Contracts Management

Introduction:

This Contracts Management training course covers the contracting process from contract award, through planning and management to contract close-out and resolution of disputes. The intention is to develop a delegate’s existing skills in a wide range of contract management situations and to allow participants to have an awareness of practices in many business sectors including construction, petroleum, engineering, and other industries

Targeted Groups:

• Contract Managers
• Contact Professionals
• Project Managers
• Construction Managers
• Procurement Managers
• Commercial Managers
• Persons who are involved in the acquisition of materials or equipment, or the management of suppliers and contractors delivering services

Course Objectives:

At the end of this course the participants will be able to:

• Select appropriate type and form of contracts for different situations
• Understand the legal framework in which contract management takes place
• Understand the contract complexities that need managing
• Explain the practical steps in obtaining and analyzing performance data
• Be more effective in contract management activities
• Anticipate problems and manage risks
• Integrate contract management with contract needs
• Understand the best means of handling claims, disputes and performance issues

Targeted Competencies:

• Contract preparation
• Contract administration
• Preparing and evaluating bids
• Planning contracting process
• Resolving contractual disputes
• Managing contractors

Course Content:
Unit 1: Understanding the Contract:

• Overview of the tendering and contract award process
• Understanding contracts – a refresher on legal requirements for a contract
• Formal and Informal Contractual documents, including
• Standard terms and conditions
• Letters of intent
• Letters of comfort
• The specification and scope of work – linkage to price and payment
• Recognizing where the contract risks lie
• Tools and techniques to manage contract risks

Unit 2: Key Skills of Contract Management:

• The role and value of an effective contract manager
• Implementing the new contract
• Effective Review processes
• Inspection and certification of contractual performance
• Managing suppliers of professional services
• Working with contract management reports
• Using KPIs ineffective contract management

Unit 3: Model Contracts and Terms:

• Selecting the right model for the contract
• Standard form Contracts – ICC, FIDIC, NEC, and others
• Force Majeure clauses
• Indemnities and Insurance clauses
• Warranty clauses
• Bonds and Guarantees
• Contract variation clauses

Unit 4: Managing Price and Contract Variations:

• Managing Price escalation
• Getting a breakdown of costs
• Cost and price analysis techniques
• Tracking changes
• Managing variations to the work
• Changes to timing, accelerating delivery
• Increase or decrease in scope
• Changes to work methods
• Negotiation techniques for price and contract variation management

Unit 5: Managing Claims and Disputes:

• Typical contract claims – scope, delay, quality, payment
• Implementing penalties or service credits
• Liquidated and unliquidated damages
• Termination and other methods of dealing with default
• Defects Liability Management
• Dispute Resolution – tools and techniques to use
• Contract closeout