Administration of Commercial Contracts

Course details

Course Description:

This course provides practical, in-depth guidance on both carrying out the "routine" but vital responsibilities of contract administration and handling the challenges that typically arise during the life of a contract. You will learn how to use a proactive team approach to successfully administer contracts of all types and sizes to increase profitability and improve customer satisfaction.
The course is highly interactive, using discussion, exercises and case studies to teach effective approaches to analyzing contract terms and conditions, assuring quality, managing changes, resolving disputes, and remedying inadequate performance. You will also see how different legal systems affect contract administration practices.

How attendees will benefit?

After completion of the programme, delegates will be able to:

• Effectively prepare for contract administration
• Avoid common problems and reduce risk
• Manage the change process more effectively
• Apply best practices of:
• Payment management
• Quality assurance
• Completion criteria and acceptance
• Resolve disputes quickly and reduce costs
• Manage contracts to increase profitability

 
Course Content:

1. Contract Administration: A Proactive Process

a. Purpose of contract administration
b. Main tasks in contract administration
c. Contract administration realities
d. Contract administration is a team effort
e. Buyer's perspective vs. seller's perspective
f. Contract Administration: Planning—Who Does What, Where, and When
g. Contract work breakdown structure (CWBS) as a tool
h. Responsibility matrix
i. Schedules

2. Contract administration plans are a must

a. Preperformance meetings
b. Internal kickoff meeting
c. Meeting with the other party

3. Dispute Avoidance and Resolution—A Proactive Approach to Problem Solving

a. Open communication is critical
b. Early identification of potential problems
c. Measure/assess potential impacts
d. Seek prompt resolution
e. Importance of documentation
f. Rules of contract interpretation
g. Dispute resolution methods
h. Negotiation
i. Mediation
j. Arbitration
k. Litigation
 
 
4. Changes Management—Risk vs. Opportunity

a. Types of changes
b. Analyzing impacts
c. Principles of changes management
d. Identification
e. Authorization
f. Estimation
g. Negotiation
h. Documentation
i. Implementation
j. Do's and don'ts
k. Delegation of authority issues

5. Monitoring Progress—Tools and Techniques

a. Performance observation
b. Progress reports
c. Performance variances
d. Records
e. Corrective action

6. Quality Assurance and Acceptance—What Works

a. Inspections and tests
b. ISO 9000 series
c. ISO 9001 and ANSI/ASQC Q91 and Q94
d. Acceptance methods—what is best
e. Acceptance criteria—what to do
f. Types of warranties
g. Warranty issues—cost vs. risk

7. Invoice and Payment Management—Cash Is King

a. Payment objectives
b. Payment procedures
c. Types of payments
d. Advance payments
e. Progress payments
f. Partial payment
g. Final payments
h. Invoice preparation
i. Early payment discounts
j. Late payment penalties
 
8. Terminations—What to Know, What to Do

a. Mutual agreement
b. Default or cause
c. Notifications—what to say
d. Settlements

9. Contract Closeout—Final Actions

a. Administrative closeout
b. Completion of work
c. Closeout checklists
d. Lessons learned database

Remember:

• We provide this course in any place and at any time suitable for you. 

Updated on 06 February, 2018