This paper aims to examine a contract management process for the Picture Archiving and Communication System (PACS) using a performance-based contract (PBC). In this instance, the customer only pays when a specified outcome is delivered. By conducting SWOT analysis of PBC, the authors seek to offer guidance to practitioners in order to negotiate a robust contract, without surprises or disappointments. During the negotiation of the service offered, the major areas encountered include responsibility of operation, risk sharing, and type of payment. These areas are discussed in detail and their management is assessed based upon the "win-win" principle.