Procurement contract management (PCM) is a basic operation to the overall successes of progress goals and the life-force borderline of performance in construction project thus needs system to be followed and implemented. In spite of its significance, many researches has been under taken its difficulties at different activities on single PCM stage but as far as my research is concerned there is no research found to observe the PCM life cycle challenges of Water Work Contraction (WWC) on performance in the case of Amhara region. As a result this research study tries to investigate Procurement contract management challenges of WWC in Amhara region on performance. Both primary and secondary data are required. The primary data sources are questionnaire, interview, focused group discussion and Case study while secondary data source are document review, literature, internet and similar research thesis. The study was conducted through a quantitative and qualitative design of research by employed purposive sampling technique. The targeted sample population was 71 public water work constructed procurement contract management performers in Amhara region. A survey questionnaire is developed and working to collect data from the respondents besides secondary data being used. The data were collected and analyzed using descriptive statistical and thematic qualitative data analysis technique is employed with micro soft excel 2019, SPSS software Version 26 and AMOS software version 23 were used to process the data analysis that provides a general overview of the results (degree of occurrence and effect level, ranking, correlation, regression and intercept). The34 PCM challenges of WWC on Performance has been identified, cross checked and grouped into seven groups based on the PCM process and stage. From Identified over all 34 challenges, in each group and within groups the degree of impact & occurrence has been evaluated and ranked with RII 16 main challenges > 80% mixed level are prioritized and plotted with fish bone diagram The combined effect size of PCM challenges of WWC on Implementation is strong and on closing is moderate effect size. In that some kind of interpretations and discussions are made on the results. Finally conclusion and recommendation are forwarded. Keywords: - Procurement contract management, procurement process, Project life cycle, Water work construction, procurement challenges