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14 - CMN - Contract Management and Negotiation Skills

CMN 142 - Cost Control and Procurement, Tenders and Contract Management (10 Days)

Code Start Date Duration Venue Fees
CMN 142 28 June 2021 10 Days Istanbul $ 7900 Registration Form Link
CMN 142 26 July 2021 10 Days Istanbul $ 7900 Registration Form Link
CMN 142 23 August 2021 10 Days Istanbul $ 7900 Registration Form Link
CMN 142 20 September 2021 10 Days Istanbul $ 7900 Registration Form Link
CMN 142 18 October 2021 10 Days Istanbul $ 7900 Registration Form Link
CMN 142 15 November 2021 10 Days Istanbul $ 7900 Registration Form Link
CMN 142 13 December 2021 10 Days Istanbul $ 7900 Registration Form Link


Course Description

Managing Tenders, Specifications & Contracts training focuses on how an organisation can identify and use the most appropriate procurement strategy and discusses best practice in developing tender documents and evaluation criteria.

The training course describes how to deal with key contractual liability issues and how to allocate risk in order to minimise the exposure on an organisation from the schedule delays and cost overrun perspective. The course also provides tools, tips and techniques on effective resolution of disputes to minimise cost and reputational risk exposure to any organisation.

Procurement of goods and services are counting to the large portion of costs from the owner’s perspective, particularly where it involves a global supply chain network as it is the case with most of today’s industries and sectors. Hence, executive management everywhere is determining that Managing Tenders, Specifications, and Contracts must emerge as a critical core competency if organizations are to increase revenue. Using internationally accepted principles and practices through the tendering and procurement process as well as in contract management is critical to ensuring cost and process efficiencies to any organisation.

Course Objectives

  • Have a good understanding on the selection of most convenient procurement strategy
  • Evaluate tendering and procurement best practices
  • How to assess and manage key contractual risks
  • Compare ways of dealing with performance failures
  • Determine the most proper action when disputes arise

Who Should Attend?

  • Project Sponsors
  • Project Managers
  • Contract Managers
  • Procurement Managers 
  • Sales and Marketing Professionals 
  • Tendering Managers

Course Details/Schedule

Day 1

  • Procurement and contracting strategy
  • Elements of procurement best practice
  • Project delivery types 
  • Risk assessment
  • Balancing risk through contract strategy

Day 2

  • Developing the scope of work and specification
  • Selection and evaluation criteria
  • Cost and price analyses
  • Ancillary documents and issues
  • Negotiation tools and techniques

Day 3

  • Key elements of the contract
  • Principal performance obligations
  • Scheduling and completion
  • Liabilities, indemnities and insurance
  • Ownership and risk
  • Pricing and payment
  • Governing law

Day 4

  • Force majeure
  • Termination and suspension
  • Liquidated damages
  • Types of bonds & guarantees
  • Managing contract changes and performance failures
  • Types and assessment of claims

Day 5

  • Implications of varying performance
  • Performance based contracting
  • Alternative dispute resolution 
  • How contracts may end
  • Contract close out

Day 6

  • Cost, expense and budget relationship
  • Role of cost management and budgeting for managerial decisions
  • Cost terminology, types and components of costs
  • Types of budgets

Day 7

  • Cost drivers
  • Cost allocation and apportionment
  • Standard costing calculation
  • Activity-based costing calculation
  • Cost and quality

Day 8

  • Building a master budget
  • Flexible budgets
  • Budgetary control and variance analysis
  • Role of finance in cost control: key performance indicators
  • Balanced scorecards: strategic-based control

Day 9

  • Cost behavior analysis
  • Role of cost in pricing, full and marginal costing pricing
  • Break-even and target income
  • Sensitivity analysis

Day 10

  • Time value of money 
  • Cost of capital and hurdle rate for capital projects
  • Valuation technics (net present value, internal rate of return, payback period)
  • Probability models to evaluate projects (Monte Carlo simulation, stress tests and value at risk models)