Course details

Overview ?

The Course

Every day significant monies are made and lost by organizations as a result of the contractual terms and conditions governing contracts for the purchase of goods, equipment, and services. Since all business activities are governed by contractual relationships, it is increasingly important for all those dealing with outside organizations to have an understanding of how to obtain the best possible agreement for their organization. This involves skills in negotiating and drafting the contract, as well as managing the same and negotiating issues and disputes that may arise.

The first course module will look at how contracts are created, and some of the main clauses that appear in contracts, together with a number of alternative contracting strategies and structures. The course will also consider techniques for third party dispute resolution. The second Module will cover the whole range of negotiations, reviewing the whole negotiation process and showing how a collaborative style to handling disputes or conflict maintains the win/win approach (which was set before any dispute arose!).

The course can be taken as two modules or as each module individually.

The complete course will cover:

Contract types
Applying contract types to different risk profiles
Contract clauses
Legal issues with contracts
Dispute resolution using third parties
Key stages of a negotiation and how causes of later disputes can be avoided
Managing meetings involving individuals as well as teams
How to cope with the emotions and conflicts involved in dramatic situations or crises
Common negotiation tactics and how to counter them

The Structure

Module 1 - The Essentials of Contracting

Module 2 - Negotiating & Dispute Resolutions

The Goals

Provide an understanding of how contracts are formed
Give in depth analysis of issues behind major contract clauses
Enhance understanding of different contracting strategies and structures
Learn how to transfer risk through different contract types
Understand dispute resolution techniques through courts and other alternative methods
Apply the main negotiation phases – Planning, Discussion, Proposing, Summarising and Concluding
Achieve ‘win-win’ outcomes within the bargaining process
Understand the significance of disputes, their causes and the long term impact they can have on business relationships
Identify and use strategies to resolve causes of disputes

The Process

Training will involve a high level of interaction and delegate participation. The intention is that the trainer will explain issues, using real examples, but will then involve the delegates in discussion, using the information provided. There will also be sessions on negotiating, where delegates will work as teams to seek to agree disputes in role playing in realistic scenarios. The practical element encourages delegates to experiment with new approaches which expand their current experience and skills. Based around their self assessments during the negotiation module, the delegates are able to seek coaching and counselling from the tutor throughout the programme - either with their peer group or individually.

Delegates are encouraged to bring real problem examples with them, for discussion on a confidential basis, and to share their experience of particular issues in their company or industry.

The Benefits

Expanding the expertise of personnel involved in developing contractual strategies, negotiating contracts and claims
Delegates will be introduced to some of the latest international practices in contracting strategy and dispute resolution, and shown how to build such practices into their contract documents
Professionals should have more confidence in discussing issues with lawyers or with the other parties to contracts
Dispute avoidance skills will be enhanced, as will the ability to manage such disputes as do arise in an effective manner
Achieving best possible terms for an agreement with clients or suppliers
Bring increased vigour to their critical thinking before, during and after a negotiation
Increased confidence in their personal skills of influence and persuasion
Reduced incidence of implementation failure by either party to the agreement
Enhanced reputation as a highly skilled contracting specialist and negotiator and a good person to do business with

The Results

Total cost of Ownership should be reduced
Contracts should better reflect the commercial aims of the business
Better value for money will be achieved where contracts are well managed and understood
Understand the key skills involved in resolving disputes and conflict
Know how to apply a collaborative role in partnering strategic organisations in their markets
Apply critical thinking to planning, conducting and reviewing negotiations
Know how to reduce risks of implementation failure in agreements they have concluded

The Core Competencies

Developing contract strategies and structures
Understanding contract issues
Analyzing and drafting contract clauses
Resolution of claims and disputes
Risk Analysis
Principled negotiation techniques
Critical thinking skills
Building trust

The Programme Content

Module 1:

The Essentials of Contracting

How Contracts are Formed

The reasons for using contracts
Basic principles in contract formation
Examples of formalities for contract formation
The use of written or oral contracts
Authority to sign a contract
Basic contractual structures
Use of different types of contract for different business models
Ethical issues

Main Contract Provisions and Associated Issues

Scope of Work
Force majeure
How to deal in volatile market conditions
Delivery and acceptance
Termination and Suspension
Warranty
Selecting the appropriate law to govern the contract
Entire Agreement

Changes and Variations

Changes to the contract
Scope variations
- Use of variations clauses
- Evaluating scope changes
- Extensions of time
- Disruption
- Changes in sequence and timing
Controlling and managing change

Contractual Documents and Payment Issues

Letters of Intent and Award
Bonds
Progress Payments
Parent Company Guarantees
Use of commercial standard documents
How contracts end
- Suspension and Termination
Types of damages

Dispute Resolution

Avoiding disputes
Recognising disputes when they arise
Contract clause to encourage negotiation
Third party dispute resolution
- Courts
- Arbitration
- Alternative methods – including mediation
Post review and analysis

Module 2:

Negotiating & Dispute Resolutions

Fundamentals of Negotiation

Building business relationships - impact of disputes on “partnerships”
4-phase structure: Preparation, Discussion, Proposing, Bargain & Close
Use of concessions; best alternative to a negotiated settlement (BATNeS)
Preparing the case, objectives (entry/exit points) and concessions
Common mistakes to avoid

The Negotiator’s Toolbox

Planning an appropriate environment for the meeting
Opening discussion, priorities, information needs and building trust
Using proposals –conditional and un-conditional to move the meeting on
Closing the bargain: trading concessions, summaries, recording outcomes
Alternatives to negotiating outcomes to a dispute

Negotiating Styles, Tactics and Ploys

Cultural & international issues: negotiating styles around the World
Emotion and negotiation – managing negative emotions
Interpreting non-verbal communication – do’s and don’ts
Push/pull styles and silence as a tactic
60 common tactics and how to counter them

Personal Skills in Dispute Negotiation

Motivation – analysis of needs, interests, positions and escalation
Motivators of conflict and 5 alternative approaches to dispute resolution
Team negotiations – Why? What? How? Who? When?
Handling conflict and deadlock
Personal skills development - fitness check

Putting it All Into Practice

Leaders’ contribution of mission and self-belief in critical situations
Team allocation and orchestration of specialists - mediation process
Negotiation case study – plan, bargain, review, analysis of results
The do’s and don’ts of negotiating – success in dealing with assumptions
Murphy’s law - improving what we do – final action planning

Day 1

Day 2

Day 3

Day 4

Day 5

Training Methodology

The Essentials of Contracting & Contract Negotiation

Course details

Have a look too on these courses

The Complete Course on Facilities Management

The Essentials of Contracting & Contract Negotiation

Managing & Negotiating with Consultants & Contractors

Structural Rehabilitation of Bridges

Pavement Design & Construction of Municipal Roadways

Building Condition Assessment

Main Pages

Quick Access

More Details

Contact Info