Using the services of suppliers, contractors, and consultants is an essential component of most large projects. Finding the best qualified external parties – contractors, suppliers, and consultants – to work on your project is still one of the most important aspects of project success. This procedure begins with a well-managed tendering process based on advanced selection criteria and methods to ensure that only the best in the industry are chosen for your company.

Training Objectives

By attending Project Procurement, Contracting & Tendering program, delegates will learn how to:

• apply the fundamentals of contract law
• develop a systematic process and criteria for the selection of suppliers, contractors, and consultants
• develop the contract to fairly and equitably distribute risk
• understand the bidding/tendering and contract award processes
• select and administer the most appropriate contract type for the project
• develop the necessary negotiation skills to successfully negotiate contract terms and conditions
• develop the project contract to ensure compliance with contract terms and conditions and avoid cost overruns and late delivery.

TARGET AUDIENCE

The training on Project Procurement, Contracting, and Tendering is designed for:

• project and procurement staff
• contract managers
• buyers, purchasing staff
• construction managers, and
• other staff requiring the skills to face the challenges involved in major contracting and subcontracting activities.

COURSE CONTENTS

Module 1 - Fundamental Principles of Contracting and Contract Law

• Description of a Contract
• Risk Management Process
• Legal Obligation to Perform
• Primary Contractual Elements
• Project Procurement Processes
• Procurement and the Project Life-Cycle
• Fundamental Contracting Perspectives – Risk and Price
• Primary Project Success Factors
• Fundamentals of Contract Law
• Contractual Legality – Fundamental Elements
• Basic Conditions of Contracting
• General Conditions and Layout of Contract
• Contract Documents, Administration and Close-Out

Module 2 - Contract Terms and Conditions & Tendering Processes

• Conditions of Contract
• Primary Clauses for Consideration
• Contract Performance and Termination
• Dispute Resolution
• Supplier Sourcing, Contract Award and Administration
• Pre-Award Stage Preparations
• Award Stage Preparations
• Post-Award Stage Preparations
• Contract Execution
• Contract Administration
• Key Project Analysis Issues

Module 3 - Contract Types and Compensation

• The Pricing Arrangement Strategies
• Fixed Price contracts & pricing
• Cost-Plus contracts & pricing
• Incentive contracts & pricing
• Fixed Price Incentive
• Cost Plus Incentive

Module 4 - Contract Negotiation Strategy

• The Ability to Influence
• Dealing with Conflict
• Primary Negotiation Styles
• Power and Negotiation
• Stages of Negotiation
• Preparation for Negotiation
• Preparation – A Systematic Process
• The Negotiation Plan

Module 5 - Aligning Incentive Contracts with Earned Value Management

• Earned Value Control Process
• Progress Control Charts – Trend Analysis
• Schedule and Cost Variance Forecasting
• Estimated Cost at Completion
• Estimated Duration at Completion
• Progress Tracking and Monitoring