Contract Management Principles and Practices

Learn how to approach contracts to ensure project success.

Course Overview

The environment in which contracts are being developed is becoming increasingly complex. Professionals involved in the world of contracts must be able to work effectively with customers, contractors and subcontractors to achieve key organisational objectives. Learn what actions can be taken to help ensure contractors and subcontractors perform as required under contract. Discover how effective contract negotiation and administration can ensure project success. Through case studies and role play, you will gain a solid understanding of the contracting process and how to create an advantage – whether you are on the buyer or the seller’s side.

Course Topics

Click an individual topic title to expand/contract it or
Expand All Topics | Contract All Topics

1. Understanding the Contract Management Process
   1. Contract management definition
   2. Description and uses of contracts
   3. Buyer and seller perspectives
   4. Contract management and the PMBOK® Guide
2. Teamwork – Roles and Responsibilities
   1. Concepts of agency
   2. Types of authority
   3. Privity of contract
   4. Contractor personnel
3. Concepts and Principles of Contract Law
   1. Mandatory elements of a legally enforceable contract
   2. Terms and conditions
   3. Remedies
   4. Interpreting contract provisions
4. Contracting Methods
   1. Contracting methods—competitive and noncompetitive
   2. Purchase cards, imprest funds or petty cash
   3. Sealed bidding, two-step sealed bidding, competitive negotiation, and competitive proposals
   4. Reverse auctions
   5. Purchase agreements vs. contracts
   6. Single-source negotiation vs. sole-source negotiation
5. Developing Contract Pricing Agreements
   1. Uncertainty and risk in contract pricing
   2. Categories and types of contracts
      • Incentive
      • Fixed-price
      • Time and materials
      • Cost-reimbursement
   3. Selecting contract types
6. Pre-Award Phase
   1. Buyer Activities: plan purchases and acquisitions, plan contracting, request seller response
   2. Seller activities: presales, bid/no-bid decision, bid proposal preparation
   3. Understanding the PMBOK® Guide
7. Award Phase
   1. Source selection process
   2. Selection criteria: management, technical, and price criteria
   3. Evaluation standards
   4. Evaluation procedures
   5. Negotiation objectives
   6. Negotiating a contract
   7. Tactics and countertactics (buyers vs. sellers)
   8. Document agreement or walk away
8. Contract Administration
   1. Key contract administration policies
   2. Continued communication
   3. Tasks for buyers and sellers
   4. Contract analysis
   5. Performance and progress
   6. Records, files, and documentation
   7. Managing change
   8. Resolving claims and disputes
   9. Termination