Contract Management – 2 Day
- Contract lifecycle management from contract initiation to contract close-out
- The processes involved in managing contracts in a professional working environment
- The customer’s and supplier’s perspective of the process
- How to evaluate suppliers and their bids and proposals
- The importance of relationship management in achieving successful outcomes
Overview
This 2-day course provides essential contract management knowledge for engineers, non-contracting professionals, and those entering the commercial world. It covers contract administration principles, negotiations, change and dispute management, and enhancing profitability. The course aims to equip participants with skills to manage supplier relationships, costs, and risks. It aligns with ICE Chartership Attributes 5A and 5C, offering practical insights applicable in personal and professional contexts.
Who should attend
Individuals involved in or supporting contracting who want to improve their commercial management skills Project managers needing training in commercial management General audiences wanting to gain a basic understanding of commercial management. Those looking to meet Attribute 5A and 5C for ICE Chartership Account Managers, Site Construction Managers, Bid Managers, Program / Project Managers, Functional and Subject Matter Experts, Finance Managers, Facilities Managers.
Course Content
The essentials of contract management for engineers, non-contracting professionals, those starting a career in the commercial world and those with a need for commercial attributes in their role
This 2-day course delivers and insight and understanding of the principles of contract administration from inception of a project through to contract close out.
It focuses on the administrative aspects of contracts, negotiations, the transition process after contract signature, change management and dispute management.
It considers the commercial relationship and delivers knowledge which supports an ability to contribute to the profitability of your contracting deliverables. For those with ICE Chartership in mind, this course will support the requirements of Attributes 5A and 5C.
It will give you the confidence to manage relationships with suppliers and the skills to manage costs and risk.
The program focuses on teaching contemporary best practices in a manner which the student will find interesting and immediately useful in both their personal and professional life.
Who Should Attend
Location
Course Syllabus
Day 1
Module 1 – Introducing the Contract Management role
- What is a contract?
- What is the purpose of a contract
- Contract formation and the basics of resource versus results based arrangements
- Essential elements of a contract relationship, motivation, communication and evidence
- The four focus areas of a contract and the consequence of misaligned terms
- Overview of the contract management lifecycle
Module 2 – Requirements analysis
- Requirements development and management
- The importance of requirements
- Developing effective requirements
- Common early stage mishaps, the risk of over-specification
- Supplier perspective of contract initiation
- Constructing Statement of Work
- Constructing SLAs
- Choosing the right commercial relationship for successful contact delivery
Module 3 – Proposal and tendering management
- Bid and proposal management:
- The Request for Information (RFI)
- The RFP documents and the buyer perspective
- Bid and proposal management; the seller perspective
- Managing the tendering process
- Evaluating bids
Module 4 – Contract development
- Contract development phase:
- What are terms and conditions
- Active and passive clauses
- Conditions precedent and subsequent
- Principles of contact language and how to read a contract
- The risks of ambiguity
Module 5 – Negotiation the contract, the terms and the relationship
- Negotiation planning and preparation:
- Planning for success in negotiations
- Competitive versus collaborative negotiations
- Negotiation styles from compromising to competitive stances
- The negotiation environment, physical and virtual considerations
- Understanding self, the importance of emotional intelligence in a negotiation
- Closing out negotiations
Module 6 – Contract kick off and managing change to the relationship
- Transitioning to a new contract
- Developing a contract communication plan
- Implementation of the contract relationship
- Cultural and attitude considerations
- Interpreting and explaining the contract for use by operational people
- Managing, initiating and documenting contract change
- Negotiating changes
Module 7 – Monitoring contract performance
- Managing performance
- Key performance indicators and service level agreements
- Delivery and acceptance
- Invoicing and payment
- Contract claims, disputes and their cause
- Resolving common operational disputes
- Avoiding a dispute
- Contract close out process
- Survival clauses
- Termination practices
Additional Information
- Understand and manage discussions about contracts in a commercial context
- Manage supplier and customer relations to achieve a positive trading environment
- Contribute to pre-contract signature activities, increasing the chances of successful contract outcomes
- Understand how to manage both risk and opportunity in contracts
- Know enough about contract law to avoid basic errors and when to involve experts
- Be aware of the steps required to support contract implementation
- Provides knowledge supporting Attribute 5A and 5C for ICE Chartership
