Key details
Mode of delivery: Classroom-based
Course code: PCM29A
Duration: 10 days
Fee: £8,325.00 + VAT
CPD Hours: 60
Course Overview
This intensive two-week Contract Management course provides a thorough understanding of contract management, starting with fundamental principles before progressing to strategic contract operations. Participants will gain expertise in contract structure, financial management, risk allocation, and enforcement, followed by deeper insights into claims management, dispute resolution, and advanced negotiation techniques. The course also emphasises performance monitoring, KPIs, and financial controls to help professionals proactively manage contracts. Ideal for procurement specialists, project managers, and commercial professionals, this programme equips attendees with both essential and strategic contract management skills to drive business success.
Agenda
Day — 1 The Contractual Relationship from Start to Finish
- Agreements and Contracts Contract Law Basics
- Building Blocks that Make Up a Contract
- Contract Enforcement
- Ending the Contract
Day — 2 Managing the Contract Financials
- Selecting an Appropriate Contract Model
- Pricing Models and The Importance of Cashflow
- Managing Payments and Invoicing
- Key financial instruments Letters of Credit, retention, Bonds and guarantees and other collateral agreements
Day — 3 Contract Risks
- How does a contract manage risks?
- Identifying, analysing, and mitigating contractual risks from each party
- Contract clauses that transfer risks between the parties (including Incoterms®)
- Case studies in contractual risk management
Day — 4 Breach of Contract, Loss, and Damages
- What is ‘default’? Contractual Liabilities (and Limitation of Liability) for loss and damage
- Remedies for Breach, Including Suspension and Termination
- Other Rights After a Default including the use of Indemnities
- Force Majeure
Day — 5 Weekly Review
- Summary and recap of key learning objectives
- Action Planning
Day — 6 Contractual Obligations and Rights in a Typical Construction Contract
- Employer and Contractor rights and obligations (including warranties)
- Standards of work – Reasonable skill and care, Fitness for purpose in design
- Relationships between contracts and negligence
- Case study of a model agreement – NEC/FIDIC templates
Day — 7 Claims, Variations and Delay
- Managing contract variations
- Consequences of delay, including delays by the employer or the contractor
- Handling contractor claims for extension of time and additional costs, acceleration or disruption
- Liquidated damages
Day — 8 Contract Negotiation
- Preparing to negotiate planning, objectives, mandate, issues, strategies
- Positional bargaining and Interest-based negotiation styles
- Negotiator tactics and skills, making concessions
- Tools and techniques to enhance your negotiation, including BATNA and ZOPA
Day — 9 Effective Contract Monitoring and Performance Management
- Fundamentals of effective contract performance management
- Use of KPIs / Targets in performance and links to payment
- Contract performance reviews and benefits realisation
- Managing defects
Day — 10 Course Review
- Summary and recap of key learning objectives
- Action Planning
Post-Course
- Six (6) x hour-long Executive Coaching sessions at monthly intervals following Course Completion
Target Audience
- Procurement managers and supply chain professionals responsible for contract strategy and risk assessment.
- Project managers who handle contract variations, delays, and performance issues.
- Legal and compliance professionals involved in contract review and risk mitigation.
- Contract and commercial managers who handle contract extensions, defects, contractor claims and disputes.
- Professionals in construction, oil and gas, energy, engineering, and manufacturing industries who manage contract performance.
Learning Outcomes
By the end of this Contract Management course, you will be able to implement a successful strategy that enables you to:
- Explain the key elements that define agreements and contracts, distinguishing between legally binding and non-binding agreements.
- Identify and describe the fundamental building blocks of a contract, including essential clauses and enforcement mechanisms.
- Analyse the contract lifecycle from formation to termination, understanding legal implications at each stage.
- Compare and contrast different contract models, including construction, engineering, and consultancy contracts, based on project requirements.
- Assess the importance of cash flow in contract performance and financial management.
- Apply cost and price analysis techniques to evaluate procurement decisions and contract pricing models.
- Explain key financial instruments such as letters of credit, retention, and performance-based payments, and their role in contract execution.
- Identify common contractual risks, including risks posed by contractors, and assess their potential impact.
- Analyse contract clauses that allocate and transfer risk between parties, applying best practices in risk mitigation.
- Evaluate case studies in contractual risk management to develop strategies for minimising financial and legal exposure.
- Define contract breach and assess different types of contractual liabilities, including indemnities and limitation of liability.
- Identify and apply appropriate remedies for breach of contract, including termination, suspension, and claims for damages.
- Evaluate the role of force majeure and other legal defences available when contractual obligations cannot be fulfilled.
- Explain key contractual rights and obligations of contractors and employers, including warranties and fitness-for-purpose requirements.
- Assess the standard of work expected in construction contracts and its relationship with negligence claims.
- Analyse a model agreement (NEC/FIDIC) to understand how contractual obligations and intellectual property rights are structured.
- Identify and evaluate different types of contract variations and their impact on project scope and cost.
- Analyse the consequences of delays caused by both employers and contractors and determine appropriate remedies.
- Apply legal and contractual principles to assess claims for additional time, costs, acceleration, and liquidated damages.
- Develop negotiation strategies by understanding planning, mandate setting, and stakeholder interests.
- Apply key negotiation concepts such as BATNA, ZOPA, and interest-based bargaining to contract discussions.
- Utilise effective negotiation tactics and tools to manage contract variations and achieve favourable terms.
- Implement contract monitoring techniques to track performance and ensure compliance with key deliverables.
- Use KPIs and evaluation frameworks to assess contract performance and link payments to performance outcomes.
- Apply defect management and collateral contract principles to improve contract enforcement and minimise disputes.
