed to identify the impact of effective contract management on the operational efficiency and overall performance of the organization. This investigation employed a mixed-method approach, combining both qualitative and quantitative data collection techniques. Primary data were gathered through structured questionnaires distributed to a sample of 200 employees, including managers and staff directly involved in contract administration at NWSC. The findings revealed that meticulous contract administration significantly contributed to improved performance metrics at NWSC. Specifically, the study demonstrated that well-managed contracts led to higher profit margins, effective cost control, and enhanced service delivery. Furthermore, proper contract management was identified as a critical factor in ensuring successful project completion and fostering positive supplier relationships. A majority of respondents (70%) strongly agreed that effective contract management is pivotal to business success, highlighting its role in mitigating risks and ensuring compliance with contractual obligations. However, the study also uncovered challenges associated with contract administration, such as the perceived tediousness of the process and the lack of adequate training for staff. Despite these challenges, the importance of maintaining accurate and comprehensive records of all transactions was emphasized by 71% of participants, underscoring its role in sustaining organizational efficiency and accountability. The government should give support to audit companies so as to encourage the independence of such companies and avoid being corrupted in one way or the other. This can be in form of subsidizing the existing firms.